Anthem Sues Express Scripts, Mattress Firm Net Jumps

Mukesh Buch
22 Mar, 2016
New York City

Anthem sued Express Scripts Holding for price gouging. Centrus Energy net loss in the quarter widened. CIFC net swung to a loss. Elbit Systems net surged 43%. G-III Apparel net plunged 14%. Mattress Firm net more than doubled.

[R]12:20 PM New York – Anthem sued Express Scripts Holding for price gouging. Centrus Energy net loss in the quarter widened. CIFC net swung to a loss. Elbit Systems net surged 43%. G-III Apparel net plunged 14%. Mattress Firm net more than doubled.[/R]

Tollbooth Index fell 13.16 to 10,666.62.

Earnings Review

Anthem Inc ((ANTM)) fell 31 cents to $139.59 after the health benefits provider filed a lawsuit against its pharmacy benefit management services promoter Express Scripts Holding Company to recover the pricing-related damages.

In a Federal Court in New York, Anthem sued “to recover damages for pharmacy pricing that is higher than competitive benchmark pricing,” and filed a “declaration of rights to terminate the contract with Express Scripts” which is scheduled to expire in 2019.

Centrus Energy Corp ((LEU)) surged 35.4% or 84 cents to $3.21 after the uranium supplier stated revenues in the fourth-quarter ending in December soared 28% from a year ago to $157.9 million.

Net loss in the quarter widened to $101.8 million or $11.19 per diluted share compared to $42.3 million or $4.70 per share from the same quarter last year.

The uranium supplier estimated SWU and uranium fiscal 2016 revenues in the range of $250 million to $275 million and total revenue between $275 million and $300 million.

The company also forecasted cash and cash equivalents balance in the year in a range of $200 million to $250 million.

CIFC LLC ((CIFC)) jumped 5.2% or 38 cents to $7.63 after the investment company said total revenues in the fourth-quarter ending in December surged from a year ago to $31 million.

Net loss in the quarter swung to a $7.7 million or 29 cents per diluted share compared to profit of $0.8 million or 3 cents per share from the same quarter last year.

Elbit Systems Ltd ((ESLT)) gained 1.9% or $1.74 to $92 after the Israel-based defense and homeland security provider reported revenues in the fourth-quarter ending in December jumped 4.3% from a year ago to $886.6 million.

Net income in the quarter surged 43.2% to $63 million or $1.47 per diluted share compared to $44 million or $1.03 per share from the same quarter last year.

G-III Apparel Group, Ltd ((GIII)) tumbled 20.3% or $11.20 to $44.03 after the apparel maker said net sales in the fourth-quarter ending in January rose 3% from a year ago to $527.4 million.

Net income in the quarter plunged 14% to $8 million or 17 cents per diluted share compared to $22.2 million or 48 cents per share from the same quarter last year.

In fiscal 2017, G-III forecasted net sales of about $2.56 billion and net income between $120 million and $125 million and diluted earnings per share in the range of $2.55 to $2.65.

Mattress Firm Holding Corp ((MFRM)) plunged 14.6% or $6.22 to $36.47 after the mattress retailer reported sales in the fourth-quarter ending on February 2 increased 3.4% from a year ago to $618.6 million.

Comparable store sales in the quarter jumped 1.9% and said comparable store sales growth of tenth consecutive quarter and sixth consecutive year.

Net income in the quarter more than double to $13.3 million or 37 cents per diluted share compared to $6.6 million or 19 cents per share from the same quarter last year.