Molina gets creamed

Shares in the Long Beach-based health care company fell almost 11 percent on Wednesday, to $34.87. It might seem a bit cockeyed, given that Molina just reported an 80 percent increase in third-quarter net income - driven by lower medical costs in Michigan, New Mexico and Washington health plans. But Molina reaffirmed full-year earnings guidance between $1.60 and $1.65 per share. Analysts expect full-year profit of $1.67 per share. There also could have been jitters concerning the prospect of a Democratic-led Congress. Whatever the case, Molina reached a 52-week high of $41.25 on Oct. 27 and has been sliding ever since.


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Mark Lacter
Mark Lacter created the LA Biz Observed blog in 2006. He posted until the day before his death on Nov. 13, 2013.
 
Mark Lacter, business writer and editor was 59
The multi-talented Mark Lacter
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