On Apr 8, Zacks Investment Research upgraded
) to a Zacks Rank #3 (Hold) from a Zacks Rank #4 (Sell).
ALERE INC (ALR): Free Stock Analysis Report
ENZYMOTEC LTD (ENZY): Free Stock Analysis
WILLIAM DEMANT (WILYY): Get Free Report
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Why the Upgrade?
The long-term expected earnings growth rate for this
Massachusetts-based medical products stock is 12.5%. Moreover,
Alere has delivered positive earnings surprises in all of the
last 4 quarters with an average beat of 27.6%.
Alere reported its fourth-quarter results on Feb 6, 2014.
Adjusted earnings per share came in at 62 cents, exceeding the
Zacks Consensus Estimate of 56 cents by 10.7% and the prior-year
earnings by 26.5%.
Earnings were primarily aided by healthy top-line growth of 2.2%
in the reported quarter, which was primarily driven by a 2%
increase in net revenues from the Professional Diagnostics
With respect to segment performance, net product revenues from
Alere's Infectious Disease business increased 6.4%, principally
driven by growth in HIV and malaria revenues.
In the second half of 2013, Alere's U.S. flu sales increased
impressively by 19.3% year over year, reflecting the company's
strong positioning with the distributors in both the hospital and
physician's office market segments. Banking on its successful
track record, Alere is anticipating consistent improvement in its
business in 2014 and beyond.
The Zacks Consensus Estimate for earnings for 2014 remained flat
at $2.47 per share with no downward revision over the last 30
days. For 2015, no estimates were revised downward over the same
time frame, keeping the Zacks Consensus Estimate unchanged at
$2.79 per share.
Other Stocks to Consider
In the medical products space,
William Demant Holding A/S
) are performing well. While Enzymotec holds a Zacks Rank #1
(Strong Buy), both Covidien and William Demant retain a Zacks
Rank #2 (Buy).