) reached a new 52-week high of $50.07 in mid-day trading on Jun
20, eventually closing at $49.94 on the same day. In fact, shares
of this Texas-based company have been gaining momentum since it
reported strong first-quarter fiscal 2014 (ended Apr 4, 2014)
results on Apr 30.
The company's shares have recorded a healthy one-year return of
53.4%. GB has a market cap of $1.24 billion while the average
volume of shares traded over the last three months stands at
Impressive first-quarter 2014 results indicating double-digit
bottom-line growth, strategic restructuring efforts along with
accretive investments in sales and marketing led to the growth
trajectory of this medical technology company.
Greatbatch posted adjusted earnings of 54 cents for the first
quarter, depicting a rise of 22.7% from 44 cents in the same
quarter of 2013 and surpassing the Zacks Consensus Estimate of 50
cents by 8.0%.
Greatbatch's top-line growth reflected strong contribution from the
company's sales force, partly negated by the shutdown of its Swiss
orthopaedic facility as well as the timing of customer orders. The
company's strong and growing portfolio of intellectual property and
enhancements to its sales and marketing capabilities resulted in
over 20% revenue growth in three of the product lines under
Greatbatch believes that it will achieve the high end of its 2014
earnings and revenues guidance provided at the beginning of this
year. Revenues are guided in the range of $685-$705 million,
indicating a 3-6% rise over 2013. The Zacks Consensus Estimate for
the same is pegged at $ 705 million.
Greatbatch expects adjusted earnings per share in the band of
$2.25-$2.35, demonstrating a 7 to 12% rise over 2013. The current
Zacks Consensus Estimate of $2.33 lies within the guided range.
Currently, Greatbatch carries a Zacks Rank #2 (Buy). Other
well-performing stocks in the medical products industry include
ICU Medical, Inc.
). All these stocks carry the same Zacks Rank as Greatbatch.
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