ESRX 1Q11 Non-GAAP EPS Below Morgan Stanley Estimate

Express Scripts Inc. ESRX reported 1Q11 non-GAAP EPS of $0.66 below MS' $0.70 and consensus' $0.69, Morgan Stanley reports. “Results were driven be a decline in script count, down 5.2 million or 2.7% sequentially and down 0.3% y/y,” Morgan Stanley writes. “Previously announced contract losses including Wal-Mart WMT and Capital BC lowered adjusted scripts by ~6 to 7 million based on our estimates, partially offset by new contract wins, most notably FedEx FDX.” Express Scripts closed Monday at $55.37.