J. P. Morgan Maintains Overweight Rating After Earnigns Report

J.P. Morgan has an Overweight rating and $46 price target shares of AETNA (NYSE: AET) after it reported earnings.

In a note to clients, J.P. Morgan writes, " It's a scenario we've seen repeated numerous times this earnings season, with both favorable development from the 4Q and also. Claims continuing to run below the forecasted levels in the current period. Aetna, like most other insurers, premised 2011 pricing and guidance on the basis that 0the suppressed med utilization of 2010 would rebound quickly in 2011...of course if it didn't we were going to get some pretty significant earnings upside...and it's certainly showing broadly across the entire industry. We're raising our 2011 EPS $0.70 to $4.40 and 2012 up $0.30, also to $4.40.”

Shares of AET closed at $41.45 yesterday.