Wellpoint (WLP +6.5%) moves higher this morning after its Q1 bottom line easily beat estimates, aided by a lower tax rate and a decline in medical costs in its Local Group. Revenue jumped 15% Y/Y, boosted by the late-year acquisition of Amerigroup. Looking forward, the company raises FY13 guidance but maintains a cautious outlook due to the significant changes looming in Medicaid. It reduces the low end of FY13 revenue guidance by $500M, now expecting between $71B and $73B, but ups its EPS estimate by $0.15 to $7.75. Analysts are looking for $7.78.