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Express Scripts, Inc (NASDAQ:ESRX) is one of the largest pharmacy benefit managers in North America. The recent acquisition/merger with Medco has already begun bearing fruit as reflected in strong top line growth during the last quarter. Express Scripts, Inc has grown earnings at a compounded growth rate of 30.5% since calendar year 1999. Although due to its size, future earnings growth may slow a bit, but is still expected to be plus or minus 20% per annum going forward. We believe threats of Obama Care potentially affecting the pharmacy benefit management industry has created a buying opportunity in this high-quality growth stock.

Additional Research

This article is intended to look at Express Scripts, Inc's "essential fundamentals at a glance" through the lens of the F.A.S.T. Graphs research tool. Therefore, rather than reinvent the wheel, we direct the readers to an article written by fellow Seeking Alpha Contributor: Express Scripts: Good Investment Decisions Do Not Require Rocket Science by Paul Price.

A Live F.A.S.T. Graphs on Express Scripts, Inc

The F.A.S.T. Graphs on Express Scripts illustrates that this blue-chip growth stock can be purchased at a sound valuation. Therefore, we rate Express Scripts a buy based on the following fundamental metrics:

· A PE ratio of 18.1, which is on the low end of its historical norms

· A price to sales ratio of .81, indicating that this growth stock is reasonably priced relative to its sales

· The company's healthy financial condition is a plus with debt only 42% of capital and strong free cash flow generation

· A recent agreement with Walgreen (NYSE:WAG) illustrates the company's clout in the pharmacy benefit management industry

(click to enlarge)

Moreover, in order to conduct your own research and get a clearer perspective on Express Scripts valuation, click on the picture above that links you to a fully functioning sample F.A.S.T. Graphs on Express Scripts and research this high-quality large-cap growth stock deeper and faster.

(Click on this link or the picture above that will take you to a free, live, and fully functioning FAST Graphs™ on Express Scripts. Run this "tool to think with" through its paces. Use the tan navigation bar to the left of the graphs and draw multiple graphs ranging from 2 to 20 years of history. Discover how this tool instantly provides a clear picture of the business behind the stock and dynamically re-evaluates valuation and reveals the clear correlation between the company's earnings and price.)

Note: This link will be live for 90 days beginning October 16, 2012. For more advanced instructions on how to utilize the live graph follow this link.

Summary And Conclusions

Express Scripts is our large-cap aggressive growth stock value idea of the week. At its current quotation, Express Scripts, Inc is trading at what appears to be a low valuation relative to its growth potential. This is a long-term call for investors seeking above-average capital appreciation that can be purchased at a reasonable price. Consequently, we believe this is an attractive candidate worthy of further due diligence.

Disclosure: Long ESRX at the time of writing.

Disclaimer: The opinions in this document are for informational and educational purposes only and should not be construed as a recommendation to buy or sell the stocks mentioned or to solicit transactions or clients. Past performance of the companies discussed may not continue and the companies may not achieve the earnings growth as predicted. The information in this document is believed to be accurate, but under no circumstances should a person act upon the information contained within. We do not recommend that anyone act upon any investment information without first consulting an investment advisor as to the suitability of such investments for his specific situation.

Source: Express Scripts: F.A.S.T. Graphs Large-Cap Growth Stock For Oct. 16, 2012