On Mar 13, 2013, we retained
The Cooper Companies Inc.
) at Neutral after the company beat Zacks Consensus Estimates for
earnings and revenue for fiscal first quarter 2013.
Why the Retention?
Cooper released its results for the fiscal first quarter on
Mar 7. The company posted adjusted earnings per share of $1.23
per share, higher than the Zacks Consensus Estimate of earnings
of $1.20 a share. Revenues in the reported quarter surged 16% (up
11% in constant currency, barring acquisitions) year over year to
$379.8 million, beating the Zacks Consensus Estimate of $365
Over the past 30 days, the Zacks Consensus Estimate for fiscal
2013 has moved up by 2 cents to $6.04. For fiscal 2014, the Zacks
Consensus Estimate has increased by 5 cents to $6.70 during the
For fiscal 2013, Cooper envisages revenues in the range of
$1,575 million and $1,625 million (earlier $1,565 million to
$1,625 million), comprising CVI sales of $1,260 million to $1,290
million and CSI sales of $315 million to $335 million.
Cooper expects reported earnings per share in the band of
$6.22 and $6.37 (earlier $5.90 and $6.10) for fiscal 2013. COO
also guided to adjusted earnings per share between $5.95 and
$6.10 (earlier $5.90 and $6.10). Free cash flow is expected in
the range of $170 million to $200 million (earlier $210 million
to $230 million).
The stock carries a short-term Zacks Rank #2 (Buy). We are
positive on Cooper as it reported a good performance in the
reported quarter. Moreover, this contact lens and womens' health
focused company continues to expand margins, synergize
acquisitions and expand geographical reach. However, COO faces
formidable competition in each of its major product lines.
Other Stocks to Consider
We are positive about
Medical Action Industries Inc.
), which carries a Zacks Rank #1 (Strong Buy). We are also
Becton, Dickinson and Company
) each of which carry a Zacks Rank #2 (Buy) and are expected to
BECTON DICKINSO (BDX): Free Stock Analysis
COOPER COS (COO): Free Stock Analysis Report
MEDICAL ACTION (MDCI): Free Stock Analysis
STERIS CORP (STE): Free Stock Analysis Report
To read this article on Zacks.com click here.