St. Jude Medical Inc.
) revealed that its board of directors authorized a share
repurchase worth up to $700 million of its outstanding common
stock. The Saint Paul, Minn.-based leading medical device maker
last authorized a share repurchase program on Nov 29, 2012.
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ST JUDE MEDICAL (STJ): Free Stock Analysis
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Under the previous share repurchase program, STJ authorized the
repurchase of shares worth up to $1.0 billion and began
repurchasing shares on Dec 5, 2012. The company has completed the
repurchase program on Feb 5, 2013, repurchasing 13.9 million
shares for $542 million, reflecting an average price of $38.83.
Since 2010, St. Jude Medical has repurchased shares worth $3.0
billion. As of Dec 6, 2013, STJ had roughly 292 million issued
and outstanding shares.
St. Jude Medical, a Zacks Rank #3 (Hold) company, posted
third-quarter adjusted earnings per share of 90 cents, beating
the Zacks Consensus Estimate by a penny. Third quarter earnings
also surpassed the year-ago earnings of 83 cents by 8.4%.
Adjusted earnings were at the higher end of the company's
third-quarter guidance of 88-90 cents a share.
Revenues inched up 1% (3% in constant currency) year over year to
$1,338 million in the third quarter and exceeded the Zacks
Consensus Estimate of $1,321 million. Unfavorable foreign
currency lowered total revenues by $26 million. Revenues in the
U.S. (48.3% of total revenues) and in the international markets
(51.7%) increased 1.1% and 0.7% to $646 million and $692 million,
respectively in the reported quarter.
STJ expects total revenues in the range of $5,394 to $5,474
million for full year 2013. Further, the company upgraded its
adjusted earnings expectations for the year to the band of
$3.72-$3.74 from the earlier range of $3.70-$3.73. The current
Zacks Consensus Estimate for 2013 revenues and earnings are
pegged at $5,455 million and $3.73 per share.
For the fourth quarter, St. Jude anticipates revenues in the
range of $1,315 to $1,395 million and adjusted earnings between
95 and 97 cents a share. The Zacks Consensus Estimate for
revenues and earnings for the fourth quarter stands at $1,376
million and 96 cents per share, respectively.
Other better-ranked medical product stocks that currently worth a
Bio-Rad Laboratories, Inc.
Hill-Rom Holdings, Inc.
). While Bio-Rad Laboratories and Hill-Rom Holdings carry a Zacks
Rank #1 (Strong Buy), NuVasive carries a Zacks Rank #2 (Buy).