St. Jude Medical Reports Third Quarter Profits Down 22 Percent (STJ)

By Staff,

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On Wednesday medical equipment supplier and manufacturer St. Jude Medical, Inc. ( STJ ) reported a 22% decrease in profits for the third quarter.

The St. Paul, Minnesota based company reported a profit of $176 million, or 56 cents per share, down from $227 million, or 69 cents per share, a year earlier.

In July St. Jude projected earnings per share to be 80 cents to 82 cents, slightly below analysts expectations. For the fourth quarter STJ forecasts earnings per share to be 86 cents to 88 cents, below the estimated 89 cents per share by analysts polled by Thomson Reuters.

Revenue decreased 4% to $1.33 billion. Analysts polled by Reuters estimated revenue to be $1.34 billion.

STJ has been hurt as the market for heart-rhythm devices has been soft due to factors like high unemployment, government regulations, and economic turmoil domestically and abroad.

St. Jude Medical shares were down $2.44, or -5.64%, in morning trading on Wednesday.

The Bottom Line
Shares of St. Jude Medical ( STJ ) have a 2.14% dividend yield, based on last night's closing stock price of $42.94. The stock has technical support in the $38 price area. If the shares can firm up, we see overhead resistance around the $45-$48 price levels.

St. Jude Medical, Inc. ( STJ ) is not recommended at this time, holding a DARS™ Rating of 3.2 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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This article appears in: Investing Stocks
Referenced Stocks: STJ

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