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30600.0 | 2023-11-07 00:00:00 UTC | Shockwave Medical (SWAV) Q3 Earnings Beat, Revenues Rise Y/Y | ABT | https://www.nasdaq.com/articles/shockwave-medical-swav-q3-earnings-beat-revenues-rise-y-y | nan | nan | Shockwave Medical, Inc. SWAV reported third-quarter 2023 earnings per share (EPS) of 92 cents, which beat the Zacks Consensus Estimate of 81 cents by 13.6%. The company reported an EPS of 68 cents in the year-ago quarter.
Revenue Details
Revenues totaled $186 million, up a massive 42% from the prior-year period’s level. The top line also beat the Zacks Consensus Estimate by 0.6%. The growth was primarily driven by an increase in the purchase volume of products, both in the United States and abroad.
Revenues from coronary products grew nearly 50% during the third quarter, while peripheral product sales improved approximately 30%. Coronary franchise sales were driven by the strong adoption of new coronary device C2+ in international markets. The device was launched in the U.S. market during the third quarter.
While U.S. revenues were up 33% year over year, International revenues grew 88%. Internationally, SWAV’s sales were boosted by strong momentum in Germany, the United Kingdom, Italy, Spain and France.
Q3 Highlights
In August, the Centers for Medicare & Medicaid Services (CMS) created new Medicare Severity Diagnosis Related Group (MS-DRG) codes and payments for coronary Intravascular Lithotripsy (IVL) in the hospital inpatient setting.
Per the new codes, new coronary IVL-specific MS-DRGs are associated with higher payments than the MS-DRG payments for other Percutaneous Coronary Intervention procedures. Again, the CMS established a Category I Current Procedural Terminology add-on code for procedures involving coronary earlier this month. Under this new category, physicians will get a 20-30% increase in remuneration for the additional work associated with performing coronary IVL.
In September, SWAV appointed Nick West as the Associate Chief Medical Officer (CMO), who will likely succeed Dr. Dawkins as CMO in mid-2024.
Margins
Gross profit in the reported quarter was $161.5 million, up 42.3% year over year. As a percentage of revenues, the gross margin in the quarter was 87%, up 100 basis points year over year.
Sales and marketing expenses amounted to $56.9 million, up 35.2% from the prior-year quarter’s level. Research and development expenses totaled $39.5 million, up 95.9% on a year-over-year basis.
Operating income totaled $43.6 million compared with the year-ago quarter’s level of $36.8 million.
Financial Position
Shockwave Medical exited the third quarter with cash, cash equivalents and investments of $917.3 million compared with $258.6 million in the previous quarter.
Total assets amounted to $1.47 billion compared with $786.6 million at the end of the second quarter of 2023.
2023 Revenue Outlook
For 2023, Shockwave Medical continues to expect revenues in the band of $725-$730 million. The projected top line implies growth of 48-49% from the prior-year period’s level. The Zacks Consensus Estimate for the same is pegged at $729.8 million.
ShockWave Medical, Inc. Price, Consensus and EPS Surprise
ShockWave Medical, Inc. price-consensus-eps-surprise-chart | ShockWave Medical, Inc. Quote
Wrapping Up
SWAV ended the third quarter on a positive note, wherein both earnings and revenues beat their respective Zacks Consensus Estimate. The company exhibited significant revenue growth in the same quarter. Strong top-line growth across all categories is also encouraging. The expansion in gross margin buoys optimism as it will likely boost earnings going forward.
Management is optimistic about the continued clinical acceptance and penetration of IVL. Considering the fact that the C2+ device holds a strong demand in the international market, the launch of the same in the United States looks promising. This is due to the technology’s strong results in the quarter under review as well as a higher outlook for 2023 revenues. Moreover, higher pay rates for physicians for IVL procedure is likely to benefit the adoption of SWAV’s products, thereby boosting its top-line growth.
However, an increase in operating expenses is a concern.
Zacks Rank and Other Key Picks
Currently, Shockwave Medical carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank #2 at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
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ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30601.0 | 2023-11-06 00:00:00 UTC | Validea's Top Health Care Stocks Based On Peter Lynch - 11/6/2023 | ABT | https://www.nasdaq.com/articles/valideas-top-health-care-stocks-based-on-peter-lynch-11-6-2023 | nan | nan | The following are the top rated Health Care stocks according to Validea's P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
DANAHER CORPORATION (DHR) is a large-cap growth stock in the Scientific & Technical Instr. industry. The rating according to our strategy based on Peter Lynch is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Danaher Corporation designs, manufactures and markets professional, medical, industrial, and commercial products and services. The Company's Biotechnology segment includes the bioprocessing and discovery and medical businesses and offers a range of tools, consumables and services that are used by customers to advance and accelerate the research, development, manufacture and delivery of biological medicines. Its Life Sciences segment offers a range of instruments and consumables that are used by customers to study the basic building blocks of life, including deoxyribonucleic acid (DNA)and ribonucleic acid (RNA), nucleic acid, proteins, metabolites and cells, in order to understand the causes of disease, identify new therapies, and test and manufacture new drugs, and vaccines. Its Diagnostics segment offers clinical instruments, reagents, consumables, software that hospitals, physicians' offices, reference laboratories and other critical care settings use to diagnose disease.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of DANAHER CORPORATION
DHR Guru Analysis
DHR Fundamental Analysis
PFIZER INC. (PFE) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating according to our strategy based on Peter Lynch is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Pfizer Inc. is a research-based biopharmaceutical company. The Company is engaged in the discovery, development, manufacture, marketing, sale and distribution of biopharmaceutical products around the world. The Company operates through two segments: Biopharma and PC1. Biopharma is engaged in the science-based biopharmaceutical business. PC1 is its global contract development and manufacturing organization and supplier of specialty active pharmaceutical ingredients. The Company's primary care products include Eliquis, Nurtec ODT/Vydura and the Premarin family; the Prevnar family, Nimenrix, FSME/IMMUN-TicoVac and Trumenba; Comirnaty, and Paxlovid. Its specialty care products include Xeljanz, Enbrel (outside the United States and Canada), Inflectra, Eucrisa/Staquis and Cibinqo; the Vyndaqel family, Oxbryta, BeneFIX and Genotropin, and Sulperazon, Medrol, Zavicefta, Zithromax, Vfend and Panzyga. Its oncology products include Ibrance, Xtandi, Inlyta, Retacrit, Lorbrena and Braftovi.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of PFIZER INC.
PFE Guru Analysis
PFE Fundamental Analysis
ELEVANCE HEALTH INC (ELV) is a large-cap growth stock in the Insurance (Accident & Health) industry. The rating according to our strategy based on Peter Lynch is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Elevance Health, Inc. is a health company. It operates as a health insurer in the United States. The Company operates through four segments: Health Benefit, CarelonRx, Carelon Services, and Corporate & Other. The Health Benefits segment offers a comprehensive suite of health plans and services to individual, employer group risk-based, employer group fee-based, BlueCard, Medicare, Medicaid and federal employees health benefits (FEHB) program members. The CarelonRx segment includes its pharmacy business. CarelonRx markets and offers pharmacy services to affiliated health plan customers, as well as to external customers outside of the health plans. Carelon Services offers a broad array of healthcare-related services and capabilities to internal and external customers including integrated care delivery, behavioral health, palliative care, utilization management, payment integrity services and subrogation services, as well as health and wellness programs.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
YIELD ADJUSTED P/E TO GROWTH (PEG) RATIO: PASS
EARNINGS PER SHARE: PASS
TOTAL DEBT/EQUITY RATIO: NEUTRAL
EQUITY/ASSETS RATIO: PASS
RETURN ON ASSETS: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ELEVANCE HEALTH INC
ELV Guru Analysis
ELV Fundamental Analysis
ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating according to our strategy based on Peter Lynch is 87% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Abbott Laboratories is a global healthcare company. The Company's portfolio of technologies spans the spectrum of healthcare, with businesses and products in diagnostics, medical devices, nutritional and branded generic medicines. Its segments include Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. The Established Pharmaceutical Products segment is engaged in the international sales of a broad line of branded generic pharmaceutical products. The Diagnostic Products segment is engaged in the worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories, and alternate-care testing sites. The Nutritional Products segment is involved in the worldwide sales of a broad line of adult and pediatric nutritional products. The Medical Devices segment includes the worldwide sales of rhythm management, electrophysiology, heart failure, vascular, structural heart, neuromodulation, and diabetes care products.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ABBOTT LABORATORIES
ABT Guru Analysis
ABT Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Detailed Analysis of ELEVANCE HEALTH INC ELV Guru Analysis ELV Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. The Company's Biotechnology segment includes the bioprocessing and discovery and medical businesses and offers a range of tools, consumables and services that are used by customers to advance and accelerate the research, development, manufacture and delivery of biological medicines. | Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Detailed Analysis of ELEVANCE HEALTH INC ELV Guru Analysis ELV Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of DANAHER CORPORATION DHR Guru Analysis DHR Fundamental Analysis PFIZER INC. (PFE) is a large-cap growth stock in the Biotechnology & Drugs industry. | Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Detailed Analysis of ELEVANCE HEALTH INC ELV Guru Analysis ELV Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of PFIZER INC. PFE Guru Analysis PFE Fundamental Analysis ELEVANCE HEALTH INC (ELV) is a large-cap growth stock in the Insurance (Accident & Health) industry. | Detailed Analysis of ELEVANCE HEALTH INC ELV Guru Analysis ELV Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Company Description: Danaher Corporation designs, manufactures and markets professional, medical, industrial, and commercial products and services. |
30602.0 | 2023-11-06 00:00:00 UTC | Insulet (PODD) Q3 Earnings Beat, 2023 Sales Growth View Up | ABT | https://www.nasdaq.com/articles/insulet-podd-q3-earnings-beat-2023-sales-growth-view-up | nan | nan | Insulet Corporation PODD reported adjusted earnings per share (EPS) of 71 cents for third-quarter 2023, improving from the year-ago period’s adjusted EPS of 45 cents per share.
Third-quarter 2023 adjusted earnings exceeded the Zacks Consensus Estimate by 77.5%.
The quarter’s adjustment excludes a charge associated with a voluntary medical device correction notice issued to replace the Omnipod DASH Personal Diabetes Managers.
GAAP EPS was 74 cents against a net loss of 8 cents per share in the year-ago period.
Revenues
Revenues in the third quarter totaled $432.7 million, beating the Zacks Consensus Estimate by 4.6%. The top line jumped 27% from the year-ago quarter’s number (up 25.1% at the constant exchange rate or CER).
Segment in Detail
Insulet’s Total Omnipod revenues of $380.5 million reflected an increase of 33.2% year over year (up 33% at CER). International Omnipod revenues of $103.7 million rose 16% (up 15.5% at CER). U.S. Omnipod revenues grew 40.9% year over year to $276.8 million.
Total Omnipod revenues of $422.0 million marked an increase of 29.4% or 27.5% in constant currency.
The Drug Delivery business revenues totaled $10.7 million, down 27.2% year over year.
Margins
Gross profit in the reported quarter was $293.3 million, up 55.8% from the prior-year quarter’s levels. Gross margin of 67.8% expanded 1253 basis points year over year.
Selling, general & administrative expenses rose 28.7% to $180.7 million.
Research and development expenses rose 28.4% year over year to $57.8 million.
Insulet Corporation Price, Consensus and EPS Surprise
Insulet Corporation price-consensus-eps-surprise-chart | Insulet Corporation Quote
The operating profit in the quarter was $54.8 million, surging from the year-ago quarter’s operating profit of $2.9 million. Operating margin expanded 1181 basis points year over year.
Cash Position
Insulet exited the third quarter of 2023 with cash and cash equivalents of $685.4 million compared with $674.7 million at the end of the second quarter.
2023 Guidance
Insulet updated full-year 2023 guidance and provided a fourth-quarter 2023 outlook.
For 2023, the company raised its revenue growth guidance to the range of 26-27% (up from the earlier band of 22-25%). The Zacks Consensus Estimate for total revenues is pegged at $1.57 billion, suggesting a 20.3% growth from the year-ago reported number.
Insulet’s Total Omnipod revenue growth is expected in the range of 29-30% (25-28% expected previously). The company reiterated its expectation of Drug Delivery revenue decline to 50-45%.
For the fourth quarter of 2023, Insulet projects revenue growth of 22-25%. The Zacks Consensus Estimate for total revenues is pegged at $397.3 million.
Total Omnipod revenues are likely to grow 22-25%. Drug Delivery revenues are expected to be in the range of 0-70% ((approximately $3 million to $5 million).
Our Take
Insulet exited the third quarter of 2023 with better-than-expected earnings and revenues. The company’s performance benefited as a result of the continued high demand for Omnipod 5 – both in the United States and globally. During the quarter, Insulet received FDA 510(k) clearance for the Omnipod 5 iOS App and expects to begin a U.S. limited market release in early 2024. The company commercially launched Omnipod 5 in Germany — the second European Omnipod 5 launch — with the intent to launch Omnipod 5 more broadly across Europe starting in 2024. The expansion of both margins is encouraging. The raised 2023 revenue guidance instills optimism.
However, the decline in the Drug Delivery business is discouraging. Further, supply chain disruptions and inflationary pressure continue to challenge business operations. Increasing expenses continue to be a concern.
Zacks Rank and Other Key Picks
Insulet currently carries Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2, reported adjusted EPS of $1.14 in third-quarter 2023, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Inari Medical, carrying a Zacks Rank #2, reported adjusted EPS of 4 cents in third-quarter 2023, beating the Zacks Consensus Estimate by a staggering 128.6%. Revenues of $119 million outpaced the consensus estimate by 2.3%.
Inari Medical has an estimated earnings growth rate of 725% for the following year. Inari Medical’s earnings surpassed estimates in all the trailing four quarters, the average being 66.8%.
Integer Holdings reported a third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30603.0 | 2023-11-06 00:00:00 UTC | 3 Dividend Kings to Buy for Royal Returns | ABT | https://www.nasdaq.com/articles/3-dividend-kings-to-buy-for-royal-returns | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Investing in the stock market is a journey of both patience and foresight. Dividend kings reign supreme in this realm, offering high-yield dividends and long-term investment opportunities. These stocks don’t just grow; they boast consistent dividend increases year after year. They represent financial stability and steady shareholder returns. In an era obsessed with quick wins, Dividend kings offer portfolio resilience and passive income. That makes them a bastion of reliability in an unpredictable market.
Beyond mere market outperformance, there are blue-chip dividends that promise enduring success. Dividend kings, surpassing dividend aristocrats, have a heralded history. They’ve raised their dividends for 50 years or more. Such a track record speaks to an extraordinary dividend payout ratio and a business model geared for compound growth. For investors, these stocks stand as fortresses, unyielding against economic fluctuations.
Quality yields are crucial in the hunt for royal returns. Dividend kings deliver not just high-yield dividends but also risk-adjusted returns. These returns shield against inflation’s eroding effects. As living costs climb, the inflation-beating dividends of these companies offer solace. Their reliability, growth potential and robustness make dividend kings the cornerstone of any savvy investor’s portfolio.
Emerson Electric (EMR)
Source: Shutterstock
Emerson Electric (NYSE:EMR) stands tall among dividend kings despite a year-to-date dip of 4.3%. The company’s recent earnings tell a tale of financial prowess. Its net income skyrocketed to an impressive $9.35 billion. That represents a year-over-year increase that commands attention. The net profit margin swelled remarkably to 237%, a feat worth noting.
Cash and short-term investments saw a significant uptick. Consequently, they have reached a soaring high of $10 billion, up by almost 299%. Undoubtedly, that speaks volumes about the company’s strategic financial navigation.
Moreover, the balance sheet strength is evident, with assets now standing at $44.17 billion. Simultaneously, liabilities have been trimmed by 14.4%, reflecting shrewd financial management. Furthermore, free cash flow has blossomed, marking an 83% increase. That liquidity underpins the company’s capacity for reinvestment and dividend reliability.
In terms of shareholder value, it is underscored by a price-to-book ratio of 2.55. That indicates potential undervaluation. Additionally, with a return on assets at 5.4% and a return on capital at 6.9%, efficiency is apparent. Consequently, liquidity concerns are allayed by an average volume of 2.83 million shares.
Regarding valuation, the P/E ratio hovers around 4, spotlighting the stock as a value proposition. Also, a 2.3% dividend yield reinforces its appeal to income-seeking investors. Notably, Emerson Electric’s shift towards automation is key; that makes its current valuation even more intriguing.
Against the backdrop of strategic acquisitions, such as the $8.2 billion National Instruments deal, growth seems imminent. Encouragingly, the EU and China have given the green light, paving the way for expansion. Therefore, Emerson Electric emerges as a company ripe with potential, and it is set to thrive on the gains from its well-calculated business moves.
Abbott Laboratories (ABT)
Source: Sundry Photography/Shutterstock.com
Abbott Laboratories (NYSE:ABT) stands resilient despite falling 12.5% year-to-date. September 2023 financials showed revenue at $10.14 billion, a 2.6% dip. Yet, a slimmed-down operating expense suggests smart cost control. Net income held firm at $1.44 billion, indicating profitability amid market headwinds.
The company’s net profit margin has improved to 14.2%, thereby hinting at an efficient operational model. Meanwhile, earnings per share were slightly down at $1.14 but still surpassed expectations, indicating the market may underappreciate Abbott’s financial health.
Additionally, for dividend seekers, Abbott shines as a dividend king, boasting a steady 2.1% yield. Moreover, its price-to-book ratio of 4.44 points to a reasonable stock valuation against assets.
Looking at the balance sheet, there’s evidence of strength, with a modest 1% reduction in total assets to $72.09 billion and a more notable 6.8% liability cut. Consequently, a return on assets at 6.1% and a return on capital at 8.2% affirm the company’s adept asset utilization.
Despite a decrease in cash from operations to $1.88 billion, Abbott’s $1.03 billion in free cash flow solidly underpins its ability to fund growth and dividends. Furthermore, with FDA nods for diagnostics and encouraging device segment data, Abbott is geared for future expansion.
In conclusion, Abbott Laboratories, a diverse healthcare name, is positioned not just for steady dividends but also as a growth contender, ready for an upswing in financial performance.
McCormick & Company (MKC)
Source: Shutterstock
McCormick & Company (NYSE:MKC) has weathered a challenging market, marked by a year-to-date dip of 22%. As a dividend king, the company’s resilience is under the microscope, particularly with its latest financial seasoning.
The recent earnings report revealed a revenue rise of 5.5%, hinting at a sustained appetite for McCormick’s offerings. The spice maker’s operational efficiency was evident with a 5.8% increase in EBITDA despite a 13.3% rise in operating expenses. That underscores a strong operational core amid economic headwinds.
Yet, not all is savory. McCormick’s net income experienced a downturn of 23.7%, with profit margins contracting by 27.6%. Earnings per share were slightly tarnished, descending to $0.65. In contrast, the surge in cash from operations by a robust 177.9% sprinkled some positive notes on the financial statement.
The balance sheet presents a mix of strengths and weaknesses. A significant 55% reduction in cash and short-term investments was notable, accompanied by a slight increase in total assets to $12.99 billion and a 5% reduction in total liabilities. McCormick showcased a strengthening financial structure.
The dividend narrative continues to be a draw, with McCormick maintaining its dividend payout, reinforcing its stature among dividend stocks to buy. Such consistency aligns with its storied history of increasing dividends, illustrating a dedication to shareholder value.
As investors survey the landscape, McCormick’s fundamentals signal a potential buy for those focused on long-term yields. However, with the current fluctuations, a measured approach is prudent. Keeping an eye on the price and timing could yield a savory opportunity in a portfolio looking for a blend of stability and growth.
On the publication date, Faizan Farooque did not hold (directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Faizan Farooque is a contributing author for InvestorPlace.com and numerous other financial sites. Faizan has several years of experience in analyzing the stock market and was a former data journalist at S&P Global Market Intelligence. His passion is to help the average investor make more informed decisions regarding their portfolio.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com Abbott Laboratories (NYSE:ABT) stands resilient despite falling 12.5% year-to-date. Looking at the balance sheet, there’s evidence of strength, with a modest 1% reduction in total assets to $72.09 billion and a more notable 6.8% liability cut. In conclusion, Abbott Laboratories, a diverse healthcare name, is positioned not just for steady dividends but also as a growth contender, ready for an upswing in financial performance. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com Abbott Laboratories (NYSE:ABT) stands resilient despite falling 12.5% year-to-date. Emerson Electric (EMR) Source: Shutterstock Emerson Electric (NYSE:EMR) stands tall among dividend kings despite a year-to-date dip of 4.3%. McCormick & Company (MKC) Source: Shutterstock McCormick & Company (NYSE:MKC) has weathered a challenging market, marked by a year-to-date dip of 22%. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com Abbott Laboratories (NYSE:ABT) stands resilient despite falling 12.5% year-to-date. Despite a decrease in cash from operations to $1.88 billion, Abbott’s $1.03 billion in free cash flow solidly underpins its ability to fund growth and dividends. The dividend narrative continues to be a draw, with McCormick maintaining its dividend payout, reinforcing its stature among dividend stocks to buy. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com Abbott Laboratories (NYSE:ABT) stands resilient despite falling 12.5% year-to-date. They represent financial stability and steady shareholder returns. Their reliability, growth potential and robustness make dividend kings the cornerstone of any savvy investor’s portfolio. |
30604.0 | 2023-11-04 00:00:00 UTC | Looking for a Lifetime of Passive Income? 2 Top Dividend Stocks to Buy and Hold Forever | ABT | https://www.nasdaq.com/articles/looking-for-a-lifetime-of-passive-income-2-top-dividend-stocks-to-buy-and-hold-forever | nan | nan | Dividend stocks are great because they offer you payments no matter how they perform -- and no matter how the market performs. So, even when market times are tough, you can count on these stocks to keep your portfolio afloat. And in better times, it's always nice to collect the extra income, or even reinvest the payment to increase your holding of a particular stock.
But how can you be sure a company will stick with dividend payments? Of course, there's no way to be 100% certain, but some elements should make us pretty confident.
One is the company's financial situation. High levels of free cash flow, paired with a reasonable cash dividend payout ratio, suggest the company can afford to make these payouts and even lift its dividend. Second is the dividend track record. If the company raises its dividend nonstop for a number of years, rewarding shareholders is clearly a priority. These sorts of players could pay you a lifetime of passive income -- and here are two to buy now and hold forever.
Image source: Getty Images.
1. AbbVie
AbbVie (NYSE: ABBV) formed in 2013 when it split from healthcare giant Abbott Laboratories. Abbott is a Dividend King, meaning it's lifted its dividend for more than 50 years. AbbVie is continuing with the tradition, having increased its quarterly payments by 285% since the company's creation.
The pharma giant recently announced a 4.7% increase to $1.55 per share, and it's not too late for you to benefit. If you get in on the stock by Jan. 16 of next year, you'll collect the payment a month later.
AbbVie's dividend growth may be a bit slower these days than it was when top drug Humira's sales were on the rise. With the immunology blockbuster facing competition, AbbVie's earnings have declined, and that's made management a bit more cautious. This is a good thing because it means AbbVie is keeping payments at a sustainable level. And in the most recentearnings call AbbVie said it plans to "step up" dividend growth once earnings strength returns.
ABBV Free Cash Flow data by YCharts
There's reason to believe earnings strength will return, thanks to AbbVie's two newer immunology drugs, Rinvoq and Skyrizi. Together, they could deliver revenue of more than $21 billion by 2027, surpassing Humira's peak levels, and continue to grow well into the next decade. In the most recent quarter, Rinvoq and Skyrizi revenues each climbed more than 50%.
AbbVie also has a variety of other top-selling products in areas from neuroscience to aesthetics. So, if you buy shares of this drugmaker, you're likely to benefit from a new phase of earnings growth and passive income as far as the eye can see.
2. Johnson & Johnson
Johnson & Johnson (NYSE: JNJ) also has an impressive dividend track record, easily making the list of Dividend Kings. It's lifted the payment for more than 60 years, and today it offers you $4.76 per share annually at a dividend yield of 3.17%. The yield is higher than the industry average of 2.15%, according to NYU Stern Business School data.
Considering J&J's $15 billion in free cash flow, there's reason to be optimistic it will continue lifting payments.
JNJ Free Cash Flow data by YCharts
Like AbbVie, J&J may be entering a new phase of growth. The healthcare giant recently spun off its consumer health unit to focus on its higher-growth businesses of pharmaceuticals and medtech. In the most recent quarter, the company reported operational growth of 9% (excluding its coronavirus vaccine).
The consumer health spinoff left J&J with more than $13 billion in proceeds, which could be used to buy a company or platform or further boost internal growth. J&J is also confident about meeting its goal of $57 billion in pharmaceuticals revenue in 2025, led by several blockbuster drugs including immunology drug Tremfya and oncology drug Darzalex. And though top immunology drug Stelara is set to face competition, that won't happen in the U.S. until 2025 -- giving that product time to help J&J toward the goal.
Finally, J&J has more than 90 candidates in the pipeline, so there's plenty of potential for growth from 2025 onward.
All this means J&J shareholders should not only benefit from growth in passive income in the coming years -- but also possibly from share price performance as J&J's focus on its most promising businesses pays off.
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Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | ABBV Free Cash Flow data by YCharts There's reason to believe earnings strength will return, thanks to AbbVie's two newer immunology drugs, Rinvoq and Skyrizi. And though top immunology drug Stelara is set to face competition, that won't happen in the U.S. until 2025 -- giving that product time to help J&J toward the goal. All this means J&J shareholders should not only benefit from growth in passive income in the coming years -- but also possibly from share price performance as J&J's focus on its most promising businesses pays off. | High levels of free cash flow, paired with a reasonable cash dividend payout ratio, suggest the company can afford to make these payouts and even lift its dividend. With the immunology blockbuster facing competition, AbbVie's earnings have declined, and that's made management a bit more cautious. ABBV Free Cash Flow data by YCharts There's reason to believe earnings strength will return, thanks to AbbVie's two newer immunology drugs, Rinvoq and Skyrizi. | High levels of free cash flow, paired with a reasonable cash dividend payout ratio, suggest the company can afford to make these payouts and even lift its dividend. ABBV Free Cash Flow data by YCharts There's reason to believe earnings strength will return, thanks to AbbVie's two newer immunology drugs, Rinvoq and Skyrizi. Johnson & Johnson Johnson & Johnson (NYSE: JNJ) also has an impressive dividend track record, easily making the list of Dividend Kings. | But how can you be sure a company will stick with dividend payments? Abbott is a Dividend King, meaning it's lifted its dividend for more than 50 years. That's right -- they think these 10 stocks are even better buys. |
30605.0 | 2023-11-03 00:00:00 UTC | Stryker (SYK) Q3 Earnings Beat on Strong Segmental Result | ABT | https://www.nasdaq.com/articles/stryker-syk-q3-earnings-beat-on-strong-segmental-result | nan | nan | Stryker Corporation SYK reported third-quarter 2023 adjusted earnings per share (EPS) of $2.46, which beat the Zacks Consensus Estimate of $2.44 by 0.8%. The bottom line also improved 16% year over year.
GAAP EPS was $1.80, down 15.9% from that recorded in the prior-year quarter.
Revenue Details
Revenues totaled $4.91 billion, which beat the Zacks Consensus Estimate of $4.88 billion by 0.6%. The top line also improved 9.6% on a year-over-year basis and 9.3% at constant currency (cc).
Revenues by Geography
Revenues in the United States amounted to $3.68 billion, up 9.5% from the prior-year quarter’s actual. International sales increased 8.7% to $1.23 billion and were up 10% year over year reportedly, and up 8.9% excluding the negative impact of currency.
Segmental Analysis
MedSurg and Neurotechnology: This segment reported sales of $2.86 billion, up 10.5% year over year and 10.3% at cc. Sales growth was driven by increased unit volume as well as higher prices.
Orthopedics and Spine: Sales at the segment amounted to $2.05 billion, up 8.4% year over year and 8% at cc. This growth was driven by increased unit volume, partially offset by lower prices.
Margins
Adjusted gross profit totaled $3.18 billion in the reported quarter, up 13.4% from the year-ago quarter’s figure. Adjusted gross margin was 64.7%, up 210 basis points (bps).
Total operating expenses were $2.23 billion, up 12.8% from the year-ago quarter’s level.
Adjusted operating income totaled $1.15 billion, up 14.8% from that reported in the prior-year quarter. Adjusted operating margin was 23.4%, up 110 bps.
Financial Update
Stryker exited the third quarter with cash and cash equivalents of $1.93 billion compared with $1.48 billion in the preceding quarter.
Cumulative net cash provided by operating activities in the third quarter totaled $2.18 billion compared with $1.62 billion a year ago.
2023 Guidance Raised
Stryker announced its updated guidance for 2023. The company now expects organic growth for total revenues in the 10-10.5% range, up from its previous expectation of 9.5-10.5%.
SYK now expects adjusted EPS in the band of $10.35-$10.45, implying growth of 10.8% at the midpoint of the range. The Zacks Consensus Estimate for the same is pegged at $10.16. The previously guided range for adjusted EPS was $10.25-$10.45.
The company expects unfavorable currency movement to hurt top-line growth and EPS by 0.6% and 10-15 cents, respectively, in 2023.
Stryker Corporation Price, Consensus and EPS Surprise
Stryker Corporation price-consensus-eps-surprise-chart | Stryker Corporation Quote
Wrapping Up
Stryker exited third-quarter 2023 on a strong note, wherein both earnings and revenues beat their respective Zacks Consensus Estimate. The company witnessed strong performance across its segments in the United States. Strong International sales also buoy optimism. SYK expects the momentum to continue in the last quarter of 2023 on the back of ongoing procedural recovery, a strong order book for capital equipment and an improvement in price.
The company is adopting several cost-cutting measures, including restructuring plans. Stryker’s prospects in 2023 seem promising on the back of strong customer demand for its existing products as well as new launches. Its guidance for 2023 earnings and revenues appears encouraging.
Moreover, the expansion in both gross and operating margins is reassuring. However, stiff competition in the MedTech space is a concern.
Zacks Rank
Stryker currently carries a Zacks Rank #2 (Buy).
Other Key Picks
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank #2 at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Other Key Picks Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Stryker Corporation (SYK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Stryker Corporation (SYK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Other Key Picks Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Stryker Corporation (SYK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Other Key Picks Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Other Key Picks Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Stryker Corporation (SYK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30606.0 | 2023-11-03 00:00:00 UTC | Peter Lynch Detailed Fundamental Analysis - ABT | ABT | https://www.nasdaq.com/articles/peter-lynch-detailed-fundamental-analysis-abt-7 | nan | nan | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating using this strategy is 87% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ABBOTT LABORATORIES
ABT Guru Analysis
ABT Fundamental Analysis
More Information on Peter Lynch
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. | Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. |
30607.0 | 2023-11-03 00:00:00 UTC | Penumbra (PEN) Q3 Earnings Top Estimates, Margins Increase | ABT | https://www.nasdaq.com/articles/penumbra-pen-q3-earnings-top-estimates-margins-increase | nan | nan | Penumbra, Inc. PEN reported third-quarter 2023 adjusted earnings per share (“EPS”) of 67 cents, which beat the Zacks Consensus Estimate of 46 cents by a huge 45.7%. The company had recorded an adjusted income of 1 cent per share in the year-ago period.
GAAP EPS was 23 cents against a loss per share of 6 cents in the prior-year quarter.
Revenues in Detail
Penumbra registered revenues of $270.9 million in the reported quarter, up 26.8% year over year on a reported basis and 25.9% at a constant exchange rate or CER. The figure also surpassed the Zacks Consensus Estimate by 1.9%.
Quarter in Details
The company reports under two geographical segments — United States and International — as well as under two product categories — Vascular and Neuro.
PEN recorded revenues of $194.8 million (72% of total revenues) in the United States, up 30.9% on a reported basis as well as at CER year over year.
Sales improved 17.4% to $76.1 million in the International segment. Excluding foreign currency impact, the unit’s sales were up 14.3% year over year.
The company registered revenues of $171.4 million from sales of vascular products, up 38.9% reportedly and 38.5% at CER from the prior-year level. There was 50.2% year-over-year growth in U.S. vascular thrombectomy.
Penumbra, Inc. Price, Consensus and EPS Surprise
Penumbra, Inc. price-consensus-eps-surprise-chart | Penumbra, Inc. Quote
Sales of neuro products totaled $99.5 million, up 10.2% on a reported basis and 8.5% at CER. This business reported strong contributions from new products in the United States and Europe.
Margin Trend
In the reported quarter, Penumbra’s gross profit improved 31.3% to $177.7 million. Gross margin expanded 226 basis points to 65.6% despite an 18.9% rise in the cost of revenues.
Selling, general and administrative expenses rose 15.9% to $125.9 million. Research and development expenses totaled $20.9 million, down 1.7% year over year. Total operating expenses came in at $146.9 million, up 13.1% year over year.
Adjusted operating margin of 11.4% marked an 884-basis point expansion from the prior-year quarter’s figure.
Financial Update
Penumbra exited third-quarter 2023 with cash and cash equivalents and marketable investments of $240.9 million compared with the second-quarter record of $114.2 million.
2023 Guidance
For the fourth quarter of 2023, the company projects total company revenue growth to accelerate to 28% to 31% year over year. This correlates to the midpoint of the 2023 annual guidance range of $1.05-$1.07 billion, implying a 24-26% improvement from 2022. The Zacks Consensus Estimate for fourth-quarter and full-year 2023 revenues is pegged at $290.2 million and $1.06 billion, respectively.
Our Take
Penumbra exited the third quarter of 2023 with encouraging results, wherein both revenues and earnings beat estimates.
The company’s vascular and neuro product categories showed encouraging growth trends. Its robust estimate for 2023 revenues reflects continued demand for its products. Strong uptake following the launch of Lightning Flash, Lightning Bolt 7 and RED 72 with SENDit technology accelerated top-line growth.
Moreover, Penumbra’s ability to improve margins and EPS amid ongoing inflationary pressures and supply-chain headwinds buoy optimism.
Zacks Rank and Stocks to Consider
Currently, Penumbra carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Inari Medical, carrying a Zacks Rank #2, reported third-quarter 2023 adjusted EPS of 4 cents, beating the Zacks Consensus Estimate by a staggering 128.6%. Revenues of $119 million outpaced the consensus estimate by 2.3%.
Inari Medical has an estimated earnings growth rate of 725% for the next year. Inari Medical’s earnings surpassed estimates in all the trailing four quarters, the average being 66.8%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Penumbra, Inc. (PEN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Penumbra, Inc. (PEN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Penumbra, Inc. (PEN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Penumbra, Inc. (PEN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30608.0 | 2023-11-03 00:00:00 UTC | Investors Heavily Search Abbott Laboratories (ABT): Here is What You Need to Know | ABT | https://www.nasdaq.com/articles/investors-heavily-search-abbott-laboratories-abt%3A-here-is-what-you-need-to-know-2 | nan | nan | Abbott (ABT) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Shares of this maker of infant formula, medical devices and drugs have returned -0.3% over the past month versus the Zacks S&P 500 composite's +0.8% change. The Zacks Medical - Products industry, to which Abbott belongs, has lost 3.2% over this period. Now the key question is: Where could the stock be headed in the near term?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate Revisions
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Abbott is expected to post earnings of $1.19 per share for the current quarter, representing a year-over-year change of +15.5%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.2%.
For the current fiscal year, the consensus earnings estimate of $4.44 points to a change of -16.9% from the prior year. Over the last 30 days, this estimate has changed +0.9%.
For the next fiscal year, the consensus earnings estimate of $4.62 indicates a change of +3.9% from what Abbott is expected to report a year ago. Over the past month, the estimate has changed +0.4%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Abbott.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth Forecast
Even though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For Abbott, the consensus sales estimate for the current quarter of $10.14 billion indicates a year-over-year change of +0.5%. For the current and next fiscal years, $40.01 billion and $41.55 billion estimates indicate -8.4% and +3.9% changes, respectively.
Last Reported Results and Surprise History
Abbott reported revenues of $10.14 billion in the last reported quarter, representing a year-over-year change of -2.6%. EPS of $1.14 for the same period compares with $1.15 a year ago.
Compared to the Zacks Consensus Estimate of $9.79 billion, the reported revenues represent a surprise of +3.6%. The EPS surprise was +3.64%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
Valuation
Without considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Abbott is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom Line
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Abbott. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott (ABT) has recently been on Zacks.com's list of the most searched stocks. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Shares of this maker of infant formula, medical devices and drugs have returned -0.3% over the past month versus the Zacks S&P 500 composite's +0.8% change. | Abbott (ABT) has recently been on Zacks.com's list of the most searched stocks. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. The chart below shows the evolution of the company's forward 12-month consensus EPS estimate: 12 Month EPS Revenue Growth Forecast Even though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. | Abbott (ABT) has recently been on Zacks.com's list of the most searched stocks. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. | Abbott (ABT) has recently been on Zacks.com's list of the most searched stocks. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. When earnings estimates for a company go up, the fair value for its stock goes up as well. |
30609.0 | 2023-11-03 00:00:00 UTC | Fresenius Medical (FMS) Q3 Earnings Miss, Operating Margin Up | ABT | https://www.nasdaq.com/articles/fresenius-medical-fms-q3-earnings-miss-operating-margin-up | nan | nan | Fresenius Medical Care AG & Co. KGaA FMS reported third-quarter 2023 adjusted earnings per share (EPS) of 31 cents, which missed the Zacks Consensus Estimate of 37 cents by 16.2%. The bottom line declined 22.5% year over year.
Revenue Details
Revenues of $5.37 billion (EUR 4,936 million) missed the Zacks Consensus Estimate by 1%. The company reported a revenue decline of 3% year over year and 7% at constant currency (cc) as well as on an organic basis.
Segmental Details
Fresenius Medical implemented a new operating model during the first quarter and started reporting under two new segments — Care Delivery and Care Enablement. Previously, the company reported under the Health Care Products and Health Care Services segments. The Care Delivery segment primarily consists of products earlier reported under the Health Care Services segment.
Care Delivery
The segment’s revenues declined 4% on a year-over-year basis but gained 6% at cc and 7% on an organic basis.
Revenues in the U.S. markets declined 3% but gained 4% at cc and 5% on an organic basis. Sales were hurt by the negative exchange rate effect and a decrease in dialysis days. However, the favorable impact from the value-based care business, reimbursement rate increases and a favorable payor mix helped partially offset the decline.
FMS stated that the annualization effect of COVID-19-related excess mortality in the late-stage chronic kidney disease (CKD) and end-stage renal disease (ESRD) population continues to hurt treatment growth in the U.S. market.
International sales declined 7% reportedly but gained 14% at cc and 16% on an organic basis. A negative exchange rate effect and the impact of closed or sold clinics led to the decline, partially offset by a significant effect of hyperinflation in various markets.
Care Enablement
The segment’s revenues decreased 3% year over year, but rose 5% at cc as well as on an organic basis. Sales declined due to the unfavorable impact of currency movement, partially offset by higher sales of in-center disposables, machines for chronic treatment and home hemodialysis products as well as higher average sales prices.
Margins
Operating income, excluding special items and U.S. Provider Relief Funding, was up 14% from that reported in the prior-year quarter. The metric also gained 20% at cc. Operating margin, excluding the aforementioned items, was 8.7%, up 130 bps from the year-ago quarter’s actual.
2023 Outlook
Fresenius Medical maintained its outlook for revenues in 2023. The company expects revenues to grow at a low-to-mid single-digit percentage rate. However, it raised its operating income guidance following favorable earnings growth in the first nine months of 2023. The metric is now estimated to grow at a low-single-digit percentage rate (previously remained flat or declined by up to a low-single-digit percentage rate).
Fresenius Medical Care AG & Co. KGaA Price, Consensus and EPS Surprise
Fresenius Medical Care AG & Co. KGaA price-consensus-eps-surprise-chart | Fresenius Medical Care AG & Co. KGaA Quote
Summing Up
Although FMS exited the third quarter on a dismal note, its results reflected strong organic growth on the back improving treatment volumes as well as a stabilizing labor environment in the United States. A potential continuation of improvement in these two key factors will be beneficial for the company in the rest of 2023. Overall price improvements also supported growth in the Care Enablement segment.
Meanwhile, FMS’ newly implemented operating model led to operational improvements. The bottom line was hurt by inflationary cost increases in energy, material and personnel. These headwinds are likely to improve over the year, which also gets reflected in the company’s operating outlook. In the first nine months, FMS generated EUR 232 million in savings by implementing initiatives under its FME25 transformation program. The company targets savings in the range of 250-300 million euros by 2023-end, and 650 million euros by 2025-end. These are likely to continue to improve the operating margin going forward.
The company’s plans to divest its noncore and dilutive assets look promising as they will help it to focus on its core and growing categories as well as boost its cash resource.
Zacks Rank and Stocks to Consider
Currently, Fresenius Medical carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank #2 (Buy) at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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Abbott Laboratories (ABT) : Free Stock Analysis Report
Fresenius Medical Care AG & Co. KGaA (FMS) : Free Stock Analysis Report
DexCom, Inc. (DXCM) : Free Stock Analysis Report
Integer Holdings Corporation (ITGR) : Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Fresenius Medical Care AG & Co. KGaA (FMS) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Fresenius Medical Care AG & Co. KGaA (FMS) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Fresenius Medical Care AG & Co. KGaA (FMS) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Fresenius Medical Care AG & Co. KGaA (FMS) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30610.0 | 2023-11-03 00:00:00 UTC | Cardinal Health (CAH) Beats on Q1 Earnings, Ups '24 EPS View | ABT | https://www.nasdaq.com/articles/cardinal-health-cah-beats-on-q1-earnings-ups-24-eps-view | nan | nan | Cardinal Health, Inc. CAH reported first-quarter fiscal 2024 adjusted earnings per share (EPS) of $1.73, which beat the Zacks Consensus Estimate of $1.40 by 23.6%. The bottom line also improved 44.2% year over year.
GAAP EPS in the quarter was 2 cents compared with the year-ago period’s level of 40 cents. The significant decline was led by a goodwill impairment charge of $537 million in the Medical segment.
Revenue Details
Sales improved 10.4% on a year-over-year basis to $54.76 billion. The top line also outpaced the Zacks Consensus Estimate by 0.4%.
Segmental Analysis
Pharmaceutical Segment
In the reported quarter, pharmaceutical revenues increased 11% to $51 billion on a year-over-year basis. The performance highlights branded pharmaceutical sales growth from existing Pharmaceutical Distribution and Specialty Solutions customers.
Pharmaceutical profit totaled $507 million, up 18% from the year-ago quarter’s level. The upside was driven by generics program performance and higher contributions from brand and specialty products.
Medical Segment
Revenues at this segment totaled $3.8 billion, flat year over year, as lower PPE volumes and pricing were completely offset by at-home Solutions growth.
The segment reported a profit of $71 million against a loss of $8 million in the year-ago quarter. This upside was driven by an improvement in net inflationary impacts, including mitigation initiatives.
Margin Analysis
Gross profit increased 9.5% year over year to $1.77 billion.
As a percentage of revenues, the gross margin in the reported quarter was 3.2%, almost flat on a year-over-year basis.
Distribution, selling, general and administrative expenses totaled $1.2 billion, flat year over year.
Operating loss amounted to $14 million against the year-ago quarter’s operating income of $137 million. The company recorded Impairments and loss on disposal of assets of $537 million compared with $153 million in the prior-year quarter.
Financial Update
The company exited the reported quarter with cash and cash equivalents of $3.85 billion compared with $4.04 billion in the fiscal fourth quarter of 2023.
Cumulative net cash provided by operating activities totaled $545 million compared with $23 million in the year-ago period.
2024 Guidance Raised
Cardinal Health raised its fiscal 2024 guidance for earnings. The company anticipates adjusted EPS between $6.75 and $7.00, up from the previous guidance of $6.50-$6.75. The Zacks Consensus Estimate for the same is pegged at $6.66.
CAH also raised its guidance for the Pharmaceutical segment’s profit. It now expects growth in the band of 7-9% compared with the earlier projection of 4-6%.
Cardinal Health, Inc. Price, Consensus and EPS Surprise
Cardinal Health, Inc. price-consensus-eps-surprise-chart | Cardinal Health, Inc. Quote
Conclusion
Cardinal Health exited the fiscal first quarter on a strong note with better-than-expected earnings and revenues. The company also witnessed revenue growth in its Pharmaceutical segment. Recovery in the Medical segment is encouraging.
However, intense competition and customer concentration are concerning.
Zacks Rank and Stocks to Consider
Cardinal Health carries a Zacks Rank #3 (Hold) at present.
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank #2 (Buy) at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Abbott Laboratories (ABT) : Free Stock Analysis Report
Cardinal Health, Inc. (CAH) : Free Stock Analysis Report
DexCom, Inc. (DXCM) : Free Stock Analysis Report
Integer Holdings Corporation (ITGR) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30611.0 | 2023-11-03 00:00:00 UTC | AMN Healthcare (AMN) Q3 Earnings and Revenues Beat Estimates | ABT | https://www.nasdaq.com/articles/amn-healthcare-amn-q3-earnings-and-revenues-beat-estimates | nan | nan | AMN Healthcare Services, Inc. AMN delivered adjusted earnings per share (EPS) of $1.97 in the third quarter of 2023, which declined 23.3% year over year. However, the figure surpassed the Zacks Consensus Estimate by 20.1%.
GAAP EPS for the quarter was $1.39, reflecting a 33.8% plunge from the year-ago figure.
Revenues in Detail
AMN Healthcare registered revenues of $853.5 million in the third quarter, down 25% year over year. However, the figure surpassed the Zacks Consensus Estimate by 0.3%.
Segment Details
AMN Healthcare conducts its business via three reportable segments — Nurse and Allied Solutions, Physician and Leadership Solutions and Technology and Workforce Solutions.
In the third quarter of 2023, the Nurse and Allied Solutions segment’s revenues totaled $573.4 million, down 30.8% year over year. Travel nurse staffing revenues were down 34% year over year, whereas Allied revenues declined 12% year over year. This figure compares to our Nurse and Allied Solutions segment’s third-quarter projection of $570.7 million.
The Physician and Leadership Solutions segment’s revenues totaled $159.6 million, down 8.9% year over year despite a 6% uptick in locum tenens revenues, which amounted to $113 million. Interim leadership revenues were down 35% year over year. Physician and leadership search businesses saw revenue decline by 25% year over year. This figure compares to our Physician and Leadership Solutions segment’s third-quarter projection of $169.7 million.
The Technology and Workforce Solutions segment’s revenues totaled $120.5 million, down 10.8% year over year. Language interpretation services business revenues came in at $66 million in the quarter (up 20% year over year), while the vendor management systems business saw a 37% year-over-year revenue decline to reach $38 million. This figure compares to our Technology and Workforce Solutions segment’s third-quarter projection of $109.7 million.
AMN Healthcare Services Inc Price, Consensus and EPS Surprise
AMN Healthcare Services Inc price-consensus-eps-surprise-chart | AMN Healthcare Services Inc Quote
Margin Trend
In the quarter under review, AMN Healthcare’s gross profit fell 24.8% to $289.5 million. However, the gross margin expanded 11 basis points (bps) to 33.9%.
We had projected 33.4% of gross margin for the third quarter.
Selling, general & administrative expenses fell 24.1% to $163.4 million.
Adjusted operating profit totaled $126.1 million, reflecting a 25.7% decline from the prior-year quarter. The adjusted operating margin in the third quarter contracted 12 bps to 14.8%.
Financial Position
AMN Healthcare exited third-quarter 2023 with cash and cash equivalents of $29.4 million compared with $7 million at the end of the second quarter. Total debt at the end of third-quarter 2023 was $945 million compared with $1 billion at the end of the second quarter.
Cumulative net cash provided by operating activities at the end of third-quarter 2023 was $413.3 million compared with $538.4 million a year ago.
Guidance
AMN Healthcare has provided its financial outlook for the fourth quarter of 2023.
For the fourth quarter, the company expects revenues to be $ $790 million-$810 million, reflecting a decline of 28-30% compared with the prior-year figure. The Zacks Consensus Estimate stands at $847.1 million.
With respect to the Nurse and Allied Solutions segment, the company expects revenues to decline 33-35% from the prior-year figure. The Technology and Workforce Solutions segment’s revenues are expected to decline 18% from the prior-year figure.
The company projects third-quarter revenues at the Physician and Leadership Solutions segment to decline 12-14% from the prior-year figure.
Our Take
AMN Healthcare exited the third quarter of 2023 with better-than-expected results. The uptick in locum tenens revenues and Language interpretation services revenues was impressive. The gross margin expansion bodes well for the stock.
Management confirmed that its definitive agreement to acquire MSDR will likely bolster AMN Healthcare’s presence in the robust locum tenens market. On theearnings call management confirmed that the company had strengthened its ability to deliver multifaceted tech-enabled workforce solutions to simplify labor management and provide a variety of options for making the labor force more flexible and cost effective. Additionally, management believes that clients would be able to access AMN Healthcare’s full set of solutions via our better-integrated sales and service organization. These look promising for the stock.
However, AMN Healthcare’s dismal top-line and bottom-line performances were disappointing. The decline in all the segmental revenues during the reported quarter was worrying. The contraction of the adjusted operating margin raises our apprehension about the stock. AMN Healthcare expects to register a decline in its overall top line and all its segments in the fourth quarter of 2023, which is concerning.
Zacks Rank and Stocks to Consider
AMN Healthcare currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 47.1%. Revenues of $975 million surpassed the Zacks Consensus Estimate by 4%. It currently carries a Zacks Rank #2.
DexCom has a long-term estimated growth rate of 33.6%. DXCM’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 36.4%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report AMN Healthcare Services Inc (AMN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report AMN Healthcare Services Inc (AMN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report AMN Healthcare Services Inc (AMN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report AMN Healthcare Services Inc (AMN) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30612.0 | 2023-11-02 00:00:00 UTC | DENTSPLY SIRONA (XRAY) Beats on Q3 Earnings, Lowers '23 Guidance | ABT | https://www.nasdaq.com/articles/dentsply-sirona-xray-beats-on-q3-earnings-lowers-23-guidance | nan | nan | DENTSPLY SIRONA Inc. XRAY reported third-quarter 2023 adjusted earnings per share (EPS) of 49 cents, which beat the Zacks Consensus Estimate of 48 cents by 2.1%. The bottom line improved 19.6% on a year-over-year basis.
On a GAAP basis, the company incurred a loss of $1.25 per share compared with a reported loss of $5.01 in the year-ago quarter.
Revenues
Revenues in the reported quarter totaled $947 million, which missed the Zacks Consensus Estimate by 2.6%. The top line was flat year over year but declined 0.3% on an organic basis. Lower demand for implant and imaging products, mainly in the U.S. market, along with soft demand for technology and dental solutions in Europe, led to the decline. However, strong international growth, caused by the recovery in China, helped offset the decline partially.
Business Details
As a part of its restructuring plan, XRAY changed its reporting structure from Apr 1, 2023. The company reported third-quarter results under four new segments — Connected Technology Solutions, Essential Dental Solutions, Orthodontic and Implant Solutions, and Wellspect Healthcare.
While the Connected Technology Solutions segment consists of equipment, instruments and CAD/CAM business, the Orthodontic and Implant Solutions segment includes the implant systems and aligner solutions. These businesses were formerly part of the erstwhile Technologies and Equipment segment.
The Essential Dental Solutions unit includes endodontic, restorative and preventive consumables businesses, earlier part of the former Consumables segment. The Wellspect Healthcare segment includes urology catheters business, earlier part of Technologies & Equipment, and other healthcare-related consumable businesses, previously under the Consumables segment.
Connected Technology Solutions
Revenues in this segment totaled $276 million, down 3.8% year over year and 4.6% on an organic basis. CAD/CAM demand improved in the U.S. market while recessionary concerns led to softer demand in Europe.
Orthodontic and Implant Solutions
Sales in this segment amounted to $252 million, up 2.2% year over year. On an organic basis, net sales improved 0.9%. The growth was driven by SureSmile and Byte sales, coupled with implant growth in China, partially offset by lower lab sales.
Essential Dental Solutions
Sales in this segment amounted to $377 million, down 0.3% year over year. On an organic basis, net sales declined 0.9%. The decline was primarily led by lower volume in Europe, partially offset by the rising demand in international markets.
Wellspect Healthcare
Sales in this segment amounted to $72 million, up 9.9% year over year. On an organic basis, net sales improved 6.8%. Sales were driven by growth across all regions, along with additional revenues from new products.
Revenues by Geography
In the United States, revenues decreased 0.9% year over year organically to $356 million. Rest of World (ROW) revenues increased 4.5% organically to $237 million on a year-over-year basis. Revenues in Europe, however, declined 2.7% to $354 million, organically, during the same time frame.
Margin Analysis
Gross profit in the reported quarter totaled $495 million, down 2.7% on a year-over-year basis. The gross margin came in at 52.2%, which contracted 150 basis points.
Selling, general and administrative expenses totaled $372 million, down 7.2% from the year-ago quarter’s level. Research and development expenses amounted to $46 million, up 12.2% from the prior-year quarter’s number.
Operating loss totaled $236 million compared with $1.22 billion in the year-ago period.
Financial Condition
DENTSPLY SIRONA exited the third quarter of 2023 with cash and cash equivalents of $309 million compared with $295 million at the end of the last reported quarter.
The cumulative net cash provided by operating activities totaled $217 million compared with $375 million in the year-ago period.
DENTSPLY SIRONA Inc. Price, Consensus and EPS Surprise
DENTSPLY SIRONA Inc. price-consensus-eps-surprise-chart | DENTSPLY SIRONA Inc. Quote
2023 Guidance Updated
DENTSPLY SIRONA updated its guidance for 2023 earnings and revenues based on declining sales performance in the third quarter. The company lowered its earlier revenue guidance from organic growth of nearly 3% to 1%. It now expects sales in the band of $3.90-$3.94 billion compared with the previously projected range of $3.98-$4.02 billion. The Zacks Consensus Estimate for the same is pegged at $4 billion. The lowered guidance includes a forex headwind of $25 million.
XRAY now expects adjusted EPS in the band of $1.80-$1.85, down from the previously anticipated range of $1.92-$2.02. The Zacks Consensus Estimate for the same is pegged at $1.97.
Our Take
XRAY’s third-quarter adjusted earnings as well as revenues declined year over year. However, earnings beat the market expectation by a cent. Lower-than-expected revenues raise apprehension. The company also provided a lowered guidance for both top and bottom lines, reflecting a challenging macro-environment, particularly in Germany and the United States. Soft demand in Europe may act as a headwind for the rest of 2023.
Recovery of demand in China will be a key driver of top line going forward. Sales improved 20% during the third quarter in the country following a strong second quarter, reflecting recovery after a prolonged period of weak demand. Moreover, strong demand for aligners and CAD/CAM in the U.S. market will support top-line growth going forward.
Zacks Rank and Stocks to Consider
Currently, DENTSPLY SIRONA has a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank #2 (Buy) at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DENTSPLY SIRONA Inc. (XRAY) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30613.0 | 2023-11-02 00:00:00 UTC | Exact Sciences (EXAS) Q3 Earnings Beat, Gross Margin Rises | ABT | https://www.nasdaq.com/articles/exact-sciences-exas-q3-earnings-beat-gross-margin-rises | nan | nan | Exact Sciences Corporation EXAS reported breakeven earnings per share for third-quarter 2023, a significant improvement from the year-ago loss of 84 cents per share as well as the Zacks Consensus Estimate of a loss of 49 cents.
Revenues in Detail
Third-quarter consolidated revenues were $628.3 million, up 20.1% year over year. The metric exceeded the Zacks Consensus Estimate by 2.2%.
Segments in Detail
Screening revenues, including laboratory service revenues from Cologuard, PreventionGenetics and immaterial revenues from Biomatrica products, were $472 million. The figure increased 31% year over year.
The upside can be primarily attributed to broad-based momentum in Cologuard adoption, which was fueled by commercial productivity and strong relationships with payers and providers.
Precision Oncology revenues, including laboratory service revenues from global Oncotype products and therapy selection products, were $156.3 million, up 3% year over year and up 5% on a core basis. Growth was led by Oncotype DX, which expanded 14% globally.
Exact Sciences Corporation Price, Consensus and EPS Surprise
Exact Sciences Corporation price-consensus-eps-surprise-chart | Exact Sciences Corporation Quote
The company did not recognize any revenues from COVID-19 testing in the third quarter against $10.9 million in the year-ago period.
Margins
In the quarter under review, Exact Sciences’ gross profit (excluding the amortization of acquired intangibles) rose 22.6% to $459.8 million. The gross margin expanded 146 basis points (bps) to 73.2%.
Research and development expenses rose 22.7% year over year to $111.4 million. Sales and marketing expenses fell 7.7% to $173.2 million. General and administrative expenses rose 13.2% year over year to $217.4 million.
Adjusted operating expenses were $501.9 million in the third quarter, up 6.7% year over year. Adjusted operating loss totaled $42.2 million, narrower than the year-ago operating loss of $95.3 million.
Financial Update
Exact Sciences exited the third quarter of 2023 with cash and cash equivalents and marketable securities of $733.4 million compared with $604.4 million at the end of the second quarter of 2023.
The company had no long-term debt on its balance sheet at the end of the third quarter.
2023 View
The company raised its 2023 revenue guidance to $2.476-$2.486 billion (from the earlier-provided range of $2.441-$2.466 billion). The Zacks Consensus Estimate for the same is pegged at $2.26 billion.
For 2023, the company now expects its Screening revenues in the range of $1.820-$1.835 billion. The company expects Precision Oncology revenues in the range of $615-$625 million.
COVID-19 testing revenues are expected to be $6 million.
Our Take
Exact Sciences exited the third quarter of 2023 with better-than-expected results. Robust revenues from the Screening and Precision Oncology segments contributed to the third-quarter top line. The company continues to witness broad-based momentum in Cologuard’s adoption and traction within health systems. The growing uptake of the company’s Oncotype DX Breast and therapy selection products are major advantages. The raised 2023 revenue guidance is an upside.
However, the decline in COVID-19 sales hampered top-line growth. The company incurred an operating loss in the quarter under review, raising apprehension.
Zacks Rank and Key Picks
Exact Sciences currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Inari Medical, carrying a Zacks Rank #2, reported third-quarter 2023 adjusted EPS of 4 cents, beating the Zacks Consensus Estimate by a staggering 128.6%. Revenues of $119 million outpaced the consensus estimate by 2.3%.
Inari Medical has an estimated earnings growth rate of 725% for the next year. Inari Medical’s earnings surpassed estimates in all the trailing four quarters, the average being 66.8%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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Integer Holdings Corporation (ITGR) : Free Stock Analysis Report
Inari Medical, Inc. (NARI) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Exact Sciences Corporation (EXAS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Exact Sciences Corporation (EXAS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Exact Sciences Corporation (EXAS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Exact Sciences Corporation (EXAS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30614.0 | 2023-11-02 00:00:00 UTC | 3 Dividend Stocks That Are Investor Safe Havens | ABT | https://www.nasdaq.com/articles/3-dividend-stocks-that-are-investor-safe-havens | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
DividendChannel.com has a list of 25 SAFE dividend stocks.
By the site’s definition, these stocks have a reasonably high yield; the quarterly dividend is accelerating, they’ve never missed or lowered dividends and they have paid dividends for at least 20 years.
Twenty years seems like a long time. However, Dividend.com lists 15 stocks that have paid dividends for a century or more. That’s truly astounding.
Anyway, buying dividend stocks that consistently pay them has an irresistible pull on many investors. I’ve never been one of those people. To me, it’s all about the total return. How you get it is irrelevant. Just get it.
As for safe havens, there aren’t any other than 100% guaranteed Treasury bills. Speaking of which, they’ve become far more popular now that interest rates have increased.
Finally, dividend stocks have some competition. A 5% dividend yield doesn’t look nearly as enticing as a 5% Treasury yield.
As a result, when searching for dividend safe havens these days, you have to be far more picky about the names you ultimately choose.
Here are my three picks from DividendChannel.com’s list of 25.
NextEra Energy (NEE)
Source: IgorGolovniov/Shutterstock.com
NextEra Energy (NYSE:NEE) is one of three stocks InvestorPlace contributor Louis Navellier said had zero hope in 2024. My colleague felt the lowering of the distribution at the Florida utility’s subsidiary NextEra Energy Partners (NYSE:NEP) was an emphatic signal to sell NEE shares.
I don’t see it the same way.
There are two segments to NextEra: Florida Power & Light (FPL), the country’s largest utility with 5.8 million customer accounts serving more than 12 million Floridians. The other is NextEra Energy Resources, the world’s largest generator of renewable energy from wind, solar and battery storage.
In Q3 2023, the company’s adjusted earnings per share increased by 10.6% to $0.94 from $0.85 a year earlier. FPL contributed 62% of earnings, with NextEra Energy Resources bringing in 46%.
In 2021, its earnings per share were $2.55. By 2026, it expects them to be as high as $4.00, a compound annual growth rate of 9.4%. As we know, dividends follow earnings. It expects to increase dividends by 10% annually through at least 2024.
The utility has increased its dividend for 29 consecutive years. It currently pays a $1.87 annual dividend yielding 3.21%. It pays out just 48% of its earnings as dividends. Over the last 10 years, it’s grown its dividend by 10.98% annually.
Its 10-year annual return is 13.5%, almost double the utilities sector. Down 30% year-to-date, it hasn’t traded this low since 2020.
Aflac (AFL)
Source: Shutterstock
Aflac (NYSE:AFL) is best known for providing supplemental insurance to companies and their employees against a serious accident or illness. That insurance covers out-of-pocket expenses not covered by your medical insurance. With healthcare costs continually moving higher, protection can provide peace of mind during these stressful moments in life.
Across the board, supplemental insurance can help meet the gap in your coverage, whether for dental insurance, critical illness or many other major types of plans.
Aflac was started in 1955 by John Amos and his brothers Paul and Bill. Aflac stands for the American Family Life Insurance Company of Columbus. In its first year, it brought in 6,400 policyholders. In June 1974, it went public on the NYSE at $7.25 a share. Since then, it hasn’t looked back.
Many people know the company through the Aflac duck that was introduced in a 2000 ad campaign. It quickly became so well known that the company added the duck to its logo in 2005.
As of June 30, the company’s net debt was $2.37 billion — a total debt of $7.09 billion less $4.72 billion in cash — or just 5% of its $47 billion market capitalization.
In 2011, Aflac paid an annual dividend of $0.62. In 2023, it will pay an estimated $1.68 for a compound annual growth rate of 7.9%. As many dividend investors like to breach, it’s not the yield that matters but the yearly growth.
Aflac’s got plenty.
AbbVie (ABBV)
AbbVie (NYSE:ABBV) hasn’t paid dividends for as long as either NextEra or Aflac — it was spun off from Abbott Laboratories (NYSE:ABT) in 2012. But since its inception, it’s increased the annual payment by 270%.
The biopharmaceutical company known for its trio of immunology drugs — Humira, Skyrizi and Rinvoq — continues to grow its drug development pipeline. It’s got several oncology drugs in Phase 3 trials or soon to be in them. It’s even developing new uses for Botox, its medication to reduce wrinkles. Studies have shown that Botox patients are less anxious after their treatments.
Everything old is new again.
The company is transitioning from one led by a single drug (Humira) to one with multiple winners. In the third quarter, while Humira’s global revenues fell by 36.2%, its immunology stablemates, Skyrizi and Rinvoq, rose by 52.1% and 59.8%.
Investors have been worried in recent years that it wouldn’t be able to replace Humira’s revenues. However, in Q3 2023, the two drugs had sales of $3.24 billion, just $310 million less than Humira.
In 2023, it expects EPS of at least $11.19, while 2024 will see earnings of at least $11.00 a share. As a result, it announced a 4.7% increase in its quarterly dividend to $1.55. The firm’s annual rate of $6.20 yields a healthy 4.4%.
On the date of publication, Will Ashworth did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Will Ashworth has written about investments full-time since 2008. Publications where he’s appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. He particularly enjoys creating model portfolios that stand the test of time. He lives in Halifax, Nova Scotia.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | AbbVie (ABBV) AbbVie (NYSE:ABBV) hasn’t paid dividends for as long as either NextEra or Aflac — it was spun off from Abbott Laboratories (NYSE:ABT) in 2012. My colleague felt the lowering of the distribution at the Florida utility’s subsidiary NextEra Energy Partners (NYSE:NEP) was an emphatic signal to sell NEE shares. With healthcare costs continually moving higher, protection can provide peace of mind during these stressful moments in life. | AbbVie (ABBV) AbbVie (NYSE:ABBV) hasn’t paid dividends for as long as either NextEra or Aflac — it was spun off from Abbott Laboratories (NYSE:ABT) in 2012. InvestorPlace - Stock Market News, Stock Advice & Trading Tips DividendChannel.com has a list of 25 SAFE dividend stocks. NextEra Energy (NEE) Source: IgorGolovniov/Shutterstock.com NextEra Energy (NYSE:NEE) is one of three stocks InvestorPlace contributor Louis Navellier said had zero hope in 2024. | AbbVie (ABBV) AbbVie (NYSE:ABBV) hasn’t paid dividends for as long as either NextEra or Aflac — it was spun off from Abbott Laboratories (NYSE:ABT) in 2012. By the site’s definition, these stocks have a reasonably high yield; the quarterly dividend is accelerating, they’ve never missed or lowered dividends and they have paid dividends for at least 20 years. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Dividend Stocks That Are Investor Safe Havens appeared first on InvestorPlace. | AbbVie (ABBV) AbbVie (NYSE:ABBV) hasn’t paid dividends for as long as either NextEra or Aflac — it was spun off from Abbott Laboratories (NYSE:ABT) in 2012. By the site’s definition, these stocks have a reasonably high yield; the quarterly dividend is accelerating, they’ve never missed or lowered dividends and they have paid dividends for at least 20 years. In 2011, Aflac paid an annual dividend of $0.62. |
30615.0 | 2023-11-02 00:00:00 UTC | QuidelOrtho (QDEL) Q3 Earnings Top Estimates, Margins Down | ABT | https://www.nasdaq.com/articles/quidelortho-qdel-q3-earnings-top-estimates-margins-down | nan | nan | QuidelOrtho Corporation QDEL delivered adjusted earnings per share (EPS) of 90 cents in the third quarter of 2023, down by 51.4% year over year. The figure topped the Zacks Consensus Estimate by 100%.
The adjustments include expenses related to the amortization of intangibles, and acquisition and integration costs, among others.
GAAP loss per share for the quarter was 19 cents against the year-earlier EPS of 28 cents.
Revenues in Detail
QuidelOrtho registered revenues of $744 million in the third quarter, which decreased 5.1% year over year both on a reported basis and at constant exchange rate (CER). The figure surpassed the Zacks Consensus Estimate by 14.2%.
In the third quarter, Respiratory revenues were $185.4 million (down 21.5% on both reported basis and at CER), while Non-Respiratory revenues were $558.6 million (up 2% on both reported basis and at CER).
Segments in Detail
QuidelOrtho now derives revenues from four business units — Labs, Transfusion Medicine (TM), Point-Of-Care (POC) and Molecular Diagnostics (MDx).
In the third quarter, Labs revenues were $341.4 million, up 2% on both reported basis and at CER. This compares to our third-quarter projections of $288.4 million.
TM revenues were $163.9 million in the third quarter, up 0.5% and 0.4% on a reported basis and at CER, respectively. This compares to our third-quarter projections of $134.3 million.
POC revenues amounted to $233.1 million in the third quarter, reflecting a decline of 13.8% on both reported basis and at CER. This compares to our third-quarter projections of $218.6 million.
MDx revenues totaled $5.6 million in the third quarter, down 63.6% and 63.7% on a reported basis and at CER, respectively. This compares to our third-quarter projections of $9.6 million.
Geographical Distribution
Geographically, QuidelOrtho derives revenues from North America, Europe, the Middle East and Africa (EMEA), China and Other regions (which includes Latin America, Japan and other Asia-Pacific markets).
Revenues from North America amounted to $465.2 million, reflecting a decline of 10.1% and 9.7% on a reported basis and at CER, respectively. This compares to our third-quarter projections of $428.6 million.
EMEA revenues amounted to $74.5 million, reflecting an uptick of 1.1% on a reported basis but down 2.4% at CER. This compares to our third-quarter projections of $64.9 million.
Revenues from China amounted to $81.1 million, reflecting an improvement of 0.4% on a reported basis and 5.5% at CER. This compares to our third-quarter projections of $60.9 million.
Revenues from Other regions amounted to $123.2 million, reflecting an uptick of 10.3% on a reported basis and 7% at CER. This compares to our third-quarter projections of $96.6 million.
QuidelOrtho Corporation Price, Consensus and EPS Surprise
QuidelOrtho Corporation price-consensus-eps-surprise-chart | QuidelOrtho Corporation Quote
Margin Trend
In the quarter under review, QuidelOrtho’s gross profit declined 9.7% to $368.1 million. The gross margin contracted 251 basis points (bps) to 49.5%.
We had projected 49.9% of gross margin for the third quarter.
Selling, marketing and administrative expenses fell 4.9% to $194.1 million. Research and development expenses declined 4.9% year over year to $62.4 million. Adjusted operating expenses of $256.5 million decreased 4.9% year over year.
Adjusted operating profit totaled $111.6 million, reflecting an 18.9% decline from the prior-year quarter’s level. Adjusted operating margin in the third quarter contracted 257 bps to 15%.
Financial Position
QuidelOrtho exited third-quarter 2023 with cash and cash equivalents of $149.3 million compared with $178.6 million at the end of second quarter. Total debt (including short-term debt) at the end of third-quarter 2023 was $2.47 billion compared with $2.52 billion at the second-quarter end.
Cumulative net cash provided by operating activities at the end of third-quarter 2023 was $199.8 million compared with $715.9 million a year ago.
Guidance
QuidelOrtho has reiterated its financial outlook for 2023.
Total revenues are continued to be expected to lie in the range of $2.88 billion-$3.08 billion (down 29-24% a CER). The Zacks Consensus Estimate stands at $2.97 billion.
Non-respiratory revenues are continued to be expected between $2.27 billion and $2.31 billion (up 5-6.5% at CER from 2022 levels).
Respiratory revenues for the full year are continued to be expected to lie in the range of $610 million-$775 million. Per management, from the fourth quarter onward, QuidelOrtho will be including COVID-19 revenues as part of its overall respiratory business as it is in an endemic state.
Adjusted EPS is continued to be expected to lie between $4.85 and $5.30. The Zacks Consensus Estimate stands at $4.90.
Our Take
QuidelOrtho ended the third quarter of 2023 with better-than-expected results. An uptick in the company’s Non-Respiratory revenues was impressive. The company registered robust revenues from its Labs and TM segments and China and Other regions, which were encouraging. QuidelOrtho also recorded strong revenue growth in the EMEA region on a reported basis, which buoys optimism.
The company also recorded solid revenues from its Instrument and Recurring revenue categories, which were promising. The continued uptick in Sofia instruments and growth in QuidelOrtho’s integrated installed base and automation were encouraging.
In September, QuidelOrtho received a CLIA Waiver from the FDA, which applies to its new Sofia 2 SARS Antigen+ FIA (fluorescent immunoassay). The test, intended for prescription use only, can be used in CLIA-waived point-of-care settings. This looked promising for the stock.
However, dismal top-line and bottom-line results were disappointing. Lower Respiratory revenues during the quarter were also not promising. The decline in its POC and MDx segments and geographically in North America was discouraging. The decline in QuickVue revenues was also worrying. The contraction of both margins also does not bode well.
Zacks Rank and Key Picks
QuidelOrtho currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 47.1%. Revenues of $975 million surpassed the Zacks Consensus Estimate by 4%. It currently carries a Zacks Rank #2.
DexCom has a long-term estimated growth rate of 33.6%. DXCM’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 36.4%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report QuidelOrtho Corporation (QDEL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report QuidelOrtho Corporation (QDEL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report QuidelOrtho Corporation (QDEL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report QuidelOrtho Corporation (QDEL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30616.0 | 2023-11-02 00:00:00 UTC | Baxter (BAX) Beats on Q3 Earnings, Divests BioPharma Business | ABT | https://www.nasdaq.com/articles/baxter-bax-beats-on-q3-earnings-divests-biopharma-business | nan | nan | Baxter International Inc. BAX reported third-quarter 2023 adjusted earnings per share (EPS) of 68 cents, which beat the Zacks Consensus Estimate of 66 cents by 3%. However, the bottom line declined 4% from the year-ago quarter’s level.
On a GAAP basis, the EPS was 9 cents against a loss of $5.94 in the prior-year quarter. The company recorded $2.79 billion as goodwill impairment in the prior-year quarter.
On its third-quarterearnings call Baxter announced that it completed the divestment of its BioPharma Solutions (BPS) business at the end of the third quarter. In May, it had signed an agreement to divest the business for $4.25 billion. The company reported BPS business as discontinued operations this quarter. Moreover, it completed the restructuring of its operating model by integrating its diverse product categories under four global segments — Medical Products & Therapies, Healthcare Systems & Technologies, Pharmaceuticals and Kidney Care.
Adjusted EPS, including discontinued operations during the third quarter, was 82 cents, flat year over year.
Revenue Details
Revenues from continued operation totaled $3.71 billion, up 3% on a reported basis and 2% at constant currency (cc). Revenues from discontinued operations (BPS business) amounted to $191 million. The Zacks Consensus Estimate for total sales is pegged at $3.69 billion.
Shares of BAX were up 2.3% in pre-market trading following better-than-expected results and the completion of divestment. The company’s shares have lost 35.7% year to date compared with the industry’s decline of 13%. The broader S&P 500 Index has moved up 11.4% in the same period.
Image Source: Zacks Investment Research
Segmental Details
As part of its transformation plan announced in February, Baxter established its new operating model, integrating its prior matrixed structure of nine businesses operating across three geographic regions into the aforementioned four verticalized global segments. The company started reporting under a new model, beginning third-quarter 2023.
Medical Products & Therapies
The segment includes Advanced Surgery and a new category, Infusion Therapies & Technologies. Total sales at this segment during the third quarter were $1.26 billion, up 5% year over year reportedly and 4% at cc.
Infusion Therapies and Technologies’ sales totaled $1 billion, up 5% year over year, reportedly, and 4% at cc. Advanced Surgery category sales amounted to $255 million, up 3% year over year reportedly as well as at cc.
Healthcare Systems and Technologies
The segment includes the Front Line Care category. It also includes Patient Support Systems and Surgical Solutions categories, which are clubbed as the Care & Connectivity Solutions category. Total sales at this segment during the third quarter were $744 million, up 1% year over year reportedly and flat at cc.
Front Line Care category sales totaled $301 million, up 8% year over year, reportedly, as well as at cc. Care & Connectivity Solutions category sales amounted to $443 million, down 3% year over year reportedly and 4% at cc.
Pharmaceuticals
The segment was reported as one of the product categories till last quarter. This segment’s report presently includes two product categories — Injectables & Anesthesia and Drug Compounding. Total sales during the third quarter were $580 million, up 10% year over year reportedly and 9% at cc.
Injectables and Anesthesia category sales totaled $351 million, up 8% year over year reportedly and 7% at cc. Drug Compounding category sales amounted to $229 million, up 15% year over year reportedly and 13% at cc.
Kidney Care
This segment includes BAX’s Renal Care category, which is now reported under the Chronic Therapies category. The segment also includes the Acute Therapies category. Total sales at this segment during the third quarter were $1.1 billion, up 1% year over year reportedly and flat at cc.
Chronic Therapies category sales totaled $921 million, up 8% year over year reportedly and 7% at cc. Acute Therapies category sales amounted to $188 million, up 13% year over year reportedly and 12% at cc.
Baxter plans to spin-off this segment, which will trade as an independent, publicly-traded company under the proposed tradename of Vantive. The spin-off is expected to be completed by July 2024.
Other
Revenues at the segment amounted to $17 million, down 63% on a year-over-year basis and 61% at cc.
Margin Analysis
Baxter reported an adjusted gross profit of $1.55 billion for the third quarter, up 1% year over year. As a percentage of revenues, the gross margin declined 70 basis points (bps) to 41.7% in the same quarter.
Selling, general and administrative expenses amounted to $1 billion, up 6.5% from the year-ago quarter’s figure. Research and development expenses totaled $166 million, up 9.9% on a year-over-year basis.
Adjusted operating income from continuing operations totaled $347 million, down 4.9% year over year. As a percentage of revenues, the operating margin contracted 70 bps to 9.4%. Adjusted income from discontinued operations, net of tax, amounted to $71 million during the reported quarter.
Guidance Updated
For fourth-quarter 2023, Baxter anticipates sales from continuing operations to grow approximately 1-2% on a reported basis and 1% at cc. The Zacks Consensus Estimate for the same is pegged at $3.84 billion, implying a decline of 1.3% reportedly.
Adjusted EPS from continuing operations is expected between 85 cents and 88 cents. The Zacks Consensus Estimate for the same is pegged at 84 cents.
For full-year 2023, sales growth for continuing operations is expected to be 1-2% on a reported basis and 2% at cc. Adjusted EPS from continuing operations is projected in the band of $2.57-$2.60. During the last quarter, BAX anticipated revenues to be flat to 1% growth on a reported basis and 1% at cc. EPS was anticipated in the range of $2.54-$2.62.
Baxter International Inc. Price, Consensus and EPS Surprise
Baxter International Inc. price-consensus-eps-surprise-chart | Baxter International Inc. Quote
Zacks Rank and Other Stocks to Consider
Currently, Baxter carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank #2 at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
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It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
Baxter International Inc. (BAX) : Free Stock Analysis Report
DexCom, Inc. (DXCM) : Free Stock Analysis Report
Integer Holdings Corporation (ITGR) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Baxter International Inc. (BAX) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Baxter International Inc. (BAX) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Baxter International Inc. (BAX) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Baxter International Inc. (BAX) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30617.0 | 2023-11-02 00:00:00 UTC | Nevro (NVRO) Q3 Earnings Top Estimates, FY23 Revenue View Up | ABT | https://www.nasdaq.com/articles/nevro-nvro-q3-earnings-top-estimates-fy23-revenue-view-up | nan | nan | Nevro Corp. NVRO reported a loss per share of 65 cents for the third quarter of 2023, against the year-ago quarter’s earnings per share (EPS) of $2.22. However, the loss per share was narrower than the Zacks Consensus Estimate of a loss of 77 cents.
Revenues in Detail
Nevro registered worldwide revenues of $103.9 million in the third quarter, up 3.4% year over year on a reported basis. The figure topped the Zacks Consensus Estimate by 7.8%.
At constant exchange rate (CER), revenues were up 3% year over year.
Painful Diabetic Neuropathy (PDN) indication sales represented approximately $20.8 million (20%) of worldwide permanent implant procedures and increased 56% year over year.
Quarterly Highlights
In the quarter under review, international revenues were $14.1 million, down 1.4% year over year on a reported basis and 6% at CER. This figure compares to our third-quarter projection of $13.3 million.
U.S. revenues for the quarter totaled $89.8 million, up 4.3% year over year. This figure compares to our third-quarter projection of $82.2 million.
Total U.S. permanent implant procedures increased 7%, while U.S. trial procedures increased 4%. U.S. PDN trial procedures, representing approximately 24% of total U.S. trial volume, jumped 41% from the prior-year quarter.
Nevro Corp. Price, Consensus and EPS Surprise
Nevro Corp. price-consensus-eps-surprise-chart | Nevro Corp. Quote
Margin Trend
In the quarter under review, Nevro’s gross profit rose 0.3% to $69.5 million. However, the gross margin contracted 205 basis points to 66.9%.
We had projected 67.7% of gross margin for the third quarter.
Sales, general & administrative expenses increased 3.8% to $81.2 million. Research and development expenses decreased 0.8% year over year to $13.9 million. Total adjusted operating expenses of $95.1 million increased 3.1% year over year.
The total adjusted operating loss in the reported quarter totaled $25.6 million compared with a total adjusted operating loss of $22.9 million in the year-ago quarter.
Financial Position
Nevro exited the third quarter of 2023 with cash and cash equivalents and short-term investments of $320.3 million compared with $329.9 million at the end of the second quarter. Long-term debt at the end of third-quarter 2023 was $187.8 million compared with $187.5 million at the second-quarter end.
As of Sep 30, 2023, 36,869,962 shares were issued and 36,187,046 shares were outstanding.
Cumulative net cash used in operating activities at the end of third-quarter 2023 was $49.9 million compared with cumulative net cash provided by operating activities of $38.1 million a year ago.
Guidance
Nevro has provided its financial outlook for the fourth quarter and raised its financial outlook for 2023.
For the fourth quarter, Nevro expects its worldwide revenues to be in the range of $108 million-$110 million, reflecting a decline of 4-6% year over year at CER. The Zacks Consensus Estimate is pegged at $110.9 million.
The company now expects its 2023 worldwide revenues in the range of $417 million-$419 million, reflecting growth of 3% from the comparable figure of 2022 both on a reported basis and at CER. This is up from the prior outlook of $410 million-$415 million, reflecting growth of 1-2% from the comparable figure of 2022 both on a reported basis and at CER. The Zacks Consensus Estimate is pegged at $412.4 million.
Our Take
Nevro exited the third quarter of 2023 with better-than-expected results and a solid improvement in overall top-line results. The company’s robust domestic revenues were also impressive. An uptick in total U.S. permanent implant procedures and U.S. trial procedures was promising. The improvement in U.S. PDN trial procedures was also encouraging.
During the quarter, Nevro announced favorable 24-month data from the SENZA PDN Randomized Controlled Trial. The data, published in Diabetes Research and Clinical Practice, demonstrated the long-term efficacy of high-frequency 10 kHz spinal cord stimulation to treat refractory PDN.
On theearnings call management confirmed that the HFX iQ and its ability to deliver personalized pain relief continue to receive positive feedback. These look promising for the stock.
On the flip side, dismal bottom-line performances and international revenues were disappointing. The sustained operating loss incurred by Nevro also raises our apprehension. The contraction of the gross margin also does not bode well.
Zacks Rank and Key Picks
Nevro currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 47.1%. Revenues of $975 million surpassed the Zacks Consensus Estimate by 4%. It currently carries a Zacks Rank #2.
DexCom has a long-term estimated growth rate of 33.6%. DXCM’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 36.4%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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Nevro Corp. (NVRO) : Free Stock Analysis Report
Integer Holdings Corporation (ITGR) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Nevro Corp. (NVRO) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Nevro Corp. (NVRO) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Nevro Corp. (NVRO) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom, Inc. DXCM and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Nevro Corp. (NVRO) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30618.0 | 2023-11-02 00:00:00 UTC | Teleflex beats profit estimates on strong demand for medical devices | ABT | https://www.nasdaq.com/articles/teleflex-beats-profit-estimates-on-strong-demand-for-medical-devices-0 | nan | nan | Nov 2 (Reuters) - Teleflex TFX.N beat third quarter profit estimates on Thursday as volumes of non-urgent surgical procedures picked up in hospitals post pandemic, lifting demand for its medical devices.
Teleflex joined a list of companies that have benefited from a recent boost to medical technology businesses, including larger rivals Abbott LaboratoriesABT.N and Boston Scientific BSX.N that also beat profit expectations driven by the post-pandemic demand for medical devices.
The manufacturer for hospital supplies and single-use medical devices reported an 8.7% rise in revenue to $746.4 million for the quarter ended Oct. 1, higher than analysts' estimate of $733.6 million, according to LSEG data.
Teleflex, which is seeking to expand its urinary and reproductive health portfolio, said it had completed the acquisition of privately held Palette Life Sciences AB, after striking a deal in July for an upfront cash payment of $600 million.
The Wayne, Pennsylvania-based company narrowed and raised its adjusted profit forecast for the year to $13.30 to $13.50 per share, compared with its prior range of $13.00 to $13.60 per share.
CEO Liam Kelly said the updated guidance included the expected contribution from the Palette acquisition.
Teleflex's interventional segment, which focuses on heart and medical imaging devices, reported sales of $134.1 million, beating estimates of $120 million.
The company's vascular access business, its largest segment that makes medical devices for bloodstream related procedures, posted a revenue of $169.9 million, missing estimates of $180.7 million.
On an adjusted basis, Teleflex reported a profit of $3.64 per share, topping analysts' average estimate of $3.27 per share.
(Reporting by Christy Santhosh; editing by Milla Nissi)
((Christy.Santhosh@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Teleflex joined a list of companies that have benefited from a recent boost to medical technology businesses, including larger rivals Abbott LaboratoriesABT.N and Boston Scientific BSX.N that also beat profit expectations driven by the post-pandemic demand for medical devices. Nov 2 (Reuters) - Teleflex TFX.N beat third quarter profit estimates on Thursday as volumes of non-urgent surgical procedures picked up in hospitals post pandemic, lifting demand for its medical devices. Teleflex, which is seeking to expand its urinary and reproductive health portfolio, said it had completed the acquisition of privately held Palette Life Sciences AB, after striking a deal in July for an upfront cash payment of $600 million. | Teleflex joined a list of companies that have benefited from a recent boost to medical technology businesses, including larger rivals Abbott LaboratoriesABT.N and Boston Scientific BSX.N that also beat profit expectations driven by the post-pandemic demand for medical devices. The manufacturer for hospital supplies and single-use medical devices reported an 8.7% rise in revenue to $746.4 million for the quarter ended Oct. 1, higher than analysts' estimate of $733.6 million, according to LSEG data. Teleflex's interventional segment, which focuses on heart and medical imaging devices, reported sales of $134.1 million, beating estimates of $120 million. | Teleflex joined a list of companies that have benefited from a recent boost to medical technology businesses, including larger rivals Abbott LaboratoriesABT.N and Boston Scientific BSX.N that also beat profit expectations driven by the post-pandemic demand for medical devices. The manufacturer for hospital supplies and single-use medical devices reported an 8.7% rise in revenue to $746.4 million for the quarter ended Oct. 1, higher than analysts' estimate of $733.6 million, according to LSEG data. Teleflex's interventional segment, which focuses on heart and medical imaging devices, reported sales of $134.1 million, beating estimates of $120 million. | Teleflex joined a list of companies that have benefited from a recent boost to medical technology businesses, including larger rivals Abbott LaboratoriesABT.N and Boston Scientific BSX.N that also beat profit expectations driven by the post-pandemic demand for medical devices. Nov 2 (Reuters) - Teleflex TFX.N beat third quarter profit estimates on Thursday as volumes of non-urgent surgical procedures picked up in hospitals post pandemic, lifting demand for its medical devices. The manufacturer for hospital supplies and single-use medical devices reported an 8.7% rise in revenue to $746.4 million for the quarter ended Oct. 1, higher than analysts' estimate of $733.6 million, according to LSEG data. |
30619.0 | 2023-11-02 00:00:00 UTC | Cencora (COR) Q4 Earnings Top, GLP-1 Drugs Boost Sales | ABT | https://www.nasdaq.com/articles/cencora-cor-q4-earnings-top-glp-1-drugs-boost-sales | nan | nan | Cencora Corporation COR reported fourth-quarter fiscal 2023 adjusted earnings per share (EPS) of $2.86, which beat the Zacks Consensus Estimate of $2.79 by 2.5%. The bottom line improved 10% year over year.
GAAP EPS was $1.72, up 22.9% from that reported in the year-ago period.
Cencora was formerly known as AmerisourceBergen with ticker ABC. The company changed its name and ticker symbol to Cencora and COR, respectively, effective Aug 30.
Revenue Details
Revenues totaled $68.92 billion, up 12.7% year over year. The top line beat the Zacks Consensus Estimate by 3.5%.
Segmental Analysis
U.S. Healthcare Solutions
Revenues at this segment totaled $61.93 billion, up 13% on a year-over-year basis. This improvement was due to overall market growth and increased specialty product sales. High demand for recently-approved GLP-1 drugs for diabetes and/or weight loss has helped accelerate growth during the quarter.
Segmental operating income totaled $632.8 million, up 9.4% year over year. Higher gross profit (including fees earned from the distribution of government-owned COVID-19 treatments and gross profit on sales to specialty physician practices) contributed to the upside.
International Healthcare Solutions
This segment includes Alliance Healthcare, World Courier, Innomar and Profarma Specialty.
Revenues totaled $7 billion, up 9.5% year over year on the back of increased revenues across all businesses. The top line increased 10.1% at constant currency (cc).
Operating income totaled $168.2 million, up 3.1% reportedly and 4% at cc.
Margin Analysis
Cencora reported an adjusted gross profit of $2.3 billion, up 9.4% on a year-over-year basis. As a percentage of revenues, the adjusted gross margin was 3.3%, down 10 basis points (bps) year over year.
The company recorded an adjusted operating income of $801 million, up 8% year over year. The metric was up 8.2% at cc. As a percentage of revenues, the adjusted operating margin was 1.2%, which contracted 5 bps from the year-ago quarter’s number.
Full-Year Results
For full-year fiscal 2023, Cencora reported revenues of $262.17 billion, up 9.9% year over year. Adjusted EPS during the period improved 8.7% to $11.99.
Cencora, Inc. Price, Consensus and EPS Surprise
Cencora, Inc. price-consensus-eps-surprise-chart | Cencora, Inc. Quote
Financial Position
COR exited the fiscal fourth quarter with cash and cash equivalents worth $2.59 billion compared with $1.39 billion in the prior-year quarter.
Cumulative net cash used in operating activities totaled $3.91 billion compared with $2.7 billion in the year-ago period.
Dividend Update
During the quarter, Cencora's board of directors declared a quarterly dividend of 51 cents per share, payable on Nov 27, 2023, to shareholders of record at the close of business on Nov 13, 2023.
Fiscal 2024 Guidance
The company issued its outlook for fiscal 2024 earnings and revenues.
Adjusted EPS is estimated in the range of $12.70-$13.00, indicating growth of 6-8.4% over the fiscal 2023 level. The Zacks Consensus Estimate for the same is currently pegged at $12.82.
Revenues are projected to increase 7-10%, reportedly as well as at cc. The top line at the U.S. Healthcare Solutions segment is also expected to grow 7-10%. Revenues at the International Healthcare solutions business are estimated to be up 4-8%.
Adjusted operating income is expected to improve 4-6% reportedly and 5-7% at cc. Excluding contributions related to COVID-19 and currency fluctuations, the figure is projected to increase 7-9% and 8-10%, reportedly and at cc, respectively.
Operating income at the U.S. Healthcare Solutions segment is anticipated to grow 4-7%. For the International Healthcare Solutions segment, the company's revised guidance for the metric is 1-4%.
Summing Up
Cencora exited the fiscal fourth quarter on a strong note, wherein both earnings and revenues beat their respective consensus mark. The company witnessed a strong segmental performance due to growth in all markets and strong demand for specialty products, especially GLP-1 drugs.
Per management, Cencora delivered a solid performance by playing a crucial role in the healthcare system while maintaining efficiency throughout its business. The company remains focused on its strategic priorities and thoughtful capital deployment to deliver long-term growth.
However, COR faces headwinds like conversion of branded drugs and lower-price generics. Cut-throat competition in the MedTech space remains a concern.
Zacks Rank
Cencora currently carries a Zacks Rank #2 (Buy).
Other Stocks to Consider
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank of 2 at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Other Stocks to Consider Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Other Stocks to Consider Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Other Stocks to Consider Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Other Stocks to Consider Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30620.0 | 2023-11-02 00:00:00 UTC | 1 Stock Down 15% This Year to Buy and Hold Forever | ABT | https://www.nasdaq.com/articles/1-stock-down-15-this-year-to-buy-and-hold-forever | nan | nan | The past three years have been a roller coaster for Abbott Laboratories (NYSE: ABT). The healthcare giant dealt with a slowdown in its medical device business caused by the pandemic, fluctuating sales of its coronavirus diagnostic tests, and a recall of some of its baby formula products. Abbott's financial results haven't been consistent, partly explaining why it has lagged the market this year.
However, there remain excellent reasons to buy shares of the company. Let's consider why Abbott Labs is an outstanding "forever" stock.
ABT data by YCharts.
The core business is performing well
Abbott's top-line growth rates have been negative all year long. In the third quarter, net sales declined 2.6% year over year to $10.1 billion. However, these are apples-to-oranges comparisons. COVID-19 cases -- and the need for diagnostic tests -- fell in the third quarter compared to last year's parallel period. It's more important to look at Abbott's performance minus its coronavirus diagnostic testing unit.
On that front, the company is doing well. In the third quarter, its sales grew by 13.8% organically, not including sales of COVID-19 testing kits. Further, out of its four major reporting segments, three of them saw sales increases: nutrition, established pharmaceuticals, and medical devices. Predictably, the company's diagnostics segment was the only exception to the rule.
Medical devices, Abbott's largest segment by revenue, saw the most significant sales growth at 16.6% year over year. The company's earnings per share of $0.82 was just barely better than the $0.81 reported in the year-ago period. Still, Abbott's overall results were solid, especially if we focus on the most important aspects of its business.
Abbott's key growth driver still looks exciting
Abbott's portfolio of medical devices is vast and spans multiple therapeutic areas, from heart failure and rhythm management to electrophysiology. However, the company's most important product line comes from its diabetes care unit. Abbott's FreeStyle Libre franchise has been its most important for some time now. The FreeStyle Libre is a series of continuous glucose monitoring devices that allow people with diabetes to track their blood sugar levels in real-time.
FreeStyle Libre sales in the third quarter jumped by 28.5% organically to $1.4 billion -- representing almost 14% of the company's net sales. There have been concerns that highly popular weight-loss drugs such as Wegovy -- developed by Novo Nordisk -- could decrease the need for CGM devices, thereby harming Abbott's business. It doesn't seem like that happened during the third quarter.
Management has downplayed those fears, highlighting that the percentage of patients taking weight-loss medicines represent a tiny percentage of the vast global diabetes market. Further, Abbott is preparing to launch a new franchise of wearables called Lingo. While not specifically designed for the management of diabetes, these new devices build on the technology that powers Abbott's FreeStyle Libre.
Lingo will help people make more informed decisions about their health by allowing them to track such metrics as glucose, ketones, and lactate. The healthcare giant has estimated that this franchise could be as big as the FreeStyle Libre line of products. Abbott Laboratories is initially launching Lingo in the U.K. and plans to request clearance in the U.S. by year-end.
A steady and reliable dividend-payer
Be it with the FreeStyle Libre franchise, the newer Lingo, or some other product lines -- of which there are many -- Abbott Laboratories has proven time and time again that it is an innovator, a key reason it can continue to deliver excellent financial results for a while.
Here's another indicator of the company's ability to deliver over the long run. Abbott Laboratories is a Dividend King currently on its 51st consecutive year of dividend increases. The company's dividend yield of 2.20% is higher than the S&P 500's average of 1.62%, while its cash payout ratio of 63% is reasonable.
Abbott Laboratories' dividend is just one more reason the company's shares are a buy today, especially as its stock has significantly lagged the market this year. And given the strength of its core operations, excellent track record of earnings growth, and ability to develop innovative devices, the stock still looks like an excellent buy for long-term investors.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The past three years have been a roller coaster for Abbott Laboratories (NYSE: ABT). ABT data by YCharts. The healthcare giant dealt with a slowdown in its medical device business caused by the pandemic, fluctuating sales of its coronavirus diagnostic tests, and a recall of some of its baby formula products. | The past three years have been a roller coaster for Abbott Laboratories (NYSE: ABT). ABT data by YCharts. FreeStyle Libre sales in the third quarter jumped by 28.5% organically to $1.4 billion -- representing almost 14% of the company's net sales. | The past three years have been a roller coaster for Abbott Laboratories (NYSE: ABT). ABT data by YCharts. Medical devices, Abbott's largest segment by revenue, saw the most significant sales growth at 16.6% year over year. | The past three years have been a roller coaster for Abbott Laboratories (NYSE: ABT). ABT data by YCharts. Medical devices, Abbott's largest segment by revenue, saw the most significant sales growth at 16.6% year over year. |
30621.0 | 2023-11-02 00:00:00 UTC | Abbott Obtains FDA Approval For HPV Test To Run On Alinity M | ABT | https://www.nasdaq.com/articles/abbott-obtains-fda-approval-for-hpv-test-to-run-on-alinity-m | nan | nan | (RTTNews) - Abbott (ABT) said it has received U.S. Food and Drug Administration approval for its molecular human papillomavirus or HPV screening solution, adding a powerful cancer screening tool for detecting high-risk HPV infections to the Alinity m family of diagnostic assays.
The Alinity m high risk (HR) HPV assay is approved as a test for HPV detection and for use in routine cervical cancer screening as per professional medical guidelines. The assay is also approved for use in combination with a Pap test, for patients and physicians who prefer to use both tests, called co-testing.
The Alinity m HR HPV assay delivers information on five risk groups covering the 14 different potentially cancer-causing genotypes of the virus, helping physicians identify not just if a patient has an HPV infection but whether that infection is caused by one (or more) of the types that may cause cancer.
For More Such Health News, visit rttnews.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott (ABT) said it has received U.S. Food and Drug Administration approval for its molecular human papillomavirus or HPV screening solution, adding a powerful cancer screening tool for detecting high-risk HPV infections to the Alinity m family of diagnostic assays. The Alinity m high risk (HR) HPV assay is approved as a test for HPV detection and for use in routine cervical cancer screening as per professional medical guidelines. The Alinity m HR HPV assay delivers information on five risk groups covering the 14 different potentially cancer-causing genotypes of the virus, helping physicians identify not just if a patient has an HPV infection but whether that infection is caused by one (or more) of the types that may cause cancer. | (RTTNews) - Abbott (ABT) said it has received U.S. Food and Drug Administration approval for its molecular human papillomavirus or HPV screening solution, adding a powerful cancer screening tool for detecting high-risk HPV infections to the Alinity m family of diagnostic assays. The Alinity m high risk (HR) HPV assay is approved as a test for HPV detection and for use in routine cervical cancer screening as per professional medical guidelines. The Alinity m HR HPV assay delivers information on five risk groups covering the 14 different potentially cancer-causing genotypes of the virus, helping physicians identify not just if a patient has an HPV infection but whether that infection is caused by one (or more) of the types that may cause cancer. | (RTTNews) - Abbott (ABT) said it has received U.S. Food and Drug Administration approval for its molecular human papillomavirus or HPV screening solution, adding a powerful cancer screening tool for detecting high-risk HPV infections to the Alinity m family of diagnostic assays. The Alinity m high risk (HR) HPV assay is approved as a test for HPV detection and for use in routine cervical cancer screening as per professional medical guidelines. The Alinity m HR HPV assay delivers information on five risk groups covering the 14 different potentially cancer-causing genotypes of the virus, helping physicians identify not just if a patient has an HPV infection but whether that infection is caused by one (or more) of the types that may cause cancer. | (RTTNews) - Abbott (ABT) said it has received U.S. Food and Drug Administration approval for its molecular human papillomavirus or HPV screening solution, adding a powerful cancer screening tool for detecting high-risk HPV infections to the Alinity m family of diagnostic assays. The Alinity m high risk (HR) HPV assay is approved as a test for HPV detection and for use in routine cervical cancer screening as per professional medical guidelines. The assay is also approved for use in combination with a Pap test, for patients and physicians who prefer to use both tests, called co-testing. |
30622.0 | 2023-11-02 00:00:00 UTC | Baxter International beats Q3 profit estimates on strong demand for medical devices | ABT | https://www.nasdaq.com/articles/baxter-international-beats-q3-profit-estimates-on-strong-demand-for-medical-devices | nan | nan | Nov 2 (Reuters) - Baxter International BAX.N on Thursday beat Wall Street expectations for third-quarter revenue and profit, as a recovery in surgical procedure volumes after the pandemic helped drive the demand for its medical devices higher.
Larger peers Abbott Laboratories ABT.N and Boston Scientific BSX.N also topped quarterly profit estimates on easing staffing shortages and a surge in hospital admissions for elective procedures, which were deferred during the pandemic.
Baxter, which manufactures dialysis products and infusion pumps, reported a 3% year-on-year rise in quarterly revenue to $3.71 billion, beating analysts' average estimate of $3.69 billion, according to LSEG data.
Sales at the company's kidney care unit, which is expected to be spun off by July 2024, rose 1% to $1.11 billion.
In October, Baxter's shares had hit their lowest levels since 2016 after Novo Nordisk's NOVOb.CO Ozempic drug showed early success in a trial to treat kidney failure in diabetes patients.
The company from the current quarter plans to start streamlining its business model, which will replace its current nine segments with four new units, Baxter said.
The healthcare products company expects its full-year adjusted profit, before special items, to range between $2.57 per share and $2.60 per share. It reflects the forecast for continuing operations following the sale of Baxter's BioPharma Solutions unit.
On an adjusted basis, it earned 68 cents per share from continuing operations in the third quarter, compared with analysts' average estimate of 67 cents per share, according to LSEG data.
Shares of the Deerfield, Illinois-based company were up 1.6% at $33.30 in premarket trading.
(Reporting by Christy Santhosh)
((Christy.Santhosh@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Larger peers Abbott Laboratories ABT.N and Boston Scientific BSX.N also topped quarterly profit estimates on easing staffing shortages and a surge in hospital admissions for elective procedures, which were deferred during the pandemic. Nov 2 (Reuters) - Baxter International BAX.N on Thursday beat Wall Street expectations for third-quarter revenue and profit, as a recovery in surgical procedure volumes after the pandemic helped drive the demand for its medical devices higher. In October, Baxter's shares had hit their lowest levels since 2016 after Novo Nordisk's NOVOb.CO Ozempic drug showed early success in a trial to treat kidney failure in diabetes patients. | Larger peers Abbott Laboratories ABT.N and Boston Scientific BSX.N also topped quarterly profit estimates on easing staffing shortages and a surge in hospital admissions for elective procedures, which were deferred during the pandemic. Baxter, which manufactures dialysis products and infusion pumps, reported a 3% year-on-year rise in quarterly revenue to $3.71 billion, beating analysts' average estimate of $3.69 billion, according to LSEG data. The healthcare products company expects its full-year adjusted profit, before special items, to range between $2.57 per share and $2.60 per share. | Larger peers Abbott Laboratories ABT.N and Boston Scientific BSX.N also topped quarterly profit estimates on easing staffing shortages and a surge in hospital admissions for elective procedures, which were deferred during the pandemic. Baxter, which manufactures dialysis products and infusion pumps, reported a 3% year-on-year rise in quarterly revenue to $3.71 billion, beating analysts' average estimate of $3.69 billion, according to LSEG data. The healthcare products company expects its full-year adjusted profit, before special items, to range between $2.57 per share and $2.60 per share. | Larger peers Abbott Laboratories ABT.N and Boston Scientific BSX.N also topped quarterly profit estimates on easing staffing shortages and a surge in hospital admissions for elective procedures, which were deferred during the pandemic. Nov 2 (Reuters) - Baxter International BAX.N on Thursday beat Wall Street expectations for third-quarter revenue and profit, as a recovery in surgical procedure volumes after the pandemic helped drive the demand for its medical devices higher. The healthcare products company expects its full-year adjusted profit, before special items, to range between $2.57 per share and $2.60 per share. |
30623.0 | 2023-11-02 00:00:00 UTC | Glaukos (GKOS) Q3 Earnings Beat Estimates, Revenues Rise Y/Y | ABT | https://www.nasdaq.com/articles/glaukos-gkos-q3-earnings-beat-estimates-revenues-rise-y-y | nan | nan | Glaukos Corporation GKOS reported a third-quarter 2023 adjusted loss of 50 cents per share, 10.7% narrower than the Zacks Consensus Estimate of a loss of 56 cents.The figure, however, was wider than the year-ago quarter’s adjusted loss of 45 cents per share.
The GAAP loss per share was 63 cents compared with the prior-year quarter’s reported loss of 58 cents.
Revenue Details
Glaukos registered revenues of $78 million in the third quarter, up 10% year over year on a reported basis and 9% at constant currency. The figure also surpassed the Zacks Consensus Estimate by 3.4%.
Quarter in Detail
The company recorded net sales of $58.3 million and $19.7 million for Glaucoma and Corneal Health, respectively, which were up 9% and 12% year over year.
Margin Trend
Gross profit increased 9.4% to $59.5 million in the reported quarter. The gross margin was flat at 76%.
Selling, general and administrative expenses rose 15.1% to $54.2 million. Research and development expenses totaled $33.3 million, up 15.3% year over year. Total operating expenses were $87.5 million, up 15% from that recorded in the prior-year period.
The operating loss amounted to $28 million compared with $21.6 million in the year-ago period. The adjusted operating loss was $21.8 million, wider than the year-ago quarter’s reported loss of $15.3 million.
Financial Update
Glaukos exited third-quarter 2023 with cash and cash equivalents, and short-term investments of $307 million compared with $310 million at the end of the last reported quarter.
2023 Guidance
The company updated its guidance for 2023 revenues. It expects net sales in the range of $307-$310 million compared with the previously stated $304-$308 million, reflecting improving currency translational rates.
Glaukos Corporation Price, Consensus and EPS Surprise
Glaukos Corporation price-consensus-eps-surprise-chart | Glaukos Corporation Quote
Our Take
Glaukos exited the third quarter of 2023 with decent results, wherein both earnings and revenues beat their respective estimates. Management is excited regarding the company’s return to top-line growth in the reported quarter.
GKOS has launched several products, including iPrime, iAccess and iStent, in the past few quarters, which are aiding its revenue growth. The company has been focused on delivering improved outcomes for patients suffering from chronic eye diseases. It does so by continuing to develop a pipeline of novel, dropless platform technologies designed to meaningfully advance the standard of care.
One of the advanced pipeline candidates, iDose TR, has been successfully tested in a phase III study. Glaukos filed a new drug application with the FDA in February and a decision regarding the same is expected later this year. The company stated that the targeted population is 3 million in the United States every year.
However, GKOS’ operating loss in the reported quarter amid rising costs and expenses raised our apprehension. Its operation in a stiff, competitive market is also worrisome.
Zacks Rank and Stocks to Consider
Currently, Glaukos carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank #2 (Buy) at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Glaukos Corporation (GKOS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Glaukos Corporation (GKOS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Glaukos Corporation (GKOS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Glaukos Corporation (GKOS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30624.0 | 2023-11-02 00:00:00 UTC | McKesson (MCK) Beats on Q2 Earnings, Raises '23 EPS View | ABT | https://www.nasdaq.com/articles/mckesson-mck-beats-on-q2-earnings-raises-23-eps-view | nan | nan | McKesson Corporation (MCK) reported second-quarter fiscal 2024 adjusted earnings per share (EPS) of $6.23, which beat the Zacks Consensus Estimate of $6.11 by 2%. The bottom line also improved 3% on a year-over-year basis.
GAAP EPS was $4.92, down 23.8% from the year-ago quarter’s level. The significant decline was due to the provision of bad debts worth $210 million for uncollected trade accounts receivable related to the bankruptcy of Rite Aid Corporation.
Revenue Details
Revenues of $77.22 billion beat the Zacks Consensus Estimate by 1.8%. The top line also increased 10% year over year, reflecting strong growth in the United States. This was partially offset by lower international sales due to divestitures of its European businesses.
Q2 Segmental Analysis
Revenues at the U.S. Pharmaceutical segment totaled $69.8 billion, up 16% year over year. Per management, the upside was primarily driven by higher volume of specialty products, including an increase in volume from retail national account customers. However, branded-to-generic conversions partially offset the upside.
The U.S. Pharmaceutical and Specialty Solutions segment reported an adjusted operating profit of $815 million, up 8% from the prior-year quarter’s level. This was due to growth in the distribution of specialty products to providers and health systems, and increased contributions from our generics program, partially mitigated by lower demand for COVID-19 vaccine distribution. The adjusted metric for the segment was up 15% year over year, excluding the impact of the abovementioned vaccine’s distribution.
At the International segment, revenues amounted to $3.5 billion, down 43% year over year. This was due to divestitures of McKesson’s European businesses.
Adjusted operating profit at the segment totaled $93 million, down 32% from the year-ago quarter’s figure.
Revenues at the Medical-Surgical Solutions segment totaled $2.8 billion, flat year over year. Sales were primarily hurt by lower COVID-19-related sales.
The Medical-Surgical segment reported an adjusted operating profit of $254 million, down 17% year over year. Excluding the impact of COVID-related items, the adjusted metric was up 5%.
Revenues at the Prescription Technology Solutions segment totaled $1.1 billion, up 12% from that recorded a year ago. The improvement can be attributed to higher technology services revenues and an increase in prescriptions from third-party logistics.
Adjusted operating profit amounted to $209 million at the segment, up 48% from the prior-year quarter’s level.
Margins
Gross profit in the reported quarter was $3.07 billion, down 1% on a year-over-year basis. The figure accounted for 4% of net revenues.
The company reported an operating income of $977 million, down 25% from the year-ago quarter’s figure. Operating margin accounted for 1.3% of net revenues.
Financial Update
Cash and cash equivalents totaled $2.52 billion compared with $2.64 billion in the previous quarter.
Cumulative net cash used in operating activities amounted to $87 million against net cash provided by operating activities of $166 million in the year-ago period.
Fiscal 2024 Guidance
McKesson raised its adjusted earnings guidance for fiscal 2024. It now projects adjusted EPS in the range of $26.80-$27.40, up from the previous guidance of $26.55-$27.35. The Zacks Consensus Estimate for the same is pegged at $27.21. The company now expects revenues to grow 8-12% versus 7-12% as estimated previously.
McKesson Corporation Price, Consensus and EPS Surprise
McKesson Corporation price-consensus-eps-surprise-chart | McKesson Corporation Quote
Summing Up
McKesson exited the fiscal second quarter of 2024 on a strong note, wherein both earnings and revenues beat their respective estimates. The outperformance reflects strong demand for its pharmaceuticals and prescription technology solutions. A strong earnings outlook for the year raises optimism.
However, lower COVID-19-related sales and divesture of European businesses hurt top as well as bottom-line growth for the Medical-Surgical Solutions and International segments, respectively.
Meanwhile, price fluctuation of generic pharmaceuticals and stiff competition in the MedTech space remain as headwinds.
Zacks Rank and Other Key Picks
McKesson currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR.
Abbott, carrying a Zacks Rank of 2 at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
DexCom reported third-quarter 2023 adjusted EPS of 50 cents, which beat the Zacks Consensus Estimate by 47.1%. Revenues of $975 million beat the Zacks Consensus Estimate by 4%. The company currently carries a Zacks Rank #2.
DXCM has a long-term estimated growth rate of 33.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 36.43%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27 and revenues of $405 million, which beat their respective Zacks Consensus Estimate by 21% and 8.7%. It currently carries a Zacks Rank #2.
ITGR has a long-term estimated growth rate of 15.8%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 11.98%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, DexCom DXCM and Integer Holdings ITGR. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report McKesson Corporation (MCK) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30625.0 | 2023-11-01 00:00:00 UTC | CVS Health (CVS) Q3 Earnings Surpass Estimates, Margins Up | ABT | https://www.nasdaq.com/articles/cvs-health-cvs-q3-earnings-surpass-estimates-margins-up | nan | nan | CVS Health Corporation's CVS third-quarter 2023 adjusted earnings per share (EPS) of $2.21 rose 1.8% year over year and exceeded the Zacks Consensus Estimate by 3.8%. The adjusted EPS figure considers certain asset amortization costs, loss on assets held for sale and other adjustments.
On a reported basis, the company’s GAAP earnings were $1.75 per share, compared with the year-ago GAAP loss of $2.59.
Total revenues in the third quarter rose 10.6% year over year to $89.76 billion. The top line also beat the Zacks Consensus Estimate by 1.8%.
Quarter in Detail
The company recently realigned the composition of its segments. It created the Health Services segment (comprising the company’s pharmacy benefit management operations, health care services and provider enablement solutions) and the Pharmacy & Consumer Wellness segment (comprising enterprise pharmacy fulfillment and retail front store operations).
Health Services revenues were up 8.4% to $46.89 billion in the reported quarter. The upside was primarily driven by pharmacy drug mix, growth in specialty pharmacy, brand inflation and the acquisitions of Oak Street Health and Signify Health, partially offset by continued client price improvements. This compares with our model’s projection of $45.20 billion for the third quarter.
Total pharmacy claims processed fell 0.9% on a 30-day equivalent basis, reflecting the impact of a Medicaid customer contract change that occurred during the second quarter of 2023 and a decrease in COVID-19 vaccinations. The decline was largely offset by net new business.
Revenues from CVS Health’s Pharmacy & Consumer Wellness segment were up 6% year over year to $28.87 billion. The impressive growth was driven by increased prescription and front store volume, pharmacy drug mix and brand inflation. However, this growth was partially offset by continued pharmacy reimbursement pressure, the impact of recent generic introductions, a decrease in store count and decreased sales of COVID-19 OTC test kits. This compares with our model’s projection of $29.11 billion for Health’s Pharmacy & Consumer Wellness segment for the third quarter.
CVS Health Corporation Price, Consensus and EPS Surprise
CVS Health Corporation price-consensus-eps-surprise-chart | CVS Health Corporation Quote
Within the Health Care Benefits segment, the company registered revenues worth $26.29 billion in the third quarter, up 16.9% year over year, driven by growth across all product lines. This compares with our model’s projection of $25.57 billion for the Health Care Benefits segment for the third quarter.
Margin
Total cost (including Benefit Costs) rose 8.6% to $54.68 billion in the third quarter. Gross profit rose 13.9% to $35.08 billion. The gross margin expanded 113 basis points (bps) to 39.1%.
The adjusted operating margin in the quarter under review expanded 197 bps to 28.1% on an 18.9% rise in operating expenses to $25.20 billion.
2023 Guidance
CVS Health reiterated its adjusted EPS guidance for full-year 2023 to the band of $8.50-$8.70. The Zacks Consensus Estimate for 2023 earnings is pegged at $8.60.
The company has also reiterated its full-year operating cash flow projection in the range of $12.5-$13.5 billion.
Our Take
CVS Health’s third-quarter 2023 earnings and revenues beat the Zacks Consensus Estimate. Robust sales growth across all three operating segments drove the top-line results. Within the Health Service segment, pharmacy drug mix, growth in specialty pharmacy and brand inflation drove year-over-year growth. During the third quarter, CVS Health launched Cordavis — a wholly-owned subsidiary that will work with pharmaceutical manufacturers to commercialize and/or co-produce biosimilar products for the United States market.
The decline in COVID-19 vaccinations and testing sales is a downside. Further, persistent pharmacy reimbursement headwinds also continued to impact business performance in the quarter under review.
Zacks Rank and Key Picks
CVS Health currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Inari Medical, carrying a Zacks Rank #2, reported a second-quarter 2023 adjusted EPS of 4 cents, beating the Zacks Consensus Estimate by a staggering 128.6%. Revenues of $119 million outpaced the consensus estimate by 2.3%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Inari Medical has an estimated earnings growth rate of 725% for the next year. Inari Medical’s earnings surpassed estimates in all the trailing four quarters, the average being 66.8%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CVS Health Corporation (CVS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CVS Health Corporation (CVS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CVS Health Corporation (CVS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Inari Medical NARI and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CVS Health Corporation (CVS) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report Inari Medical, Inc. (NARI) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30626.0 | 2023-11-01 00:00:00 UTC | Unusual Put Option Trade in Abbott Laboratories (ABT) Worth $4,312.00K | ABT | https://www.nasdaq.com/articles/unusual-put-option-trade-in-abbott-laboratories-abt-worth-%244312.00k | nan | nan | On November 1, 2023 at 15:02:13 ET an unusually large $4,312.00K block of Put contracts in Abbott Laboratories (ABT) was bought, with a strike price of $115.00 / share, expiring in 79 day(s) (on January 19, 2024). Fintel tracks all large options trades, and the premium spent on this trade was 2.16 sigmas above the mean, placing it in the 98.93th percentile of all recent large trades made in ABT options.
This trade was first picked up on Fintel's real time Options Flow tool, where unusual option trades are highlighted.
What is the Fund Sentiment?
There are 3843 funds or institutions reporting positions in Abbott Laboratories. This is a decrease of 33 owner(s) or 0.85% in the last quarter. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 1.65%. Total shares owned by institutions increased in the last three months by 0.16% to 1,493,669K shares.
The put/call ratio of ABT is 0.81, indicating a bullish outlook.
For more in-depth coverage of Abbott Laboratories, view the free, crowd-sourced company research report on Finpedia.
Analyst Price Forecast Suggests 25.25% Upside
As of October 31, 2023, the average one-year price target for Abbott Laboratories is 118.42. The forecasts range from a low of 101.00 to a high of $139.65. The average price target represents an increase of 25.25% from its latest reported closing price of 94.55.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Abbott Laboratories is 39,830MM, a decrease of 0.32%. The projected annual non-GAAP EPS is 4.45.
What are Other Shareholders Doing?
Capital Research Global Investors holds 77,225K shares representing 4.45% ownership of the company. In it's prior filing, the firm reported owning 76,405K shares, representing an increase of 1.06%. The firm increased its portfolio allocation in ABT by 2.18% over the last quarter.
Capital International Investors holds 59,179K shares representing 3.41% ownership of the company. In it's prior filing, the firm reported owning 56,431K shares, representing an increase of 4.64%. The firm increased its portfolio allocation in ABT by 5.90% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 54,213K shares representing 3.12% ownership of the company. In it's prior filing, the firm reported owning 53,806K shares, representing an increase of 0.75%. The firm increased its portfolio allocation in ABT by 0.09% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 41,404K shares representing 2.39% ownership of the company. In it's prior filing, the firm reported owning 40,685K shares, representing an increase of 1.74%. The firm decreased its portfolio allocation in ABT by 0.76% over the last quarter.
Geode Capital Management holds 31,879K shares representing 1.84% ownership of the company. In it's prior filing, the firm reported owning 31,197K shares, representing an increase of 2.14%. The firm decreased its portfolio allocation in ABT by 0.49% over the last quarter.
Abbott Laboratories Declares $0.51 Dividend
On September 21, 2023 the company declared a regular quarterly dividend of $0.51 per share ($2.04 annualized). Shareholders of record as of October 13, 2023 will receive the payment on November 15, 2023. Previously, the company paid $0.51 per share.
At the current share price of $94.55 / share, the stock's dividend yield is 2.16%.
Looking back five years and taking a sample every week, the average dividend yield has been 1.64%, the lowest has been 1.26%, and the highest has been 2.29%. The standard deviation of yields is 0.21 (n=236).
The current dividend yield is 2.47 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.69. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time.
Abbott Laboratories Background Information
(This description is provided by the company.)
Abbott is a global healthcare leader that helps people live more fully at all stages of life. Its portfolio of life-changing technologies spans the spectrum of healthcare, with leading businesses and products in diagnostics, medical devices, nutritionals and branded generic medicines. Our 109,000 colleagues serve people in more than 160 countries.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | On November 1, 2023 at 15:02:13 ET an unusually large $4,312.00K block of Put contracts in Abbott Laboratories (ABT) was bought, with a strike price of $115.00 / share, expiring in 79 day(s) (on January 19, 2024). Fintel tracks all large options trades, and the premium spent on this trade was 2.16 sigmas above the mean, placing it in the 98.93th percentile of all recent large trades made in ABT options. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 1.65%. | On November 1, 2023 at 15:02:13 ET an unusually large $4,312.00K block of Put contracts in Abbott Laboratories (ABT) was bought, with a strike price of $115.00 / share, expiring in 79 day(s) (on January 19, 2024). Fintel tracks all large options trades, and the premium spent on this trade was 2.16 sigmas above the mean, placing it in the 98.93th percentile of all recent large trades made in ABT options. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 1.65%. | On November 1, 2023 at 15:02:13 ET an unusually large $4,312.00K block of Put contracts in Abbott Laboratories (ABT) was bought, with a strike price of $115.00 / share, expiring in 79 day(s) (on January 19, 2024). Fintel tracks all large options trades, and the premium spent on this trade was 2.16 sigmas above the mean, placing it in the 98.93th percentile of all recent large trades made in ABT options. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 1.65%. | On November 1, 2023 at 15:02:13 ET an unusually large $4,312.00K block of Put contracts in Abbott Laboratories (ABT) was bought, with a strike price of $115.00 / share, expiring in 79 day(s) (on January 19, 2024). Fintel tracks all large options trades, and the premium spent on this trade was 2.16 sigmas above the mean, placing it in the 98.93th percentile of all recent large trades made in ABT options. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 1.65%. |
30627.0 | 2023-10-31 00:00:00 UTC | Ecolab (ECL) Q3 Earnings Surpass Estimates, Margins Rise | ABT | https://www.nasdaq.com/articles/ecolab-ecl-q3-earnings-surpass-estimates-margins-rise | nan | nan | Ecolab Inc. ECL reported third-quarter 2023 adjusted earnings per share (EPS) of $1.54, up 18.5% year over year. The bottom line exceeded the Zacks Consensus Estimate by 1.3%.
GAAP EPS for the quarter was $1.41, up 16.5% year over year.
Revenue Details
Revenues grossed $3.96 billion in the reported quarter, up 7.9% year over year. The metric missed the Zacks Consensus Estimate by 0.7%.
Ecolab’s organic sales increased 7% from the prior-year period’s level.
The year-over-year uptick in the third-quarter organic sales was driven by double-digit growth in the Institutional & Specialty segment and Pest Elimination division, solid growth in the Industrial segment and improved growth in the Healthcare & Life Sciences segment.
Segmental Analysis
The Global Industrial segment’s fixed currency sales of $1.83 billion reflect 3.6% reported growth year over year. Organic sales increased 4% year over year, driven by robust growth in Food & Beverage and Water. This more than offset the expected short-term decline in Paper sales, which continued to be impacted by soft industry demand.
The Global Institutional & Specialty arm’s fixed currency sales of $1.31 billion reflect reported growth of 12.3%. Organic sales increased 11% year over year, with both the Institutional and Specialty divisions growing double digits, reflecting additional pricing and new business gains.
The Global Healthcare and Life Sciences arm’s fixed currency sales of $400.7 million improved 11.3%. Organic sales growth of 11% reflected continued growth in Healthcare and improved Life Sciences sales growth. Healthcare’s improved underlying growth was driven by good pricing and new business gains, and the business also benefited from larger-than-normal surgical sales.
The Other segment’s fixed currency sales of $380.3 million improved 8.4% on a reported basis. Organic sales growth was 8%, driven by double-digit growth in Pest Elimination.
Ecolab Inc. Price, Consensus and EPS Surprise
Ecolab Inc. price-consensus-eps-surprise-chart | Ecolab Inc. Quote
Margin Analysis
In the quarter under review, Ecolab’s gross profit improved 18.1% to $1.63 billion. The gross margin expanded 357 basis points (bps) to 41.1%.
Selling, general and administrative expenses rose 16.9% to $1.02 billion year over year.
Adjusted operating profit totaled $602.7 million, increasing 20.3% from the prior-year quarter’s level. Adjusted operating margin in the quarter also expanded 158 bps to 15.2%.
Financial Position
Ecolab exited third-quarter 2023 with cash and cash equivalents of $1 billion compared with $554.2 million at the end of the second quarter. Total debt at the end of third-quarter 2023 was $8.616 billion compared with $8.621 billion at the second-quarter end.
Cumulative net cash provided by operating activities at the end of third-quarter 2023 was $1.56 billion compared with $929.2 million a year ago.
Meanwhile, Ecolab has a consistent dividend-paying history, with a five-year annualized dividend growth of 3.58%.
Guidance
Ecolab has provided its adjusted EPS outlook for the fourth quarter of 2023.
The company expects its adjusted EPS to be in the range of $1.48-$1.58, up 17-24% from the year-ago period. The Zacks Consensus Estimate for the quarter is currently pegged at $1.52 per share.
For 2024, Ecolab continues to expect mid-teens or better growth in adjusted EPS.
Our Take
Ecolab exited the third quarter of 2023 with better-than-expected earnings. The company registered a robust year-over-year uptick in its top and bottom lines, along with solid performances across all segments. Strong pricing momentum and accelerating volume trends were also encouraging. Ecolab’s new business wins and productivity initiatives are well-positioned to drive growth and global leadership. The company’s innovation, digital offerings and service capabilities are expected to lead to robust new business wins, which are encouraging. The expansion of both margins bodes well for the stock.
However, Ecolab’s lower-than-expected revenues and soft Paper sales were disappointing. The company continued to face challenging macroeconomic conditions, raising our apprehension.
Zacks Rank and Key Picks
Ecolab currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Boston Scientific reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 4.2%. Revenues of $3.53 billion surpassed the Zacks Consensus Estimate by 1.8%. It currently carries a Zacks Rank #2.
Boston Scientific has a long-term estimated growth rate of 12.5%. BSX’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 4.3%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Ecolab Inc. (ECL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Ecolab Inc. (ECL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Ecolab Inc. (ECL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Ecolab Inc. (ECL) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30628.0 | 2023-10-31 00:00:00 UTC | GE HealthCare beats quarterly profit estimates on imaging device demand | ABT | https://www.nasdaq.com/articles/ge-healthcare-beats-quarterly-profit-estimates-on-imaging-device-demand | nan | nan | Oct 31 (Reuters) - GE HealthCare Technologies Inc GEHC.O on Tuesday beat Wall Street expectations for third-quarter profit as a continued recovery in demand for surgical procedures boosted sales of its medical devices.
Demand for medical devices has seen a surge following a sharp decline in COVID-19 infections as customers, particularly older adults, in the United States are returning to hospitals for procedures such as hip and knee replacements, and healthcare staffing shortages ease.
Larger peer Abbott Laboratories ABT.N also topped its quarterly profit estimates, aided by a recovery in sales of its medical devices such as heart valves and pacemakers.
GE HealthCare also raised the low end of its annual adjusted profit forecast range to $3.75 per share from $3.70, while maintaining its top end at $3.85.
On Oct. 16, U.S. health officials had lifted curbs on reimbursement of a non-invasive imaging test called amyloid PET used to diagnose Alzheimer's, providing broader access to PET scanners made by companies like GE HealthCare that were only accessible for use in limited spaces like clinical trials.
In the previous quarter, GE HealthCare had said that Alzheimer's-related testing would help drive demand for its imaging equipment at hospitals and medical centers next year.
The company has four medical device businesses under its wings - imaging equipment, ultrasound devices, patient care solutions and pharmaceutical diagnostics - with imaging being the largest.
The company reported total quarterly sales of $4.82 billion for the third quarter ended Sept. 30, beating analysts' estimate of $4.81 billion. $2.64 billion of the sales came from imaging devices, in line with estimates.
On an adjusted basis, GE HealthCare earned 99 cents per share, above LSEG estimates of 90 cents.
(Reporting by Christy Santhosh in Bengaluru; Editing by Maju Samuel)
((Christy.Santhosh@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Larger peer Abbott Laboratories ABT.N also topped its quarterly profit estimates, aided by a recovery in sales of its medical devices such as heart valves and pacemakers. Oct 31 (Reuters) - GE HealthCare Technologies Inc GEHC.O on Tuesday beat Wall Street expectations for third-quarter profit as a continued recovery in demand for surgical procedures boosted sales of its medical devices. Demand for medical devices has seen a surge following a sharp decline in COVID-19 infections as customers, particularly older adults, in the United States are returning to hospitals for procedures such as hip and knee replacements, and healthcare staffing shortages ease. | Larger peer Abbott Laboratories ABT.N also topped its quarterly profit estimates, aided by a recovery in sales of its medical devices such as heart valves and pacemakers. The company reported total quarterly sales of $4.82 billion for the third quarter ended Sept. 30, beating analysts' estimate of $4.81 billion. On an adjusted basis, GE HealthCare earned 99 cents per share, above LSEG estimates of 90 cents. | Larger peer Abbott Laboratories ABT.N also topped its quarterly profit estimates, aided by a recovery in sales of its medical devices such as heart valves and pacemakers. Oct 31 (Reuters) - GE HealthCare Technologies Inc GEHC.O on Tuesday beat Wall Street expectations for third-quarter profit as a continued recovery in demand for surgical procedures boosted sales of its medical devices. On Oct. 16, U.S. health officials had lifted curbs on reimbursement of a non-invasive imaging test called amyloid PET used to diagnose Alzheimer's, providing broader access to PET scanners made by companies like GE HealthCare that were only accessible for use in limited spaces like clinical trials. | Larger peer Abbott Laboratories ABT.N also topped its quarterly profit estimates, aided by a recovery in sales of its medical devices such as heart valves and pacemakers. GE HealthCare also raised the low end of its annual adjusted profit forecast range to $3.75 per share from $3.70, while maintaining its top end at $3.85. The company has four medical device businesses under its wings - imaging equipment, ultrasound devices, patient care solutions and pharmaceutical diagnostics - with imaging being the largest. |
30629.0 | 2023-10-31 00:00:00 UTC | PacBio (PACB) Tops on Q3 Earnings, Raises FY23 Revenue View | ABT | https://www.nasdaq.com/articles/pacbio-pacb-tops-on-q3-earnings-raises-fy23-revenue-view | nan | nan | Pacific Biosciences of California, Inc. PACB, popularly known as PacBio, delivered an adjusted loss per share of 27 cents in third-quarter 2023, narrower than the year-ago loss of 32 cents per share. The adjusted loss per share was also narrower than the Zacks Consensus Estimate of a loss of 30 cents.
The company’s GAAP loss per share was 26 cents in the quarter, narrower than the year-ago loss of 34 cents.
Revenues in Detail
PacBio registered revenues of $55.7 million in the third quarter, up 72.4% year over year. The figure surpassed the Zacks Consensus Estimate by 15.3%.
The top line benefited from the year-over-year uptick in product revenues.
Geographical Analysis
PacBio’s revenues from the Americas were $29 million, up 73% year over year, with year-over-year growth across instruments and consumables. This figure outpaced our third-quarter projection of $23.4 million.
In the Asia-Pacific region, PacBio recorded revenues of $15.7 million, reflecting a 64% uptick year over year. Although China recorded year-over-year growth, it was lower in the second quarter as customers in the region slowed their capital expenditure purchases. However, per management, it was encouraging to see sequential consumables as customers ramp up their Revio usage in the country with healthy levels of utilization. This figure compares to our third-quarter projection of $14.9 million.
Europe, the Middle East and Africa region registered revenues of $11 million, which grew 83% year over year, driven by both instrument and consumable growth. This figure compares to our third-quarter projection of $9.6 million.
Segmental Analysis
Product revenues amounted to $ 51.6 million, up 87.4% from the year-ago quarter. The figure outperformed our estimate of $43.5 million.
PacBio shipped 52 Revio sequencing systems in the third quarter, which brought the company’s installed base to 129 Revio systems as of Sep 30, 2023. The company also shipped the first Onso system during the reported quarter.
Instrument revenues were $34.7 million, up 204.4% year over year. This primarily resulted from the continued momentum of Revio systems in the quarter. Our model estimated $29.9 million for this metric.
Consumables revenues for the third quarter of 2023 were $16.9 million, up 4.9% from the prior-year quarter. Our projection was $13.6 million.
Service and other revenues totaled $4.1 million, down 14% year over year. This figure lagged our projection of $4.4 million.
Pacific Biosciences of California, Inc. Price, Consensus and EPS Surprise
Pacific Biosciences of California, Inc. price-consensus-eps-surprise-chart | Pacific Biosciences of California, Inc. Quote
Margin Trend
In the quarter under review, PacBio’s gross profit increased 32.1% to $17.9 million. However, the gross margin contracted 978 basis points to 32.1%.
Sales, general and administrative expenses rose 18% to $43.4 million. Research and development expenses increased 0.9% year over year to $47.5 million. Adjusted total operating expenses of $90.9 million increased 8.4% year over year.
Adjusted total operating loss was $73 million in the reported quarter compared with the prior-year quarter’s $70.3 million.
Financial Position
PacBio exited third-quarter 2023 with cash, cash equivalents and investments (excluding short-term and long-term restricted cash) of $767.8 million compared with $829.9 million at the second-quarter end.
Guidance
PacBio has raised its revenue outlook for 2023.
The company now expects to achieve revenues in the range of $195 million-$200 million (representing growth rate of 52-56% from 2022 figures), up from the earlier guided range of $185 million-$190 million (indicating growth of 44-48% from 2022 numbers). The Zacks Consensus Estimate is pegged at $187.4 million.
Our Take
PacBio exited the third quarter of 2023 with better-than-expected results. PACB saw a robust increase in its overall top line, including strong Product revenues. Solid Consumables and Instrument revenues and strong geographical performances were also encouraging. Continued strong prospects in the Revio and Onso systems, with customers placing orders for these, looked promising for the stock.
PacBio agreement to acquire Apton Biosystems with plans to integrate its Sequencing by Binding short-read chemistry with Apton's high throughput instrument (announced in August) also raised optimism about the stock.
Yet, the continued loss per share reported by PacBio was disappointing. The year-over-year fall in Service and other revenues was concerning. The contraction of gross margin added to the woes. The year-over-year operating loss was another area of concern. The continued inflationary pressures and higher energy costs also raise apprehension.
Zacks Rank and Stocks to Consider
PacBio currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted earnings per share (EPS) of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Boston Scientific reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 4.2%. Revenues of $3.53 billion surpassed the Zacks Consensus Estimate by 1.8%. It currently carries a Zacks Rank #2.
Boston Scientific has a long-term estimated growth rate of 12.5%. BSX’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 4.3%.
Integer Holdings reported third-quarter 2023 adjusted EPS of $1.27, beating the Zacks Consensus Estimate by 20.9%. Revenues of $404.7 million surpassed the Zacks Consensus Estimate by 8.7%. It currently carries a Zacks Rank #2.
Integer Holdings has a long-term estimated growth rate of 15.8%. ITGR’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 11.9%.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Abbott Laboratories (ABT) : Free Stock Analysis Report
Boston Scientific Corporation (BSX) : Free Stock Analysis Report
Pacific Biosciences of California, Inc. (PACB) : Free Stock Analysis Report
Integer Holdings Corporation (ITGR) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Pacific Biosciences of California, Inc. (PACB) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Pacific Biosciences of California, Inc. (PACB) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Pacific Biosciences of California, Inc. (PACB) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and Integer Holdings Corporation ITGR. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Pacific Biosciences of California, Inc. (PACB) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30630.0 | 2023-10-30 00:00:00 UTC | Top Stock Reports for JPMorgan Chase, Home Depot & Salesforce | ABT | https://www.nasdaq.com/articles/top-stock-reports-for-jpmorgan-chase-home-depot-salesforce | nan | nan | Monday, October 30, 2023
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including JPMorgan Chase & Co. (JPM), The Home Depot, Inc. (HD) and Salesforce, Inc. (CRM). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
JPMorgan Chase shares have struggled lately given the uncertain macroeconomic backdrop, but they have outperformed the broader market (+9% for JPM vs. +6.8% for the S&P 500 index) and the Zacks Banks - Major Regional industry over the past year (+9% vs. -16.1%). High interest rates, buyouts, global expansion efforts and decent loan demand will aid net interest income (NII), though rising funding costs will weigh on it.
Despite visibility of some green shoots in the investment banking (IB) business, IB fees are less likely to improve soon. This, along with the volatile nature of the capital markets business and high mortgage rates, will likely hamper fee income growth.
However, mounting costs are a woe and we expect it to rise 10.7% in 2023. Aided by solid earnings strength and balance sheet, it will be able to sustain capital distributions.
(You can read the full research report on JPMorgan Chase here >>>)
Shares of Home Depot have declined -5.6% over the past six months against the Zacks Building Products - Retail industry’s decline of -7.2%. The company has been witnessing significant benefits from the execution of the “One Home Depot” investment plan, which focuses on expanding supply chain facilities, technology investments and enhancement to the digital experience.
The interconnected retail strategy and underlying technology infrastructure have helped consistently boost web traffic for the past few quarters. The company remains on track with its strategic investments to build a Pro ecosystem.
However, Home Depot's top and bottom-lines declined year over year in second-quarter fiscal 2023. Results were impacted by a deflation in lumber prices and pressures in several big-ticket discretionary categories. HD retained its conservative view for fiscal 2023.
(You can read the full research report on Home Depot here >>>)
Salesforce shares have outperformed the Zacks Computer - Software industry over the year-to-date period (+49.2% vs. +35.1%). The company is benefiting from a robust demand environment as customers are undergoing a major digital transformation. Its sustained focus on introducing more aligned products as per customer needs is driving its top-line.
Continued deal wins in the international market is another growth driver. The acquisition of Slack has positioned the company as a leader in enterprise team collaboration solution space and placed at a better competitive position against Microsoft’s Teams product.
However, stiff competition and unfavorable currency fluctuations are concerns. Besides, challenging macroeconomic environment might hurt its growth prospects in the near-term.
(You can read the full research report on Salesforce here >>>)
Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Advanced Micro Devices, Inc. (AMD) and Intel Corporation (INTC).
Director of Research
Sheraz Mian
Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>
Today's Must Read
Buyouts, High Rates, Modest Loan Demand Aid JPMorgan (JPM)
Home Depot's (HD) Interconnected Strategy to Boost Sales
Salesforce (CRM) Rides on Partnership Wins & Acquisitions
Featured Reports
Organic Sales Gain, EPD Business Growth Aid Abbott (ABT)
The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Within Established Pharmaceuticals, robust performance in key emerging markets is encouraging.
Robust Product Portfolio & Partnerships Aid AMD's Prospects
Per the Zacks analyst, Advanced Micro Devices is benefiting from strong adoption of EPYC and Genoa processors. Moreover, alliances with Meta, Amazon and Oracle, bode well.
Intel (INTC) Focuses on Improved Production Capabilities
Per the Zacks analyst, Intel is likely to benefit from an advanced semiconductor manufacturing ecosystem as it continues to expand its global production capabilities under IDM 2.0 strategy.
Global Brands Strength Drive AB InBev's (BUD) Organic Sales
Per the Zacks analyst, strength in global brands led to AB InBev's organic sales growth in the second quarter, backed by improving key market trends and premiumization in the majority of its markets.
Planned Investments, Permian Basin Focus Aid Occidental (OXY)
Per the Zacks analyst Occidental's investments to strengthen infrastructure and expansion of Permian Basin operation through acquisition will drive its performance over the long run.
Application Software unit Aids Roper (ROP) Amid Rising Costs
Per the Zacks analyst, Roper's Application Software unit is driven by solid momentum across the Deltek, Vertafore, Frontline and Aderant businesses. However, High operating costs remain a concern.
Ayvakit Sales Boosts Blueprint (BPMC), High Dependence a Woe
Per the Zacks Analyst, BPMC has been witnessing increased growth in Ayvakit sales, following label expansion in the U.S. market. However, high dependency on Ayvakit for revenue generation is a woe.
New Upgrades
Better Pricing, New Business Growth Drive Chubb Limited (CB)
Per the Zacks analyst, Chubb is poised to grow on better pricing, new business growth and high renewal rates. It also stays focused on business lines that has immense room for growth.
Flex To Benefit From Solid Demand in Automotive Business
Per the Zacks analyst, Flex's performance benefited from solid demand in automotive sector owing to program wins and steady vehicle content expansion. Rising demand for EV charging is a tailwind.
Higher Rates, Restructuring Supports Hilltop Holdings (HTH)
Per the Zacks analyst, higher interest rates and loan growth will aid Hilltop Holdings' top line. Its restructuring efforts to diversify business as a profitable banking operation are impressive.
New Downgrades
Alaska Air (ALK) Weighed Down by High Fuel & Labor Costs
The Zacks analyst is worried about the fact that increased labor costs and rising fuel prices do not bode well for Alaska Air's bottom line.
Nabors (NBR) Weighed Down by Massive Debt Burden
The Zacks analyst believes that Nabors Industries' high debt-to-capitalization of 82% is a concern, as it restricts the company's financial freedom to tap into growth opportunities.
High Operating Costs Continues to Hurt Boyd Gaming (BYD)
Per the Zacks analysts, higher wages, utilities and property insurance expenses is likely to hurt Boyd Gaming's bottom line. Also, decline in retail play is hurting the company.
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JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report
Intel Corporation (INTC) : Free Stock Analysis Report
Abbott Laboratories (ABT) : Free Stock Analysis Report
Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report
Salesforce Inc. (CRM) : Free Stock Analysis Report
The Home Depot, Inc. (HD) : Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Buyouts, High Rates, Modest Loan Demand Aid JPMorgan (JPM) Home Depot's (HD) Interconnected Strategy to Boost Sales Salesforce (CRM) Rides on Partnership Wins & Acquisitions Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Advanced Micro Devices, Inc. (AMD) and Intel Corporation (INTC). Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Intel Corporation (INTC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report Salesforce Inc. (CRM) : Free Stock Analysis Report The Home Depot, Inc. (HD) : Free Stock Analysis Report To read this article on Zacks.com click here. | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Buyouts, High Rates, Modest Loan Demand Aid JPMorgan (JPM) Home Depot's (HD) Interconnected Strategy to Boost Sales Salesforce (CRM) Rides on Partnership Wins & Acquisitions Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Intel Corporation (INTC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report Salesforce Inc. (CRM) : Free Stock Analysis Report The Home Depot, Inc. (HD) : Free Stock Analysis Report To read this article on Zacks.com click here. Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Advanced Micro Devices, Inc. (AMD) and Intel Corporation (INTC). | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Buyouts, High Rates, Modest Loan Demand Aid JPMorgan (JPM) Home Depot's (HD) Interconnected Strategy to Boost Sales Salesforce (CRM) Rides on Partnership Wins & Acquisitions Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Intel Corporation (INTC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report Salesforce Inc. (CRM) : Free Stock Analysis Report The Home Depot, Inc. (HD) : Free Stock Analysis Report To read this article on Zacks.com click here. Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Advanced Micro Devices, Inc. (AMD) and Intel Corporation (INTC). | If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Buyouts, High Rates, Modest Loan Demand Aid JPMorgan (JPM) Home Depot's (HD) Interconnected Strategy to Boost Sales Salesforce (CRM) Rides on Partnership Wins & Acquisitions Featured Reports Organic Sales Gain, EPD Business Growth Aid Abbott (ABT) The Zacks analyst is impressed with Abbott's strong market share gains in organic base business. Other noteworthy reports we are featuring today include Abbott Laboratories (ABT), Advanced Micro Devices, Inc. (AMD) and Intel Corporation (INTC). Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Intel Corporation (INTC) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report Salesforce Inc. (CRM) : Free Stock Analysis Report The Home Depot, Inc. (HD) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30631.0 | 2023-10-30 00:00:00 UTC | Revvity (RVTY) Misses on Q3 Earnings, Lowers '23 EPS View | ABT | https://www.nasdaq.com/articles/revvity-rvty-misses-on-q3-earnings-lowers-23-eps-view | nan | nan | Revvity, Inc. RVTY reported third-quarter 2023 adjusted earnings per share (EPS) of $1.18, which missed the Zacks Consensus Estimate of $1.19 by 0.8%. The bottom line also declined 2.5% from the year-ago quarter’s level.
GAAP EPS from continuing operations was 8 cents compared with 67 cents in the prior-year period. However, GAAP EPS was 28 cents, including a loss of 18 cents per share from discontinued operations.
Revenue Details
Based in Waltham, MA, this leading MedTech company reported revenues of $671 million, down 5.8% year over year and 7% organically. However, the metric was up 1% organically after excluding sales from COVID-19 products. The top line missed the Zacks Consensus Estimate by 3.1%.
Segmental Details
Revvity reports under two operating segments — Life Sciences and Diagnostics.
Life Sciences
Revenues from this segment totaled $308 million, indicating a decrease of 1.6% from the year-ago quarter’s level. Organically, the segment witnessed a decline of 3%.
Adjusted operating income amounted to $114 million, up 2.6% from that recorded in the prior-year quarter.
Diagnostics
This segment’s revenues totaled $363 million, down 9% on a year-over-year basis. Organically, the top line decreased 10%.
Adjusted operating income amounted to $82 million, down 33.3% from the year-ago quarter’s figure.
Revvity Inc. Price, Consensus and EPS Surprise
Revvity Inc. price-consensus-eps-surprise-chart | Revvity Inc. Quote
Margin Analysis
Selling, general and administrative expenses totaled $250.3 million, up 3.1% year over year. Research and development expenses amounted to $53 million, down 0.9% from the year-ago quarter’s reported number.
Adjusted operating income declined 42.4% to $185 million from the year-ago quarter’s level. Adjusted operating margin, as a percentage of revenues, was 27.5%, down 390 bps.
Financial Update
The company exited the third quarter with cash and cash equivalents of $1.43 billion compared with $2.07 billion in the year-ago period.
Net cash used in operating activities, including discontinued operations, totaled $33.5 million against net cash provided by operating activities of $160 million in the year-ago quarter.
2023 Guidance
Revvity provided its updated earnings and revenue guidance for full-year 2023.
For 2023, the company now expects adjusted EPS in the range of $4.53-$4.57 compared with the previous guidance of $4.70-$4.90. Revenues are anticipated in the band of $2.72-$2.74 billion compared with the previous projection of $ 2.80-$2.85 billion. The Zacks Consensus Estimate for EPS and sales is pegged at $4.76 per share and $2.82 billion, respectively.
Zacks Rank and Stocks to Consider
Currently, Revvity carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Medpace MEDP and Boston Scientific BSX.
Abbott, carrying a Zacks Rank #2 (Buy) at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
Medpace reported third-quarter 2023 adjusted EPS of $2.22, which beat the Zacks Consensus Estimate by 8.8%. Revenues of $492 million outpaced the consensus mark by 3.4%. The company currently carries a Zacks Rank #2.
MEDP has an estimated growth rate of 18% for 2024. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 14.62%.
Boston Scientific reported third-quarter 2023 adjusted EPS of 50 cents and revenues of $3.53 billion, which beat their respective Zacks Consensus Estimate by 4.2% and 1.8%, respectively. It currently carries a Zacks Rank #2.
BSX has a long-term estimated growth rate of 12.8%. Its earnings surpassed estimates in three of the trailing four quarters and missed once, delivering an average surprise of 4.34%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Medpace MEDP and Boston Scientific BSX. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medpace Holdings, Inc. (MEDP) : Free Stock Analysis Report Revvity Inc. (RVTY) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medpace Holdings, Inc. (MEDP) : Free Stock Analysis Report Revvity Inc. (RVTY) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Medpace MEDP and Boston Scientific BSX. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medpace Holdings, Inc. (MEDP) : Free Stock Analysis Report Revvity Inc. (RVTY) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Medpace MEDP and Boston Scientific BSX. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Medpace MEDP and Boston Scientific BSX. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medpace Holdings, Inc. (MEDP) : Free Stock Analysis Report Revvity Inc. (RVTY) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30632.0 | 2023-10-30 00:00:00 UTC | 2 No-Brainer Dividend Stocks to Buy This Week | ABT | https://www.nasdaq.com/articles/2-no-brainer-dividend-stocks-to-buy-this-week | nan | nan | Dividend stocks can be consistent market-beaters. However, empirical research shows that the best dividend stocks tend to generate better-than-average returns because of their underlying value proposition -- not their potential to deliver consistent levels of passive income.
Which undervalued dividend stocks are worth buying right now? Following the latest round of corporate earnings, AbbVie (NYSE: ABBV) and Altria (NYSE: MO) both come across as highly attractive buys as a result of their hefty yields and core value propositions. Read on to find out more about these top-shelf dividend stocks.
Image source: Getty Images.
AbbVie: A 4.49% yield
AbbVie is a large-cap pharma company best known for its powerhouse immunology drug, Humira. Because of Humira's strong performance and profitability, AbbVie has been able to reward its shareholders with generous dividend increases since its spinoff from Abbott Laboratories in 2013. Currently, AbbVie pays an annualized dividend of $6.20 per share, which translates to a 4.49% yield at the current share price.
It hasn't been all sunshine and rainbows for the drugmaker this year, however. Humira and the blockbuster blood cancer drug, Imbruvica, have both been losing market share in 2023. As a result, the company's annual sales are on track to decline over the course of both 2023 and 2024.
On the bright side, management expects the company to return to modest single-digit revenue growth by 2025, and maintain this trend for the rest of the decade. Management's turnaround thesis stems, in part, from the impressive sales trajectory of the company's newer immunology drugs, Rinvoq and Skyrizi.
Although AbbVie may have to unearth a hidden gem on the merger-and-acquisition scene to shore up its long-term financial projection, the company's top-shelf management team arguably deserves the benefit of the doubt on this matter. After all, the company has hit on a few successful bolt-on acquisitions in recent years.
So with AbbVie's stock trading a paltry 12.8 times projected earnings, it might be a good idea to start to build a position in this Dividend King or add to an already existing position.
Altria: A 9.93% yield
Like AbbVie, American tobacco giant Altria hasn't been a winner for shareholders in 2023. Thanks to an unfavorable combination of declining sales for its premium cigarette brands such as Marlboro and competition from illegal flavored e-vapor products, Altria's shares have shed 14% of their value this year.
This double-digit decline, though, may represent a compelling entry point for long-term investors. Three key reasons underlie this point.
First off, Altria has been working diligently to diversify beyond traditional tobacco categories such as cigarettes, cigars, and moist smokeless tobacco. To wit, the company has been busy building up its electronic nicotine product offerings, along with its oral nicotine pouch franchise, in 2023.
Second, Altria's shares are trading at a near-historic low from a projected earnings standpoint: 7.72. While it's true that the tobacco industry is shrinking at a rapid clip, and smokers are cutting back on premium brands in response to inflation this year, Altria remains extremely profitable. Moreover, it has the massive scale necessary to successfully launch into tobacco-adjacent product categories to keep the business growing in the years ahead.
Third, Altria is an extremely shareholder-friendly company, evinced by its sky-high dividend year of almost 10%, its 54-year history of consecutive dividend raises, and regular share buybacks. On this last point, the company has reduced its outstanding share count by nearly 40% since 1990.
MO Average Diluted Shares Outstanding (Quarterly) data by YCharts
In all, Altria definitely qualifies as a company in transition. But its strong free cash flows, investments in a smokeless future, and shareholder-friendly policies make its shares a no-brainer buy for long-term income investors.
10 stocks we like better than AbbVie
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George Budwell has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | However, empirical research shows that the best dividend stocks tend to generate better-than-average returns because of their underlying value proposition -- not their potential to deliver consistent levels of passive income. Although AbbVie may have to unearth a hidden gem on the merger-and-acquisition scene to shore up its long-term financial projection, the company's top-shelf management team arguably deserves the benefit of the doubt on this matter. While it's true that the tobacco industry is shrinking at a rapid clip, and smokers are cutting back on premium brands in response to inflation this year, Altria remains extremely profitable. | Following the latest round of corporate earnings, AbbVie (NYSE: ABBV) and Altria (NYSE: MO) both come across as highly attractive buys as a result of their hefty yields and core value propositions. Although AbbVie may have to unearth a hidden gem on the merger-and-acquisition scene to shore up its long-term financial projection, the company's top-shelf management team arguably deserves the benefit of the doubt on this matter. But its strong free cash flows, investments in a smokeless future, and shareholder-friendly policies make its shares a no-brainer buy for long-term income investors. | So with AbbVie's stock trading a paltry 12.8 times projected earnings, it might be a good idea to start to build a position in this Dividend King or add to an already existing position. Third, Altria is an extremely shareholder-friendly company, evinced by its sky-high dividend year of almost 10%, its 54-year history of consecutive dividend raises, and regular share buybacks. See the 10 stocks *Stock Advisor returns as of October 23, 2023 George Budwell has no position in any of the stocks mentioned. | Altria: A 9.93% yield Like AbbVie, American tobacco giant Altria hasn't been a winner for shareholders in 2023. That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 23, 2023 George Budwell has no position in any of the stocks mentioned. |
30633.0 | 2023-10-30 00:00:00 UTC | Is Abbott Stock Undervalued At $95? | ABT | https://www.nasdaq.com/articles/is-abbott-stock-undervalued-at-%2495 | nan | nan | Abbott (NYSE: ABT) reported its Q3 results last week, with revenues and earnings beating the street estimates. ABT stock is trading at 4.0x sales compared to the last five-year average of 5.4x, and we believe investors will likely be better off picking ABT for robust gains in the long run.
The company reported revenue of $10.1 billion, reflecting a 2.6% decline from the prior year period and above the $9.8 billion street estimate. Its adjusted earnings of $1.14 per share were down 1% y-o-y and above the consensus estimate of $1.11 per share. In this note, we discuss Abbott’s stock performance, key takeaways from its recent results, and valuation.
ABT stock has seen a decline of 15% from levels of $110 in early January 2021 to around $94 now, vs. an increase of about 10% for the S&P 500 over this roughly 3-year period. However, the decrease in ABT stock has been far from consistent. Returns for the stock were 29% in 2021, -22% in 2022, and -15% in 2023 (YTD). In comparison, returns for the S&P 500 have been 27% in 2021, -19% in 2022, and 9% in 2023 (YTD) – indicating that ABT underperformed the S&P in 2022 and 2023.
In fact, consistently beating the S&P 500 – in good times and bad – has been difficult over recent years for individual stocks; for heavyweights in the Health Care sector, including LLY, UNH, and JNJ, and even for the megacap stars GOOG, TSLA, and MSFT.
In contrast, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has outperformed the S&P 500 each year over the same period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index, less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could ABT face a similar situation as it did in 2022 and 2023 and underperform the S&P over the next 12 months – or will it see a recovery? From a valuation perspective, ABT stock looks undervalued. We estimate Abbott’s Valuation to be $117 per share, reflecting a solid 25% upside from its current levels of $94. Our forecast is based on a 26x P/E multiple for ABT and expected earnings of $4.44 on a per-share and adjusted basis for the full year 2023. The company raised its earnings outlook to now be in the range of $4.42 and $4.46 (vs. the $4.30 and $4.40 range earlier).
Abbott’s revenue of $10.1 billion in Q3 was down 3% y-o-y. The company reported a 17% jump in Medical Device segment sales, Nutrition was up 16%, and Established Pharmaceuticals saw a 3% rise in revenue. Growth in these segments was more than offset by a 33% fall in Diagnostics revenues due to lower demand for COVID-19 testing. Excluding the Covid-19 tests, the Diagnostics sales were up 10.1%. There are rising concerns over increased adoption of glucagon-like peptide-1 (GLP-1) drugs on glucose monitoring devices. However, Abbott’s management stated that they do not perceive GLP-1 drugs to put pressure on their FreeStyle range of CGM devices.
The company saw its adjusted operating income margin contract 100 bps y-o-y to 22.9%. Despite lower revenues and margin contraction, Abbott reported only a 1% decline in the bottom line to $1.14 on a per-share and adjusted basis in Q3’23. This can be attributed to lower taxes and a 1% decline in total shares outstanding.
While ABT stock looks undervalued, it is helpful to see how Abbott’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Returns Oct 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
ABT Return -3% -15% 144%
S&P 500 Return -2% 9% 87%
Trefis Reinforced Value Portfolio -5% 18% 504%
[1] Month-to-date and year-to-date as of 10/26/2023
[2] Cumulative total returns since the end of 2016
Invest with Trefis Market-Beating Portfolios
See all Trefis Price Estimates
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could ABT face a similar situation as it did in 2022 and 2023 and underperform the S&P over the next 12 months – or will it see a recovery? Abbott (NYSE: ABT) reported its Q3 results last week, with revenues and earnings beating the street estimates. ABT stock is trading at 4.0x sales compared to the last five-year average of 5.4x, and we believe investors will likely be better off picking ABT for robust gains in the long run. | Abbott (NYSE: ABT) reported its Q3 results last week, with revenues and earnings beating the street estimates. ABT stock is trading at 4.0x sales compared to the last five-year average of 5.4x, and we believe investors will likely be better off picking ABT for robust gains in the long run. ABT stock has seen a decline of 15% from levels of $110 in early January 2021 to around $94 now, vs. an increase of about 10% for the S&P 500 over this roughly 3-year period. | Abbott (NYSE: ABT) reported its Q3 results last week, with revenues and earnings beating the street estimates. Total [2] ABT Return -3% -15% 144% S&P 500 Return -2% 9% 87% Trefis Reinforced Value Portfolio -5% 18% 504% [1] Month-to-date and year-to-date as of 10/26/2023 [2] Cumulative total returns since the end of 2016 Invest with Trefis Market-Beating Portfolios See all Trefis Price Estimates The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. ABT stock is trading at 4.0x sales compared to the last five-year average of 5.4x, and we believe investors will likely be better off picking ABT for robust gains in the long run. | In comparison, returns for the S&P 500 have been 27% in 2021, -19% in 2022, and 9% in 2023 (YTD) – indicating that ABT underperformed the S&P in 2022 and 2023. Total [2] ABT Return -3% -15% 144% S&P 500 Return -2% 9% 87% Trefis Reinforced Value Portfolio -5% 18% 504% [1] Month-to-date and year-to-date as of 10/26/2023 [2] Cumulative total returns since the end of 2016 Invest with Trefis Market-Beating Portfolios See all Trefis Price Estimates The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Abbott (NYSE: ABT) reported its Q3 results last week, with revenues and earnings beating the street estimates. |
30634.0 | 2023-10-30 00:00:00 UTC | Avantor (AVTR) Q3 Earnings In-Line With Estimates, Revenues Top | ABT | https://www.nasdaq.com/articles/avantor-avtr-q3-earnings-in-line-with-estimates-revenues-top | nan | nan | Avantor, Inc. AVTR reported third-quarter 2023 adjusted earnings per share (EPS) of 25 cents, down 26.5% year over year. The bottom line was in line with the Zacks Consensus Estimate.
GAAP loss per share for the quarter was 16 cents, down 36% year over year.
Revenue Details
Revenues grossed $1.72 billion in the reported quarter, down 7.3% year over year. However, the metric topped the Zacks Consensus Estimate by 1.2%.
Avantor's foreign currency translation reflects a 2.3% favorable impact in the reported quarter, resulting in organic sales decline of 9.6% and core organic sales (excluding COVID-19 headwinds) decline of 7.9% during the reported period.
Segmental Analysis
Avantor reports financial results in three geographic segments based on customer location — the Americas, Europe and AMEA (Asia, Middle-East and Africa).
The Americas segment’s net sales were $1.02 billion, reflecting a reported decline of 9.3% year over year. Core organic sales fell 7.9% in the reported quarter, reflecting continued pressure in the Biopharma and Advanced Technologies and Applied Materials end markets. This compares to our projection of third-quarter segmental revenues of $1 billion.
Europe’s net sales were $579.8 million, reflecting a reported decrease of 2.6%, whereas core organic sales decreased 8.6% year over year. Per management, the decline in core organic sales was due to weakness in the Biopharma and Healthcare end markets, with softer demand for lab consumables and single-use solutions driven by ongoing destocking. This compares to our projection of third-quarter segmental revenues of $579.8 million, in line with the company-reported figures.
AMEA arm’s net sales were $121.2 million, indicating a reported fall of 12.3% year over year. The core organic sales decreased 5.4% year over year due to declines in lab consumables and single-use solutions and formulated solutions for Avantor’s semiconductor customers. This compares to our projection of third-quarter segmental revenues of $117.5 million.
Avantor, Inc. Price, Consensus and EPS Surprise
Avantor, Inc. price-consensus-eps-surprise-chart | Avantor, Inc. Quote
Margin Analysis
In the quarter under review, Avantor’s gross profit declined 11.1% to $578.6 million. The gross margin contracted 141 basis points (bps) to 33.6%.
We had projected 31.9% of gross margin for the third quarter.
Selling, general and administrative expenses declined 1.7% to $368.4 million year over year.
Operating profit totaled $210.2 million, down 23.8% from the prior-year quarter’s level. The operating margin in the quarter also contracted 264 bps to 12.2%.
Financial Position
Avantor exited third-quarter 2023 with cash and cash equivalents of $236.9 million compared with $236.4 million at the end of the second quarter. Total debt at the end of third-quarter 2023 was $5.63 billion compared with $5.88 billion at the second-quarter end.
Cumulative net cash flow from operating activities at the end of third-quarter 2023 was $618.4 million compared with $638 million a year ago.
Guidance
Avantor has revised its outlook for 2023.
The company now expects organic revenue declines of 8.5-7.5% and core organic revenue declines of 6-5%. This compares with prior organic and core organic revenue outlooks of declines of 9-7% and 6.5-4.5%, respectively.
Avantor expects its adjusted EPS to now lie within $1.02-$1.06 for the full year, indicating a decline from the earlier projection of $1.04-$1.12. The Zacks Consensus Estimate is pegged at $1.06, which matches the upper limit of the company’s outlook.
Our Take
Avantor exited the third quarter of 2023 with dismal top-line and bottom-line performances, which were disappointing. The decline in segmental revenues was also discouraging.
Per management, inventory destocking and cautious customer spending continued to impact demand in Avantor’s Biopharma, Healthcare and Advanced Technology and Applied Materials end markets. The continued conservative approach to customer spending in the research environment also negatively impacted activity levels at research labs and constrained capital purchases. This put pressure on both consumables and equipment and instrumentation sales during the reported quarter. These raise our apprehension about the stock. The contraction of both margins also does not bode well.
On a positive note, Avantor’s in-line adjusted EPS and better-than-expected revenues were impressive. The continued strong growth in sales to its higher education customers and the biomaterials platform was encouraging.
On the third-quarterearnings call management confirmed that Avantor’s focus on cell and gene therapy has been yielding double-digit growth in several critical product lines targeting these workflows. Management also confirmed that Avantor continued to add innovative proprietary products to the portfolio with its Avantor magnetic mixing system for single-use mixing needs and J.T. Baker MCA tips for the Tecan Fluent Handling platform. These look promising for the stock.
Zacks Rank and Stocks to Consider
Avantor currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Boston Scientific reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 4.2%. Revenues of $3.53 billion surpassed the Zacks Consensus Estimate by 1.8%. It currently carries a Zacks Rank #2.
Boston Scientific has a long-term estimated growth rate of 12.8%. BSX’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 4.3%.
West Pharmaceutical reported third-quarter 2023 adjusted EPS of $2.16, beating the Zacks Consensus Estimate by 16.1%. Revenues of $747.4 million surpassed the Zacks Consensus Estimate by 0.1%. It currently carries a Zacks Rank #2.
West Pharmaceutical has a long-term estimated growth rate of 5.9%. WST’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 17.6%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Avantor, Inc. (AVTR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Avantor, Inc. (AVTR) : Free Stock Analysis Report To read this article on Zacks.com click here. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Avantor, Inc. (AVTR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Avantor, Inc. (AVTR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30635.0 | 2023-10-27 00:00:00 UTC | Integer Holdings (ITGR) Q3 Earnings Top Estimates, FY23 View Up | ABT | https://www.nasdaq.com/articles/integer-holdings-itgr-q3-earnings-top-estimates-fy23-view-up | nan | nan | Integer Holdings Corporation ITGR delivered adjusted earnings per share (EPS) of $1.27 in the third quarter of 2023, which improved 33.7% year over year. The figure topped the Zacks Consensus Estimate by 20.9%.
The adjustments include expenses related to the amortization of intangible assets and restructuring and restructuring-related charges, among others.
GAAP EPS for the quarter was 81 cents, reflecting an improvement of 68.8% year over year.
Revenues in Detail
Integer Holdings registered revenues of $404.7 million in the third quarter, up 18.1% year over year. The figure surpassed the Zacks Consensus Estimate by 8.7%.
Organically, revenues increased 17.8%.
Robust Medical sales drove the company’s top line in the reported period.
Segmental Analysis
Integer Holdings operates through two segments — Medical Sales and Non-Medical Sales.
Medical Sales reported revenues of $395.9 million, up 19.6% year over year on a reported and 19.3% on an organic basis. This figure compares to our Medical Sales third-quarter projection of $358.5 million.
Medical Sales has three product lines — Advanced Surgical, Orthopedics & Portable Medical (AS&O); Cardio & Vascular; and Cardiac Rhythm Management (CRM) & Neuromodulation.
Integer Holdings’ AS&O revenues amounted to $22.7 million, down 13.3% year over year both on a reported and organic basis. Per management, this resulted from the execution of the planned multi-year Portable Medical exit announced in 2022 and the low double-digit decline of Advanced Surgical and Orthopedics. This compares to our third-quarter projection of $29.7 million for AS&O revenues.
Revenues at the Cardio & Vascular business totaled $214 million, up 22.9% from the prior-year quarter on a reported basis and up 22.2% organically. The solid year-over-year performance was driven by continued strong demand across all markets, growth in key products such as guidewires, new product ramps in electrophysiology and structural heart, and supply-chain improvements. This compares to our third-quarter projection of $185.8 million.
Revenues at the Cardiac Rhythm Management & Neuromodulation business were $159.2 million, up 21.9% year over year both on a reported and organic basis, with double-digit growth in both CRM and Neuromodulation. The business was driven by strong demand, including double-digit growth from emerging customers with pre-market approval products and supply-chain improvements. This compares to our third-quarter projection of $143 million for the product line.
Revenues in the Non-Medical segment totaled $8.8 million, down 25.3% year over year both on a reported and organic basis. This was due to Electrochem sales returning to a normalized run rate after previously higher sales from the supply-chain recovery. This figure compares to our segmental projection of $13.6 million for the third quarter.
Integer Holdings Corporation Price, Consensus and EPS Surprise
Integer Holdings Corporation price-consensus-eps-surprise-chart | Integer Holdings Corporation Quote
Margin Analysis
Integer Holdings generated a gross profit of $105.6 million in the third quarter, up 21.7% year over year. The gross margin in the reported quarter expanded 78 basis points (bps) to 26.1%.
We had projected 25.8% of gross margin for the third quarter.
Selling, general and administrative expenses were $42.1 million, up 10.2% year over year. Research, development and engineering costs were $14.5 million in the quarter, down 9.8% year over year. Adjusted operating expenses of $56.6 million increased 4.3% year over year.
Adjusted operating profit totaled $48.9 million, reflecting a 50.9% uptick from the prior-year quarter. Adjusted operating margin in the third quarter expanded 263 bps to 12.1%.
Financial Position
Integer Holdings exited the third quarter of 2023 with cash and cash equivalents of $32.1 million compared with $38.6 million at the end of the second quarter. Total debt (including the current portion) at the end of third-quarter 2023 was $941.4 million compared with $985.4 million at the second-quarter end.
Cumulative net cash flow from operating activities at the end of third-quarter 2023 was $124.6 million compared with $64.8 million a year ago.
2023 Guidance
Integer Holdings has upped its financial outlook for 2023 on the back of continued strong customer demand across its product lines.
For 2023, the company now expects revenues in the range of $1,575 million-$1,595 million (suggesting an improvement of 14-16% from the 2022 reported figure), up from the earlier projection of $1,530 million-$1,550 million (suggesting an improvement of 11-13% from the 2022 reported figure). The Zacks Consensus Estimate is pegged at $1.54 billion.
The company now expects full-year adjusted EPS in the band of $4.47-$4.67 (suggesting a rise of 15-20% from the 2022 reported figure), up from the earlier projection of $4.23-$4.43 (suggesting a rise of 9-14% from the 2022 reported figure). The Zacks Consensus Estimate is pegged at $4.33.
Our Take
Integer Holdings exited the third quarter of 2023 with better-than-expected results. The strong year-over-year top-line and bottom-line performances were impressive. Robust performances by the Medical segment and strength in the majority of the product lines of the Medical segment were encouraging. The expansion of both margins bodes well for the stock.
Integer Holdings’ recent acquisition of certain assets of InNeuroCo, Inc. to strengthen neurovascular catheter capabilities (October 2023) also looks promising for the stock.
However, the decline in Non-Medical revenues was discouraging. Integer Holdings continuing to navigate a challenging inflationary and supply-chain environment raises our apprehension.
Zacks Rank and Key Picks
Integer Holdings currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Boston Scientific reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 4.2%. Revenues of $3.53 billion surpassed the Zacks Consensus Estimate by 1.8%. It currently carries a Zacks Rank #2.
Boston Scientific has a long-term estimated growth rate of 12.8%. BSX’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 4.3%.
West Pharmaceutical reported third-quarter 2023 adjusted EPS of $2.16, beating the Zacks Consensus Estimate by 16.1%. Revenues of $747.4 million surpassed the Zacks Consensus Estimate by 0.1%. It currently carries a Zacks Rank #2.
West Pharmaceutical has a long-term estimated growth rate of 5.9%. WST’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 17.6%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report
Integer Holdings Corporation (ITGR) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Integer Holdings Corporation (ITGR) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30636.0 | 2023-10-27 00:00:00 UTC | Merit Medical (MMSI) Q3 Earnings Top Estimates, FY23 View Revised | ABT | https://www.nasdaq.com/articles/merit-medical-mmsi-q3-earnings-top-estimates-fy23-view-revised | nan | nan | Merit Medical Systems, Inc. MMSI delivered adjusted earnings per share (EPS) of 75 cents in the third quarter of 2023, up by 17.2% year over year. The figure also surpassed the Zacks Consensus Estimate by 15.4%.
The adjustments include expenses related to the amortization of intangibles, and corporate transformation and restructuring, among others.
GAAP EPS for the quarter was 44 cents, up by 62.9% year over year.
Revenues in Detail
Merit Medical registered revenues of $315.2 million in the third quarter, up 9.8% year over year. The figure surpassed the Zacks Consensus Estimate by 2.9%.
Per management, the overall top line was driven by 14% growth in U.S. sales and 4% growth in international sales. Strong performance by both segments and the Cardiovascular segment’s product categories also contributed to the top line.
Total revenues at constant exchange rate (CER) inched up 9.7% year over year, whereas CER, organic revenues increased 7.1% year over year.
Segmental Details
Merit Medical operates through two segments — Cardiovascular and Endoscopy.
The Cardiovascular unit reported third-quarter revenues of $306.1 million, up 9.7% both on a reported basis and at CER year over year. This figure compares to our segmental projection of $296.9 million for the third quarter.
The Cardiovascular segment includes the following product categories: Peripheral Intervention (PI), Cardiac Intervention (CI), Custom Procedural Solutions (CPS) and original equipment manufacturer (OEM).
PI product line revenues were $128.4 million, up 16% on a reported basis and 15.9% at CER year over year. This compares to our projection of $118.8 million.
CI revenues of $89.1 million rose 2.6% on a reported basis and 2.8% at CER year over year. This compares to our projection of $91.6 million.
CPS revenues improved 6.4% on a reported basis and 6.3% at CER year over year to $48.6 million. This compares to our projection of $52.2 million.
OEM revenues climbed 11.9% on a reported basis and 11.3% at CER year over year to $39.9 million. This compares to our projection of $34.3 million.
Endoscopy devices’ revenues totaled $9.1 million, up 11.2% year over year both on a reported basis and at CER. This figure compares to our segmental projection of $9 million for the third quarter.
Merit Medical Systems, Inc. Price, Consensus and EPS Surprise
Merit Medical Systems, Inc. price-consensus-eps-surprise-chart | Merit Medical Systems, Inc. Quote
Margins
In the quarter under review, Merit Medical’s gross profit rose 10.6% to $142.2 million. The gross margin expanded 34 basis points (bps) to 45.1%.
We had projected 46.7% of gross margin for the third quarter.
Selling, general & administrative expenses declined 3.3% to $86.9 million. Research and development expenses rose 2.2% year over year to $19.6 million. Adjusted operating expenses of $106.5 million decreased 2.3% year over year.
Adjusted operating profit totaled $35.7 million, reflecting an 82.4% jump from the prior-year quarter. The adjusted operating margin in the third quarter expanded 451 bps to 11.3%.
Financial Position
Merit Medical exited third-quarter 2023 with cash and cash equivalents of $58.7 million compared with $72.1 million at the second-quarter end. Total debt (including the current portion) at the end of third-quarter 2023 was $286.1 million compared with $338.9 million at the end of the second quarter.
Cumulative net cash flow provided by operating activities at the end of third-quarter 2023 was $82.9 million compared with $86.3 million a year ago.
2023 Guidance
Merit Medical has revised its 2023 outlook.
Net revenues for 2023 are now projected between $1.242 billion and $1.251 billion (reflecting an increase of approximately 8-9% over the comparable reported figures of 2022), up from the prior guidance of $1.230 billion-$1.244 billion (reflecting an increase of approximately 7-8%). The Zacks Consensus Estimate stands at $1.24 billion.
Net revenues from the Cardiovascular segment are now expected to be in the range of $1.205 - $1.214, representing an increase of approximately 8-9% over the comparable reported figures of 2022. This is up from the prior outlook of $1.193 billion-$1.207 billion, representing an increase of approximately 7-8% over the comparable reported figures of 2022.
The Endoscopy segment’s net revenues are now projected to be between $36.9 million and $37.0 million, representing an increase of approximately 13% over the comparable reported figures of 2022. This is narrower than the prior outlook of $36.8 million-$37 million, representing an increase of approximately 12-13% over the comparable reported figures of 2022.
Adjusted EPS for 2023 is now projected to be in the range of $2.93-$2.99, up from the prior outlook of $2.81-$2.92. The Zacks Consensus Estimate is pegged at $2.88.
Our Take
Merit Medical exited the third quarter of 2023 with better-than-expected results. The year-over-year uptick in the top and bottom lines was impressive. The company saw revenue growth in both its segments and across all the product categories within its Cardiovascular unit. Robust performances in the United States and outside were impressive. Strong execution and improving customer demand trends pushed up the overall top line, which was encouraging. The expansion of both margins bodes well for the stock.
In August, Merit Medical announced the completion of enrolment in its WRAPSODY Arteriovenous Access Efficacy pivotal study. In September, the company announced the U.S. commercial release of its Aspira Bottle, the latest addition to its drainage portfolio. These also look promising for the stock.
However, management’s expectations of CPS sales to decline in the fourth quarter on a year-over-year basis as demand trends for these kit product lines normalize do not bode well. The current challenging global macro environment also raises our apprehension.
Zacks Rank and Key Picks
Merit Medical currently has a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST.
Abbott, carrying a Zacks Rank of 2 (Buy), reported third-quarter 2023 adjusted EPS of $1.14, beating the Zacks Consensus Estimate by 3.6%. Revenues of $10.14 billion outpaced the consensus mark by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%.
Boston Scientific reported third-quarter 2023 adjusted EPS of 50 cents, beating the Zacks Consensus Estimate by 4.2%. Revenues of $3.53 billion surpassed the Zacks Consensus Estimate by 1.8%. It currently carries a Zacks Rank #2.
Boston Scientific has a long-term estimated growth rate of 12.8%. BSX’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 4.3%.
West Pharmaceutical reported third-quarter 2023 adjusted EPS of $2.16, beating the Zacks Consensus Estimate by 16.1%. Revenues of $747.4 million surpassed the Zacks Consensus Estimate by 0.1%. It currently carries a Zacks Rank #2.
West Pharmaceutical has a long-term estimated growth rate of 5.9%. WST’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 17.6%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Abbott Laboratories (ABT) : Free Stock Analysis Report
Boston Scientific Corporation (BSX) : Free Stock Analysis Report
Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report
West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report To read this article on Zacks.com click here. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report To read this article on Zacks.com click here. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Boston Scientific Corporation BSX and West Pharmaceutical Services, Inc. WST. ABT’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 6.8%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Merit Medical Systems, Inc. (MMSI) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30637.0 | 2023-10-27 00:00:00 UTC | Peter Lynch Detailed Fundamental Analysis - ABT | ABT | https://www.nasdaq.com/articles/peter-lynch-detailed-fundamental-analysis-abt-6 | nan | nan | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating using this strategy is 87% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ABBOTT LABORATORIES
ABT Guru Analysis
ABT Fundamental Analysis
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About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
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About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. | Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. |
30638.0 | 2023-10-27 00:00:00 UTC | DexCom (DXCM) Beats on Q3 Earnings, Raises Sales Outlook | ABT | https://www.nasdaq.com/articles/dexcom-dxcm-beats-on-q3-earnings-raises-sales-outlook | nan | nan | DexCom, Inc. DXCM reported third-quarter 2023 adjusted earnings per share (EPS) of 50 cents, which beat the Zacks Consensus Estimate of 22 cents by 47.1%. The company reported earnings of 28 cents per share in the prior-year quarter.
DXCM registered GAAP net income per share of 29 cents, up from the year-ago quarter’s figure of 24 cents.
Shares of DexCom rose 17% in after-hours trading on Oct 26, following better-than-expected quarterly results. However, the stock has lost 28.4% year to date compared with the industry’s 15.5% decline. The broader S&P 500 Index has moved up 10% in the same period.
Image Source: Zacks Investment Research
Revenue Details
Total revenues grew 27% (26% on an organic basis) to $975 million on a year-over-year basis and beat the Zacks Consensus Estimate by 4%. Strong revenue growth was driven by rising volumes on the back of increasing global awareness of the benefits of real-time Continuous Glucose Monitoring and strong customer additions.
Segmental Details
Sensor and other revenues(90% of total revenues) increased 31% on a year-over-year basis to $873.8 million. Hardware revenues (10%) decreased 2% year over year to $101.2 million.
Geographical Details
U.S. revenues (73% of total revenues) increased 24% on a year-over-year basis to $713.6 million. International revenues (27%) improved 33% (30% on an organic basis) year over year to $261.4 million.
Margin Analysis
Gross profit totaled $623.3 million, up 26.1% from the prior-year quarter’s level. DexCom reported a gross margin (as a percentage of revenues) of 62.7%, which contracted approximately 30 basis points year over year.
Research and development expenses amounted to $131.4 million, up 19.1% year over year. Selling, general and administrative expenses totaled $284.7 million, up 21.4% year over year.
The company reported total operating expenses of $417.8 million, up 20.5% from the prior-year period’s recorded number. Operating margin (as a percentage of revenues) was 21.1%, up 190 bps year over year.
Financial Position
DXCM exited the third quarter with $3.24 billion in cash, cash equivalents and marketable securities compared with $3.64 billion in the preceding quarter.
Total assets amounted to $6.6 billion compared with $6.82 billion on a sequential basis.
2023 Guidance
DexCom raised its guidance for 2023 revenues and also raised its adjusted gross and operating margin outlook. The company now expects revenues in the range of $3.575-$3.6 billion, implying 23-24% year-over-year growth. The Zacks Consensus Estimate for the same is pegged at $3.55 billion. Previously, DXCM expected revenues in the range of $3.5-$3.55 billion.
DXCM now expects an adjusted gross margin of approximately 64% versus 63% previously. Adjusted operating margin is projected to be approximately 19%, up from the previous guidance of 17%.
DXCM also announced a share repurchase program worth $500 million.
Wrapping Up
DexCom exited third-quarter 2023 on a strong note, wherein both earnings and revenues beat their respective estimates. Impressive contributions from the Sensor segment, and domestic and international revenue growth were the key catalysts. Moreover, the expansion of coverage for CGM systems during the quarter supported growth. This trend is likely to continue for the rest of 2023. The availability of new sensors like G6 & G7 in new international markets is also boosting revenue growth.
Additionally, the glucose monitoring market presents significant commercial opportunities for the company. DexCom’s prospects in alternative markets such as non-intensive diabetes management, hospital, gestational, pre-diabetes and obesity are likely to provide it with a competitive edge in the MedTech space.
Apart from making continued advancements in terms of its key strategic objectives, the company continued to have strong new patient additions in the quarter.
The expansion of gross and operating margins buoys optimism. However, cut-throat competition in the market for blood & glucose monitoring devices remains another concern.
DexCom, Inc. Price, Consensus and EPS Surprise
DexCom, Inc. price-consensus-eps-surprise-chart | DexCom, Inc. Quote
Zacks Rank and Stocks to Consider
Currently, DexCom carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW.
Abbott, carrying a Zacks Rank of 2 (Buy) at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
Elevance Health reported third-quarter 2023 adjusted EPS of $8.99, which beat the Zacks Consensus Estimate by 6.4%. Revenues of $42.5 billion were in line with the Zacks Consensus Estimate. The company currently carries a Zacks Rank #2.
ELV has a long-term estimated growth rate of 12.1%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 2.91%.
Edwards Lifesciences reported third-quarter 2023 adjusted EPS of 59 cents and revenues of $1.48 billion, both in line with their respective Zacks Consensus Estimate. It currently carries a Zacks Rank #2.
EW has a long-term estimated growth rate of 8%. Its earnings surpassed estimates in three of the trailing four quarters and missed once, delivering an average surprise of 1.62%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report DexCom, Inc. (DXCM) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30639.0 | 2023-10-26 00:00:00 UTC | Got $1,000? These 2 Stocks Could Be Bargain Buys for 2023 and Beyond | ABT | https://www.nasdaq.com/articles/got-%241000-these-2-stocks-could-be-bargain-buys-for-2023-and-beyond-1 | nan | nan | While equity markets this year have recovered some of ground lost from the plunge of 2022, plenty of companies are still struggling. Some of them, though, clearly have the tools to rebound eventually and deliver solid returns to patient investors. Two stocks in that category are AbbVie (NYSE: ABBV) and Tandem Diabetes Care (NASDAQ: TNDM). For those with $1,000 that they are ready to invest now, these stocks might be excellent choices.
1. AbbVie
There is plenty to like about AbbVie's business: It boasts a rich lineup of drugs treating conditions across multiple therapeutic areas, and a deep pipeline that should yield more innovative medicines. Then, of course, there's AbbVie's dividend. The drugmaker is practically a dream come true for income-focused investors. It has raised its payouts by 270% since 2013, when it became a stand-alone company after Abbott Laboratories spun it off.
AbbVie's dividend yield is also highly competitive -- 4.1% at the current share price -- and its cash payout ratio is 42%, a conservative number that gives management plenty of room to boost the dividend. Considering all these factors, not to mention AbbVie's status as a Dividend King, the company looks like an excellent pick for income seekers. However, it hasn't all been smooth sailing for AbbVie lately.
This year, the company lost patent exclusivity for Humira, an immunosuppressive drug used to treat an array of conditions. It has been AbbVie's most important product since 2013. In fact, other than COVID-19 vaccines, Humira has been the world's top-selling drug for years. But AbbVie's revenues have been declining, and that trend should continue next year.
However, every drugmaker faces patent cliffs at some point. The important thing is how they handle them.
In AbbVie's case, it has pinned its hopes on Skyrizi and Rinvoq, two newer immunology therapies whose indications substantially overlap with Humira's -- and which are in some cases more effective than the older drug. AbbVie's lineup features other key products, too, from its Botox franchise to Qulipta, a migraine treatment. And its pipeline features dozens of promising programs.
No pharmaceutical company has a 100% success rate when it comes to getting approval for the treatments it develops. Still, AbbVie's long list of programs means it will inevitably launch new products while earning label expansions for existing ones. The arrival of biosimilars for Humira is no reason to shun AbbVie stock, but many investors have responded as if it was.
That's why AbbVie is down 9.9% this year, and at these levels, the company looks like a good pick, especially for investors on the market for blue chip dividend stocks. For just over $1,000, investors can buy about seven shares of AbbVie at its current price.
2. Tandem Diabetes Care
The global prevalence of diabetes has been worsening for decades, so there is a high and growing demand for products that can help patients manage the chronic illness. That's what Tandem Diabetes Care provides. The company develops innovative insulin pumps. Tandem's t:slim X2 has been its most significant growth driver for a while, but it recently earned clearance in the U.S. for the Mobi Insulin Pump, a smaller device.
Data source: YCharts.
Tandem Diabetes has faced economic-related challenges lately. Revenue growth has slowed as people have been more reticent to shell out the money to buy insulin pumps, which aren't the cheapest solution for diabetes patients' needs. However, pumps have certain advantages over injections: They are much less painful and more accurate.
That's why there is a good chance that pumps will continue to snatch market share away from daily injections, and there is still plenty of room for Tandem Diabetes Care to increase its sales. Tandem Diabetes Care does business in about 25 countries outside the U.S. It estimates that insulin pump penetration is generally between 10% and 20% in these countries. The company ended the second quarter with an installed base of 437,000, a 16% year-over-year increase.
In addition to capturing new customers, the company's pump renewals will increase as its installed base grows. (The renewal cycle is five years.) And while the company remains unprofitable, Tandem's newest device, the Mobi system, is 10% to 15% cheaper to manufacture than the previous model. That should help decrease the company's costs and bring it closer to profitability.
Overall, given the vast market opportunity, Tandem Diabetes Care's innovative devices, and the company's efforts to bring down costs, its stock could eventually rebound from its terrible performance this year. Buying shares while they're down might be an excellent idea, and with about $1,000, investors could pick up 54 of them right now.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Revenue growth has slowed as people have been more reticent to shell out the money to buy insulin pumps, which aren't the cheapest solution for diabetes patients' needs. That's why there is a good chance that pumps will continue to snatch market share away from daily injections, and there is still plenty of room for Tandem Diabetes Care to increase its sales. Overall, given the vast market opportunity, Tandem Diabetes Care's innovative devices, and the company's efforts to bring down costs, its stock could eventually rebound from its terrible performance this year. | The company develops innovative insulin pumps. In addition to capturing new customers, the company's pump renewals will increase as its installed base grows. Overall, given the vast market opportunity, Tandem Diabetes Care's innovative devices, and the company's efforts to bring down costs, its stock could eventually rebound from its terrible performance this year. | Two stocks in that category are AbbVie (NYSE: ABBV) and Tandem Diabetes Care (NASDAQ: TNDM). That's why AbbVie is down 9.9% this year, and at these levels, the company looks like a good pick, especially for investors on the market for blue chip dividend stocks. Overall, given the vast market opportunity, Tandem Diabetes Care's innovative devices, and the company's efforts to bring down costs, its stock could eventually rebound from its terrible performance this year. | The company develops innovative insulin pumps. That's why there is a good chance that pumps will continue to snatch market share away from daily injections, and there is still plenty of room for Tandem Diabetes Care to increase its sales. Overall, given the vast market opportunity, Tandem Diabetes Care's innovative devices, and the company's efforts to bring down costs, its stock could eventually rebound from its terrible performance this year. |
30640.0 | 2023-10-26 00:00:00 UTC | Dexcom lifts 2023 revenue view on strong demand for diabetes devices | ABT | https://www.nasdaq.com/articles/dexcom-lifts-2023-revenue-view-on-strong-demand-for-diabetes-devices | nan | nan | Adds comment for conference call in paragraph 3-4
Oct 26 (Reuters) - Medical device maker Dexcom DXCM.O on Thursday raised its annual revenue forecast and beat quarterly estimates on strong demand for its continuous glucose monitoring (CGM) devices, sending its shares more than 14% higher in extended trading.
Makers of medical products such as bariatric surgery devices and CGM systemshave been trying to ease investor concerns over a potential hit to demand from the rising popularity of new GLP-1 diabetes drugs such as Novo Nordisk's Ozempic and Eli Lilly's Mounjaro.
Dexcom joined larger peer Abbott ABT.Nin saying the use of GLP-1 drugs among diabetes patients could end up increasing demand for CGMs, which track blood sugar levels throughout the day and can transmit glucose readings as frequently as five minutes.
"Physicians are also pursuing CGM as they add GLP-1 as diabetes therapy," said Dexcom CEO Kevin Sayer, adding that the device is given to patients as a scoreboard to let them know how they're doing.
Dexcom'squarterly sales rose 27% to $975 million, surpassing analysts' estimates of $939.24 million, according to LSEG data.
Abbott had also posted strong sales of $1.4 billion for its CGM system FreeStyle Libre in diabetes care.
Dexcom raised its annual revenue forecast to between $3.58 billion and $3.6 billion, compared with its previous range of $3.5 billion to $3.55 billion. Analysts expect annual sales of $3.55 billion.
Excluding items, the company posted a profit of 50 cents for the quarter ended Sept. 30, compared with estimates of 35 cents.
Shares of the California-based company rose to $93 after the bell.
(Reporting by Khushi Mandowara in Bengaluru; Editing by Devika Syamnath)
((Khushi.Mandowara@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Dexcom joined larger peer Abbott ABT.Nin saying the use of GLP-1 drugs among diabetes patients could end up increasing demand for CGMs, which track blood sugar levels throughout the day and can transmit glucose readings as frequently as five minutes. Makers of medical products such as bariatric surgery devices and CGM systemshave been trying to ease investor concerns over a potential hit to demand from the rising popularity of new GLP-1 diabetes drugs such as Novo Nordisk's Ozempic and Eli Lilly's Mounjaro. "Physicians are also pursuing CGM as they add GLP-1 as diabetes therapy," said Dexcom CEO Kevin Sayer, adding that the device is given to patients as a scoreboard to let them know how they're doing. | Dexcom joined larger peer Abbott ABT.Nin saying the use of GLP-1 drugs among diabetes patients could end up increasing demand for CGMs, which track blood sugar levels throughout the day and can transmit glucose readings as frequently as five minutes. Adds comment for conference call in paragraph 3-4 Oct 26 (Reuters) - Medical device maker Dexcom DXCM.O on Thursday raised its annual revenue forecast and beat quarterly estimates on strong demand for its continuous glucose monitoring (CGM) devices, sending its shares more than 14% higher in extended trading. Dexcom raised its annual revenue forecast to between $3.58 billion and $3.6 billion, compared with its previous range of $3.5 billion to $3.55 billion. | Dexcom joined larger peer Abbott ABT.Nin saying the use of GLP-1 drugs among diabetes patients could end up increasing demand for CGMs, which track blood sugar levels throughout the day and can transmit glucose readings as frequently as five minutes. Adds comment for conference call in paragraph 3-4 Oct 26 (Reuters) - Medical device maker Dexcom DXCM.O on Thursday raised its annual revenue forecast and beat quarterly estimates on strong demand for its continuous glucose monitoring (CGM) devices, sending its shares more than 14% higher in extended trading. Makers of medical products such as bariatric surgery devices and CGM systemshave been trying to ease investor concerns over a potential hit to demand from the rising popularity of new GLP-1 diabetes drugs such as Novo Nordisk's Ozempic and Eli Lilly's Mounjaro. | Dexcom joined larger peer Abbott ABT.Nin saying the use of GLP-1 drugs among diabetes patients could end up increasing demand for CGMs, which track blood sugar levels throughout the day and can transmit glucose readings as frequently as five minutes. Adds comment for conference call in paragraph 3-4 Oct 26 (Reuters) - Medical device maker Dexcom DXCM.O on Thursday raised its annual revenue forecast and beat quarterly estimates on strong demand for its continuous glucose monitoring (CGM) devices, sending its shares more than 14% higher in extended trading. Dexcom raised its annual revenue forecast to between $3.58 billion and $3.6 billion, compared with its previous range of $3.5 billion to $3.55 billion. |
30641.0 | 2023-10-26 00:00:00 UTC | Boston Scientific raises profit forecast on strength in heart devices unit | ABT | https://www.nasdaq.com/articles/boston-scientific-raises-profit-forecast-on-strength-in-heart-devices-unit | nan | nan | Adds details in paragraph 4, analyst comment in paragraph 6
Oct 26 (Reuters) - Medical equipment maker Boston Scientific BSX.N raised its annual profit forecast and beat estimates for third-quarter profit on Thursday as a post-pandemic rebound in elective surgeries boosts demand for its heart devices.
A steady recovery in surgical procedures that were deferred during the pandemic, especially by older adults, as well as easing staffing shortages at hospitals have increased demand for medical devices.
Rival Abbott Laboratories ABT.N also topped quarterly profit estimates earlier this month on upbeat sales of its glucose monitoring and heart devices.
Boston Scientific's cardiovascular unit generated revenue of $2.19 billion during the quarter ended Sept. 30, a nearly 12% jump from a year earlier, beating estimates of $2.13 billion for the unit, according to LSEG data.
The Massachusetts-based company generates most of its revenue from sales of its heart devices such as pacemakers and stents.
Analysts have also pointed to increasing demand for the company's heart product to prevent stroke — Watchman Left Atrial Appendage Closure Device — which is expected to become a blockbuster offering in the next few years.
The high-margin Watchman devices are Boston Scientific's most important growth driver currently, Jefferies analyst Matthew Taylor said in a note ahead of the company's results.
The company now expects full-year adjusted earnings per share of $1.99 to $2.02, compared with its prior forecast of $1.96 to $2.00.
On an adjusted basis, Boston Scientific earned 50 cents per share in the quarter, compared with analysts' average estimate of 48 cents per share, according to LSEG data.
(Reporting by Christy Santhosh and Mariam Sunny in Bengaluru Editing by Vinay Dwivedi)
((Christy.Santhosh@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Rival Abbott Laboratories ABT.N also topped quarterly profit estimates earlier this month on upbeat sales of its glucose monitoring and heart devices. A steady recovery in surgical procedures that were deferred during the pandemic, especially by older adults, as well as easing staffing shortages at hospitals have increased demand for medical devices. Analysts have also pointed to increasing demand for the company's heart product to prevent stroke — Watchman Left Atrial Appendage Closure Device — which is expected to become a blockbuster offering in the next few years. | Rival Abbott Laboratories ABT.N also topped quarterly profit estimates earlier this month on upbeat sales of its glucose monitoring and heart devices. Adds details in paragraph 4, analyst comment in paragraph 6 Oct 26 (Reuters) - Medical equipment maker Boston Scientific BSX.N raised its annual profit forecast and beat estimates for third-quarter profit on Thursday as a post-pandemic rebound in elective surgeries boosts demand for its heart devices. Boston Scientific's cardiovascular unit generated revenue of $2.19 billion during the quarter ended Sept. 30, a nearly 12% jump from a year earlier, beating estimates of $2.13 billion for the unit, according to LSEG data. | Rival Abbott Laboratories ABT.N also topped quarterly profit estimates earlier this month on upbeat sales of its glucose monitoring and heart devices. Adds details in paragraph 4, analyst comment in paragraph 6 Oct 26 (Reuters) - Medical equipment maker Boston Scientific BSX.N raised its annual profit forecast and beat estimates for third-quarter profit on Thursday as a post-pandemic rebound in elective surgeries boosts demand for its heart devices. Analysts have also pointed to increasing demand for the company's heart product to prevent stroke — Watchman Left Atrial Appendage Closure Device — which is expected to become a blockbuster offering in the next few years. | Rival Abbott Laboratories ABT.N also topped quarterly profit estimates earlier this month on upbeat sales of its glucose monitoring and heart devices. Adds details in paragraph 4, analyst comment in paragraph 6 Oct 26 (Reuters) - Medical equipment maker Boston Scientific BSX.N raised its annual profit forecast and beat estimates for third-quarter profit on Thursday as a post-pandemic rebound in elective surgeries boosts demand for its heart devices. The Massachusetts-based company generates most of its revenue from sales of its heart devices such as pacemakers and stents. |
30642.0 | 2023-10-26 00:00:00 UTC | CONMED (CNMD) Beats on Q3 Earnings, Ups '23 EPS View | ABT | https://www.nasdaq.com/articles/conmed-cnmd-beats-on-q3-earnings-ups-23-eps-view | nan | nan | CONMED Corporation CNMD delivered adjusted earnings per share (EPS) of 90 cents in third-quarter 2023, which beat the Zacks Consensus Estimate of 83 cents by 8.4%. The bottom line also improved 16.9% from the year-ago quarter’s level.
GAAP EPS for the quarter was 50 cents against a reported loss of $1.48 per share in the year-ago period.
The company’s shares have risen 3.4% year to date compared with the industry’s growth of 8.8%. The broader S&P 500 Index has gained 10% in the same time frame.
Image Source: Zacks Investment Research
Revenues in Detail
CONMED’s revenues totaled $304.6 million, up 10.7% year over year. The top line beat the Zacks Consensus Estimate by 3.9%. At constant exchange rate (CER), revenues increased 11.9%. Additional sales from the newly acquired businesses contributed approximately 40 basis points of growth.
CNMD’s third-quarter sales were driven by strong growth in the U.S. as well as international markets. The company’s two products, In2Bones and Biorez, were the key drivers during the reported quarter. However, its legacy orthopedic business was hurt by supply constraints.
Segmental Details
Revenues in the Orthopedic Surgery segment totaled $124.7 million, up 5.1% from the year-ago quarter’s level on a reported basis. At CER, revenues increased 6.4%.
The top line improved 1.3% on a reported basis on the domestic front. It also increased 7.5% (9.7% at CER) from the prior-year quarter’s level on the international front.
Revenues in the General Surgery segment amounted to $179.9 million, up 15% year over year on a reported basis and 16% at CER. Domestically, the figure increased 12.9% year over year. International sales improved 12.3% on a reported basis (15.1% at CER).
Sales by Geography
Sales in the United States totaled $170.5 million, up 9.5% year over year. International sales amounted to $134.1 million, up 12.3% year over year on a reported basis and 15.1% at CER.
Margins
CONMED’s gross profit improved 12.5% to $170.3 million. The gross margin improved 80 basis points to 55.9%.
Selling & administrative expenses increased 9.3% to $125.3 million. Research and development expenses rose 2.4% year over year to $12.5 million.
The company recorded an operating income of $30.3 million compared with $24.2 million in the prior-year quarter.
2023 Guidance
Based on strong third-quarter results, CONMED raised the lower-end of its previous guidance for 2023 earnings and revenues. The company now expects revenues between $1.24 billion and $1.26 billion for full-year 2023, implying growth of 18.1-20% over 2022.
Previously, it expected revenues between $1.23 billion and $1.26 billion. The Zacks Consensus Estimate for the same is currently pegged at $1.25 billion.
Adjusted EPS is now expected in the range of $3.45-$3.55, up from the previous projection of $3.40-$3.55. The Zacks Consensus Estimate for the same is currently pegged at $3.48. The current EPS guidance indicates an improvement of 30.2-34% year over year.
CNMD continues to expect foreign exchange to have an unfavorable impact on its top-line growthby 150-200 basis points in 2023. Currency rates are expected to negatively impact EPS by 20-25 cents.
CONMED Corporation Price, Consensus and EPS Surprise
CONMED Corporation price-consensus-eps-surprise-chart | CONMED Corporation Quote
Our Take
CONMED exited the third quarter on a strong note, wherein both earnings and revenues beat their respective consensus mark. However, the supply-chain disruption continues to pose a headwind for the company during the quarter. CNMD expects supply-chain issues to improve from first-quarter 2024.
Although the supply-chain issue lingers, the company’s gross margin continues to improve. CONMED expects to reach a gross margin of 60% by 2025.
Zacks Rank and Stocks to Consider
Currently, CNMD carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW.
Abbott, carrying a Zacks Rank of 2 (Buy) at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
Elevance Health reported third-quarter 2023 adjusted EPS of $8.99, which beat the Zacks Consensus Estimate by 6.4%. Revenues of $42.5 billion were in line with the Zacks Consensus Estimate. The company currently carries a Zacks Rank #2.
ELV has a long-term estimated growth rate of 12.1%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 2.91%.
Edwards Lifesciences reported third-quarter 2023 adjusted EPS of 59 cents and revenues of $1.48 billion, both in line with the Zacks Consensus Estimate. It currently carries a Zacks Rank #2.
EW has a long-term estimated growth rate of 8%. Its earnings surpassed estimates in three of the trailing four quarters and missed once, delivering an average surprise of 1.62%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CONMED Corporation (CNMD) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CONMED Corporation (CNMD) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CONMED Corporation (CNMD) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some better-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report CONMED Corporation (CNMD) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30643.0 | 2023-10-26 00:00:00 UTC | West Pharmaceutical (WST) Beats on Q3 Earnings, HVP Drives Sales | ABT | https://www.nasdaq.com/articles/west-pharmaceutical-wst-beats-on-q3-earnings-hvp-drives-sales | nan | nan | West Pharmaceutical Services, Inc. WST reported third-quarter 2023 adjusted earnings per share (EPS) of $2.16, up 6.4% year over year. The figure beat the Zacks Consensus Estimate by 16.1%.
The adjustments include expenses related to the amortization of acquisition-related intangible assets.
GAAP EPS for the quarter was $2.14, up 34.6% year over year.
The company’s shares have risen 52.1% year to date compared with the industry’s growth of 8.8%. The broader S&P 500 Index has increased 10% in the same time frame.
Image Source: Zacks Investment Research
Revenues in Detail
West Pharmaceutical registered net sales of $747.4 million in the third quarter, up 8.8% year over year. The figure beat the Zacks Consensus Estimate by 0.1%.
The company recorded organic net sales growth of 5.7% in the reported quarter.
Per management, the top-line growth was driven by Proprietary Products' high-value product (HVP) and strong Contract Manufacturing component sales. However, WST’s revenues reflect a slowdown in restocking trends by large Pharma and Generic customers.
Segmental Details
West Pharmaceutical operates under two segments — Proprietary Products and Contract-Manufactured Products.
Net sales in the Proprietary Products segment were $602.5 million, indicating year-over-year growth of 6.3% reportedly and 3.2% organically. HVP net sales accounted for more than 75% of the segment’s net sales, with a strong demand for FluroTec, Daikyo, Envision and HVP devices like self-injection and administration systems.
Generics and Pharma market units of the Proprietary Products segment reflected robust organic growth in the third quarter. However, declining sales related to COVID-19 vaccines led to a double-digit percentage-point decrease in organic net sales for the Biologics market unit. Excluding COVID-19-related sales, all market units had double-digit organic net sales growth.
Net sales at the Contract-Manufactured Products segment increased 20.8% year over year to $144.9 million. Currency translation was a tailwind, boosting sales growth by 340 basis points. The segment saw a 17.4% improvement in organic net sales.
Margins
In the quarter under review, West Pharmaceutical’s gross profit increased 7.6% to $288.3 million. The gross margin contracted nearly 40 basis points (bps) to 38.6%.
Selling, general and administrative expenses rose 34.2% to $89 million. Research and development expenses went up 20.6% year over year to $16.4 million.
Adjusted operating profit totaled $180.8 million, indicating a decline of 3% from the prior-year quarter’s level. The adjusted operating margin contracted 290 bps to 24.2%.
Financial Position
West Pharmaceutical exited third-quarter 2023 with cash and cash equivalents of $898.6 million compared with $796.3 million at the end of the second quarter. Total debt at the end of the reported quarter was $207.3 million compared with $207.8 million at the end of the previous quarter.
Cumulative net cash flow from operating activities was $537.4 million compared with $493.2 million in the year-ago period.
2023 Guidance
WST raised its 2023 outlook for earnings but lowered the same for revenues.
It currently projects adjusted EPS of $7.95-$8.00, up from the previously anticipated range of $7.65-$7.80. The Zacks Consensus Estimate for the same is pegged at $7.86. Higher expectation for EPS also reflects a favorable currency impact of 7 cents, 2 cents higher than the earlier estimate.
Net sales are projected between $2.95 billion and $2.96 billion, down from the previously guided range of $2.97-$2.995 billion. The Zacks Consensus Estimate for the same is pegged at $2.98 billion. The company expects currency translation to have a positive impact of $20 million on revenues. Lower revenue outlook reflects a lower COVID-19-related sales guidance and an $8- million reduction in sales resulting from the divestiture of a European facility.
The organic sales growth estimate was 2-3%, lower than the earlier anticipated range of 3-4%.
West Pharmaceutical Services, Inc. Price, Consensus and EPS Surprise
West Pharmaceutical Services, Inc. price-consensus-eps-surprise-chart | West Pharmaceutical Services, Inc. Quote
Our Take
West Pharmaceutical exited the third quarter of 2023 with better-than-expected results. The recovery in organic growth is encouraging. The company’s revenue outlook beat market estimates. However, contractions in the gross and operating margins do not bode well.
On a positive note, demand for West Pharmaceutical’s HVP products continued to be strong. Double-digit organic net sales growth in the Pharma and Generic market units is another quarterly highlight. CONMED expects the double-digit base, non-COVID-19-related organic sales growth to continue in the fourth quarter, driven by strong HVP component demand.
Zacks Rank and Other Stocks to Consider
Currently, West Pharmaceutical carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW.
Abbott, carrying a Zacks Rank of 2 at present, reported third-quarter 2023 adjusted EPS of $1.14, which beat the Zacks Consensus Estimate by 3.6%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Revenues of $10.14 billion outpaced the consensus mark by 3.6%.
Abbott has a long-term estimated growth rate of 5.1%. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%.
Elevance Health reported third-quarter 2023 adjusted EPS of $8.99, which beat the Zacks Consensus Estimate by 6.4%. Revenues of $42.5 billion were in line with the Zacks Consensus Estimate. The company currently carries a Zacks Rank #2.
ELV has a long-term estimated growth rate of 12.1%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 2.91%.
Edwards Lifesciences reported third-quarter 2023 adjusted EPS of 59 cents and revenues of $1.48 billion, both in line with their respective Zacks Consensus Estimate. It currently carries a Zacks Rank #2.
EW has a long-term estimated growth rate of 8%. Its earnings surpassed estimates in three of the trailing four quarters and missed once, delivering an average surprise of 1.62%.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. | Some other top-ranked stocks in the broader medical space that have announced quarterly results are Abbott Laboratories ABT, Elevance Health, Inc. ELV and Edwards Lifesciences EW. ABT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.76%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Edwards Lifesciences Corporation (EW) : Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30644.0 | 2023-10-25 00:00:00 UTC | 5 Stocks to Watch on Solid Revenues in Last Reported Quarter | ABT | https://www.nasdaq.com/articles/5-stocks-to-watch-on-solid-revenues-in-last-reported-quarter | nan | nan | The third-quarter 2023 earnings season is currently in full swing. Although we are at the initial stage of this reporting cycle, the overall earnings picture is better than expected so far. Besides earnings, a major metric to watch in any earnings season is revenues.
Economists and financial researchers closely watch revenues as the metric defines the demand for a company’s products. Earnings can be improved through strict cost control but strong sales imply growing demand for company’s products and services. This gives investors visibility on how a company is performing under competition.
Wall Street is currently suffering from several headwinds. The Fed Chairman’s warning of tougher monetary policies for a longer-than-expected period, the recent surge in the yield of the benchmark 10-Year Treasury Note, a spike in U.S. Dollar prices and geopolitical conflicts in the Middle-East are near-term concerns.
At this juncture, companies that will be able to do good business are expected to be rewarded in stock markets.
Stocks in Focus
We have narrowed our search to five U.S. corporate behemoths that have reported strong revenue growth beside earnings beat in their last reported quarter.
The chart below shows the price performance of our five picks in the past month.
Image Source: Zacks Investment Research
JPMorgan Chase & Co. JPM reported third-quarter 2023 net revenues of $39.87 billion, up 22% year over year. The top line also surpassed the Zacks Consensus Estimate of $39.14 billion. Net Interest income (NII) jumped 30% year over year to $22.73 billion. This was driven by higher rates and higher revolving balances in Card Services, partially offset by the reduction in deposit balances.
Supported by higher interest rates, the First Republic Bank deal, robust consumer and commercial banking businesses and solid loan balance JPM reported quarterly earnings per share of $4.33 handily outpacing the Zacks Consensus Estimate of $3.89.
JPM now projects NII to be roughly $88.5 billion, driven by higher rates and slower-than-expected deposit repricing across both consumers and wholesale. Earlier, the company had guided NII of $87 billion for this year.
JPMorgan Chase has an expected revenue and earnings growth rate of 10.6% and 2.8%, respectively, for the current quarter. The Zacks Consensus Estimate for current-quarter earnings has improved 2.3% over the last 30 days. JPM currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The Procter & Gamble Co.’s PG organic sales grew in fourth-quarter fiscal 2023, driven by robust pricing and a favorable mix, along with strength across segments. PG reported net sales of $20.553 million, up 5% year over year, surpassing the Zacks Consensus Estimate of $20,020 million.
On an organic basis (excluding special items), revenues improved 8%, backed by a 7% rise in pricing and a 2% gain from a positive product mix, offset by a 1% decline in volume. PG’s core earnings of $1.37 per share surpassed the Zacks Consensus Estimate of $1.32.
Management has provided an optimistic view for fiscal 2024. PG anticipates year-over-year all-in sales growth of 3-4% for fiscal 2024. Organic sales are likely to increase 4-5% in fiscal 2024. Procter & Gamble currently carries a Zacks Rank #2 (Buy).
Abbott Laboratories ABT reported second-quarter fiscal 2023 global revenues of $9.98 billion, outpacing the Zacks Consensus Estimate by 2.9%. On an organic basis (excluding special items), sales rose 11.5% year over year in the reported quarter.
ABT projects full-year 2023 organic sales growth, excluding COVID-19 testing-related sales, in the low double digits (from the earlier projection of at least high single digits) and COVID-19 testing-related sales of around $1.5 billion.
ABT reported quarterly adjusted earnings of $1.08 per share, which topped the Zacks Consensus Estimate by 3.8%. Abbott Laboratories currently carries a Zacks Rank #2.
UnitedHealth Group Inc. UNH reported third-quarter 2023 revenues of $92.4 billion, up 14.25 year over year. Revenues from UnitedHealthcare segment, rose 13% year over year to $69.9 billion on the back of a growing membership base. The reported figure outpaced the Zacks Consensus Estimate of $68.7 billion. Optum segment reported revenues of $56.7 billion, which climbed 22% year over year and beat the Zacks Consensus Estimate of $55.7 billion
UNH reported quarterly adjusted earnings per share of $6.56, which outpaced the Zacks Consensus Estimate by 3.6%. UNH expects revenues between $357 billion and $360 billion this year, the mid-point of which suggested 10.6% growth from the 2022 reported figure. UnitedHealth Group currently carries a Zacks Rank #3 (Hold).
Freeport-McMoRan Inc. FCX reported second-quarter fiscal 2023 revenues of $5.737 million, up 6% year over year, surpassing the Zacks Consensus Estimate of $5,647 million. FCX reported adjusted earnings per share came in at 35 cents, beating the Zacks Consensus Estimate of 28 cents.
For 2023, FCX anticipates consolidated sales volumes to be roughly 4 billion pounds of copper. FCX also expects gold sales volumes of 1.75 million ounces for 2023. It also expects sales of 79 million pounds of molybdenum for the year. Freeport-McMoRan currently carries a Zacks Rank #3.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
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JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report
Abbott Laboratories (ABT) : Free Stock Analysis Report
UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report
Freeport-McMoRan Inc. (FCX) : Free Stock Analysis Report
Procter & Gamble Company (The) (PG) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories ABT reported second-quarter fiscal 2023 global revenues of $9.98 billion, outpacing the Zacks Consensus Estimate by 2.9%. ABT projects full-year 2023 organic sales growth, excluding COVID-19 testing-related sales, in the low double digits (from the earlier projection of at least high single digits) and COVID-19 testing-related sales of around $1.5 billion. ABT reported quarterly adjusted earnings of $1.08 per share, which topped the Zacks Consensus Estimate by 3.8%. | Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report Freeport-McMoRan Inc. (FCX) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT reported second-quarter fiscal 2023 global revenues of $9.98 billion, outpacing the Zacks Consensus Estimate by 2.9%. ABT projects full-year 2023 organic sales growth, excluding COVID-19 testing-related sales, in the low double digits (from the earlier projection of at least high single digits) and COVID-19 testing-related sales of around $1.5 billion. | Click to get this free report JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report Freeport-McMoRan Inc. (FCX) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT reported second-quarter fiscal 2023 global revenues of $9.98 billion, outpacing the Zacks Consensus Estimate by 2.9%. ABT projects full-year 2023 organic sales growth, excluding COVID-19 testing-related sales, in the low double digits (from the earlier projection of at least high single digits) and COVID-19 testing-related sales of around $1.5 billion. | Abbott Laboratories ABT reported second-quarter fiscal 2023 global revenues of $9.98 billion, outpacing the Zacks Consensus Estimate by 2.9%. ABT projects full-year 2023 organic sales growth, excluding COVID-19 testing-related sales, in the low double digits (from the earlier projection of at least high single digits) and COVID-19 testing-related sales of around $1.5 billion. ABT reported quarterly adjusted earnings of $1.08 per share, which topped the Zacks Consensus Estimate by 3.8%. |
30645.0 | 2023-10-25 00:00:00 UTC | FDA Approves New Therapy For Rare Blood Cancers | ABT | https://www.nasdaq.com/articles/fda-approves-new-therapy-for-rare-blood-cancers | nan | nan | (RTTNews) - The U.S. Food and Drug Administration approved Servier Pharmaceuticals LLC's Tibsovo (ivosidenib) to treat rare form of blood cancers called relapsed or refractory or R/R Myelodysplastic Syndromes.
This is the first targeted therapy approved for this indication of R/R myelodysplastic syndromes or MDS with an isocitrate dehydrogenase-1 (IDH1) mutation.
The agency also approved the Abbott Laboratories' RealTime IDH1 Assay as a companion diagnostic for the selection of R/R MDS patients with an IDH1 mutation.
MDS are a rare form of blood cancers that can occur when the mutations in the bone marrow progenitor cells, i.e., cells that form blood, lead to insufficient numbers of healthy blood cells.
In the U.S., around 60,000 to 170,000 people live with MDS, while worldwide, it is estimated to be 87,000 new cases each year. About 3.6 percent of patients with MDS have an IDH1 mutation.
Tibsovo's effectiveness for this new indication was evaluated in an open-label, single-arm, multicenter study of 18 adult patients with relapsed or refractory MDS with an IDH1 mutation.
The FDA noted that IDH1 mutations were detected in peripheral blood or bone marrow by a local or central diagnostic test and confirmed retrospectively using the Abbott RealTime IDH1 Assay. Tibsovo was given orally at a starting dose of 500 milligram daily continuous for 28-day cycles until disease progression, development of unacceptable toxicity or undergoing bone marrow transplantation.
Richard Pazdur, director of the FDA's Oncology Center of Excellence, said, "Today's approval represents an important treatment advancement for rare blood cancers, and more specifically, patients with relapsed or refractory MDS who have an IDH1 mutation. Through the FDA's Oncology Center of Excellence Rare Cancers Program, we remain committed to promoting scientific innovation and advancing the development of safe and effective novel therapies to treat patients with rare cancers."
The FDA previously had approved Tibsovo for certain adults with newly-diagnosed Acute Myeloid Leukemia or AML, relapsed or refractory AML and locally advanced or metastatic cholangiocarcinoma.
The Abbott RealTime IDH1 Assay was also approved earlier as a companion diagnostic to identify AML patients with an IDH1 mutation for treatment with Tibsovo or Rezlidhia (olutasidenib).
For More Such Health News, visit rttnews.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - The U.S. Food and Drug Administration approved Servier Pharmaceuticals LLC's Tibsovo (ivosidenib) to treat rare form of blood cancers called relapsed or refractory or R/R Myelodysplastic Syndromes. Tibsovo was given orally at a starting dose of 500 milligram daily continuous for 28-day cycles until disease progression, development of unacceptable toxicity or undergoing bone marrow transplantation. Richard Pazdur, director of the FDA's Oncology Center of Excellence, said, "Today's approval represents an important treatment advancement for rare blood cancers, and more specifically, patients with relapsed or refractory MDS who have an IDH1 mutation. | (RTTNews) - The U.S. Food and Drug Administration approved Servier Pharmaceuticals LLC's Tibsovo (ivosidenib) to treat rare form of blood cancers called relapsed or refractory or R/R Myelodysplastic Syndromes. Richard Pazdur, director of the FDA's Oncology Center of Excellence, said, "Today's approval represents an important treatment advancement for rare blood cancers, and more specifically, patients with relapsed or refractory MDS who have an IDH1 mutation. The Abbott RealTime IDH1 Assay was also approved earlier as a companion diagnostic to identify AML patients with an IDH1 mutation for treatment with Tibsovo or Rezlidhia (olutasidenib). | MDS are a rare form of blood cancers that can occur when the mutations in the bone marrow progenitor cells, i.e., cells that form blood, lead to insufficient numbers of healthy blood cells. Richard Pazdur, director of the FDA's Oncology Center of Excellence, said, "Today's approval represents an important treatment advancement for rare blood cancers, and more specifically, patients with relapsed or refractory MDS who have an IDH1 mutation. The Abbott RealTime IDH1 Assay was also approved earlier as a companion diagnostic to identify AML patients with an IDH1 mutation for treatment with Tibsovo or Rezlidhia (olutasidenib). | (RTTNews) - The U.S. Food and Drug Administration approved Servier Pharmaceuticals LLC's Tibsovo (ivosidenib) to treat rare form of blood cancers called relapsed or refractory or R/R Myelodysplastic Syndromes. The FDA noted that IDH1 mutations were detected in peripheral blood or bone marrow by a local or central diagnostic test and confirmed retrospectively using the Abbott RealTime IDH1 Assay. The FDA previously had approved Tibsovo for certain adults with newly-diagnosed Acute Myeloid Leukemia or AML, relapsed or refractory AML and locally advanced or metastatic cholangiocarcinoma. |
30646.0 | 2023-10-25 00:00:00 UTC | Are These 3 Dividend Aristocrats Undervalued Hidden Gems? | ABT | https://www.nasdaq.com/articles/are-these-3-dividend-aristocrats-undervalued-hidden-gems | nan | nan | If you look at MarketBeat's list of dividend aristocrats, you'll see a select group of publicly traded companies that have an outstanding track record of consistently increasing their dividend payouts for at least 25 consecutive years.
That list is stacked with plenty of familiar large caps, such as Lowe's Companies Inc. (NYSE: LOW), Target Corp. (NYSE: TGT), Abbott Laboratories (NYSE: ABT), McDonald's Corp. (NYSE: MCD), PepsiCo Inc. (NASDAQ: PEP), Johnson & Johnson (NYSE: JNJ), Coca-Cola Co. (NYSE: KO) and Exxon Mobil Corp. (NYSE: XOM), among many others.
What makes these companies so special is their financial stability, history of profitability and commitment to rewarding investors through dividends. Think about what's happened over the past 25 years that could have caused a company to pause dividend increases, cut the dividend, or cancel it altogether.
Weathered Many Storms
There's been the dot-com meltdown, the September 11 attacks, the subprime mortgage crisis and subsequent market crash, the market decline of 2018, the Covid-19 pandemic, the market decline of 2022 and today's bout of inflation.
If you think about it, that makes the consistency of these dividend aristocrats all the more impressive.
Recently, with the market off its August highs, several undervalued dividend aristocrats are presenting potential opportunities for investors. Those undervalued names include Caterpillar Inc. (NYSE: CAT), NextEra Energy Inc. (NYSE: NEE) and Clorox Co. (NYSE: CLX).
Caterpillar: Double-Digit Earnings Growth Ahead
Caterpillar's analyst forecasts show a consensus rating of "hold" with a price target of $265.95, an upside of 6.82%. Wall Street expects the company to grow earnings by 45% this year and another 5% next year.
The stock is down 3.50 % in the past three months, falling 8.70% so far in October, but finding support right at its 200-day line. That support suggests big investors may be done with their selling and may signal a change in the stock's trend, particularly if the broader market also stops selling off.
It also means the stock looks like a bargain relative to its earnings potential.
Caterpillar is well positioned to continue being a leader in theglobal marketfor heavy machinery, as its gear is designed for various applications, including mining, energy, construction and even a global logistics and supply-chain management division to move parts and materials to their next destination.
NextEra Trading Higher After Earnings
NextEra stock gapped up at the open on October 24, following the Florida-based utility's third-quarter earnings report. The stock continued trending higher throughout the session and was trading 6.8% higher mid-session, near the high of its session range.
The stock corrected sharply in August and September, resulting in a three-month decline of 31.51% and a year-to-date decline of 36.70%.
So what's the attraction here? Take a look at the NextEra dividend yield of 3.40%, which is a draw that helps to offset price depreciation.
Utilities stocks are known as dividend payers because they typically have stable cash flows and lower capital requirements, allowing them to consistently distribute profits to shareholders in the form of dividends.
NextEra appears to have found a floor above its October 6 low of $47.15. MarketBeat's NextEra analyst forecasts show a consensus view of "moderate buy" with a price target of $75.23, an upside of 36.58%, suggesting that the stock is undervalued relative to its price potential in the next 12 to 18 months.
Analysts expect the company to grow earnings by 8% this year and 9% next year.
Clorox Underperforming Consumer Staples Sector
Like NextEra, the maker of bleach and disinfectant products is trading above early October lows. The stock is down 20.92% in the past three months, underperforming consumer staples stocks, as tracked by the Consumer Staples Select Sector SPDR Fund (NYSEARCA: XLP).
The company issued preliminary first-quarter results in early October, saying it expects organic sales to fall between 21% to 26%. Clorox said that will result in a loss of as much as 40 cents per share.
The company reports second-quarter results on November 7, after the closing bell.
The company is well past sales declines due to Covid winding down after Clorox wipes flew off shelves in the early days of the pandemic. Instead, this decline is due to an August cybersecurity breach that resulted in some ordering systems being taken offline.
Clorox's dividend yield is 3.96%, and the company has increased its shareholder payout for 37 years.
The article "Are These 3 Dividend Aristocrats Undervalued Hidden Gems?" originally appeared on MarketBeat.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | That list is stacked with plenty of familiar large caps, such as Lowe's Companies Inc. (NYSE: LOW), Target Corp. (NYSE: TGT), Abbott Laboratories (NYSE: ABT), McDonald's Corp. (NYSE: MCD), PepsiCo Inc. (NASDAQ: PEP), Johnson & Johnson (NYSE: JNJ), Coca-Cola Co. (NYSE: KO) and Exxon Mobil Corp. (NYSE: XOM), among many others. Caterpillar is well positioned to continue being a leader in theglobal marketfor heavy machinery, as its gear is designed for various applications, including mining, energy, construction and even a global logistics and supply-chain management division to move parts and materials to their next destination. Clorox Underperforming Consumer Staples Sector Like NextEra, the maker of bleach and disinfectant products is trading above early October lows. | That list is stacked with plenty of familiar large caps, such as Lowe's Companies Inc. (NYSE: LOW), Target Corp. (NYSE: TGT), Abbott Laboratories (NYSE: ABT), McDonald's Corp. (NYSE: MCD), PepsiCo Inc. (NASDAQ: PEP), Johnson & Johnson (NYSE: JNJ), Coca-Cola Co. (NYSE: KO) and Exxon Mobil Corp. (NYSE: XOM), among many others. Those undervalued names include Caterpillar Inc. (NYSE: CAT), NextEra Energy Inc. (NYSE: NEE) and Clorox Co. (NYSE: CLX). The stock is down 20.92% in the past three months, underperforming consumer staples stocks, as tracked by the Consumer Staples Select Sector SPDR Fund (NYSEARCA: XLP). | That list is stacked with plenty of familiar large caps, such as Lowe's Companies Inc. (NYSE: LOW), Target Corp. (NYSE: TGT), Abbott Laboratories (NYSE: ABT), McDonald's Corp. (NYSE: MCD), PepsiCo Inc. (NASDAQ: PEP), Johnson & Johnson (NYSE: JNJ), Coca-Cola Co. (NYSE: KO) and Exxon Mobil Corp. (NYSE: XOM), among many others. If you look at MarketBeat's list of dividend aristocrats, you'll see a select group of publicly traded companies that have an outstanding track record of consistently increasing their dividend payouts for at least 25 consecutive years. MarketBeat's NextEra analyst forecasts show a consensus view of "moderate buy" with a price target of $75.23, an upside of 36.58%, suggesting that the stock is undervalued relative to its price potential in the next 12 to 18 months. | That list is stacked with plenty of familiar large caps, such as Lowe's Companies Inc. (NYSE: LOW), Target Corp. (NYSE: TGT), Abbott Laboratories (NYSE: ABT), McDonald's Corp. (NYSE: MCD), PepsiCo Inc. (NASDAQ: PEP), Johnson & Johnson (NYSE: JNJ), Coca-Cola Co. (NYSE: KO) and Exxon Mobil Corp. (NYSE: XOM), among many others. If you look at MarketBeat's list of dividend aristocrats, you'll see a select group of publicly traded companies that have an outstanding track record of consistently increasing their dividend payouts for at least 25 consecutive years. NextEra Trading Higher After Earnings NextEra stock gapped up at the open on October 24, following the Florida-based utility's third-quarter earnings report. |
30647.0 | 2023-10-25 00:00:00 UTC | Teladoc Health (TDOC) Q3 Loss Narrows on Integrated Care Strength | ABT | https://www.nasdaq.com/articles/teladoc-health-tdoc-q3-loss-narrows-on-integrated-care-strength | nan | nan | Teladoc Health, Inc. TDOC incurred third-quarter 2023 adjusted loss of 35 cents per share, narrower than the Zacks Consensus Estimate of a loss of 37 cents per share and the prior-year quarter’s figure of a loss of 45 cents per share. The figure also came narrower than the management’s projected range of a loss of 50-40 cents per share
Operating revenues of $660.2 million rose 8% year over year (within management’s expected range of $650-$675 million). Yet, the top line fell short of the consensus mark by a whisker.
The quarterly results benefited on the back of improved access fees as well as solid contributions by the Integrated Care and BetterHelp segments. An expanding membership base within the Integrated Care unit contributed to the quarterly results. However, the upside was partly offset by a decline in visits and escalating expenses, related to higher advertising and marketing costs.
Teladoc Health, Inc. Price, Consensus and EPS Surprise
Teladoc Health, Inc. price-consensus-eps-surprise-chart | Teladoc Health, Inc. Quote
Quarterly Operational Update
Revenues from access fees (which comprised 88.2% of total quarterly revenues) improved 8% year over year to $582.1 million in the third quarter. The figure surpassed the Zacks Consensus Estimate of $576 million and our estimate of $575.6 million.
Teladoc Health reported other revenues of $78.2 million, which advanced 10% year over year but missed the consensus mark of $80 million as well as our estimate of $80.5 million.
On a geographical basis, revenues from the United States amounted to $569.3 million, which accounted for 86.2% of total revenues. The figure grew 7% year over year and beat the Zacks Consensus Estimate of $568 million as well as our estimate of $568.3 million. International revenues of $90.9 million climbed 17% year over year in the quarter under review and came higher than the consensus mark of $88 million as well as our estimate of $87.8 million.
Adjusted EBITDA soared 73% year over year to $88.8 million (exceeding the management’s projected range of $72-$82 million), higher than our estimate of $78.9 million.
The adjusted gross margin of 71.8% improved 220 basis points year over year in the quarter under review.
TDOC’s total expenses of $725 million increased 6.1% year over year due to higher advertising and marketing expenses, general and administrative costs as well as acquisition, integration and transformation expenses. The figure came higher than our estimate of $718.7 million.
Segmental Update
The Integrated Care segment generated revenues of $374.4 million, which rose 9% year over year in the third quarter and outpaced the Zacks Consensus Estimate of $371 million as well as our estimate of $369.9 million. The unit’s adjusted EBITDA surged 62% year over year to $62.8 million, higher than our estimate of $44.7 million. Adjusted EBITDA margin was 16.8%.
The BetterHelp segment’s revenues advanced 8% year over year to $285.8 million in the quarter under review. However, the figure missed the consensus mark of $291 million as well as our estimate of $286.2 million. The unit’s adjusted EBITDA of $26 million more than doubled year over year but lagged our estimate of $34.2 million. Adjusted EBITDA margin was 9.1%.
Visits & Memberships
Total visits declined 4% year over year to 4.4 million in the third quarter and missed our estimate of 4.8 million.
U.S. Integrated Care Members were 90.2 million as of Sep 30, 2023, which exceeded the management expectation of around 86 million. The figure improved 10% year over year and surpassed our estimate of 86.1 million.
Financial Update (as of Sep 30, 2023)
Teladoc Health exited the third quarter with cash and cash equivalents of $1,030.5 million, which grew 12.2% from the figure at 2022 end. Total assets of $4,328 million dipped 0.4% from the 2022-end level.
Debt amounted to $1,537.8 million, which inched up 0.2% from the figure as of Dec 31, 2022. Total stockholders’ equity of $2,294.1 million decreased 0.6% from the 2022-end level.
TDOC generated operating cash flows of $105.6 million in the third quarter, which soared 67.6% year over year. Free cash flows were recorded at $68 million, which increased more than three-fold year over year. Capex were $37.6 million in the quarter under review, which fell 13% year over year.
4Q23 View
Teladoc Health projects total revenues to be within $658 million and $683 million in the fourth quarter of 2023. Adjusted EBITDA is anticipated to be in the range of $107-$117 million. Net loss per share is estimated to be in the band of 33-23 cents. U.S. Integrated Care Members are forecasted to stay within 89-90 million.
2023 Outlook Revised
Management anticipates revenues to lie within $2,600 million and $2,625 million for 2023, down from the prior guidance of $2,600-$2,675 million. The midpoint of the revised guidance implies a rise of 8.5% from the 2022 figure.
Adjusted EBITDA is estimated to be within $320-$330 million, up from the previous outlook of $300-$325 million. The midpoint of the updated outlook suggests 31.8% growth from the 2022 figure.
Net loss per share is projected to lie in the band of $1.50-$1.40, compared with the earlier view of net loss of $1.60-$1.25 per share. U.S. Integrated Care Members are forecasted to be between 89-90 million this year, up from the previous guidance of around 86 million.
Zacks Rank
Teladoc Health currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Medical Sector Releases
Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of Elevance Health, Inc. ELV, Quest Diagnostics Incorporated DGX and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate.
Elevance Health reported third-quarter 2023 adjusted net income of $8.99 per share, which surpassed the Zacks Consensus Estimate by 6.4%. The bottom line climbed 20.5% year over year. Operating revenues rose 7.2% year over year to $42.5 billion in the quarter under review. Yet, the top line missed the consensus mark by a whisker. As of Sep 30, 2023, ELV’s medical membership was around 47.3 million, which inched up 0.1% year over year in the third quarter. Operating revenues of the Carelon segment improved 14.3% year over year to $11.9 billion, higher than our estimate of $10.8 billion. The unit’s operating gain inched up 1.4% year over year to $650 million in the third quarter.
Quest Diagnostics’ third-quarter 2023 adjusted earnings per share of $2.22 beat the Zacks Consensus Estimate by 1.4%. However, adjusted earnings declined 5.9% from the year-ago adjusted figure. Reported revenues in the third quarter declined 7.7% year over year to $2.29 billion. However, revenues exceeded the Zacks Consensus Estimate by 1.7%. Base Business (excludes COVID-19 testing) revenues were $2.27 billion in the reported quarter, up 4.6% year over year. DGX’s adjusted operating margin of 16.2% represented a five bps expansion year over year.
Abbott Laboratories reported third-quarter 2023 adjusted earnings of $1.14 per share, which topped the Zacks Consensus Estimate by 3.6%. However, the adjusted figure declined from the prior-year quarter’s levels by 0.9%. Third-quarter worldwide sales of $10.14 billion were down 2.6% year over year on a reported basis. The top line exceeded the consensus estimate by 3.6%. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Also, the adjusted operating margin contracted 66 bps to 21.1%. In the third quarter, the Medical Devices segment’s sales rose 16.6% year over year on a reported basis (up 14.7% on an organic basis) to $4.25 billion.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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Elevance Health, Inc. (ELV) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of Elevance Health, Inc. ELV, Quest Diagnostics Incorporated DGX and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Teladoc Health, Inc. (TDOC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Teladoc Health, Inc. (TDOC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of Elevance Health, Inc. ELV, Quest Diagnostics Incorporated DGX and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. | Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of Elevance Health, Inc. ELV, Quest Diagnostics Incorporated DGX and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Teladoc Health, Inc. (TDOC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of Elevance Health, Inc. ELV, Quest Diagnostics Incorporated DGX and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Quest Diagnostics Incorporated (DGX) : Free Stock Analysis Report Teladoc Health, Inc. (TDOC) : Free Stock Analysis Report Elevance Health, Inc. (ELV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30648.0 | 2023-10-25 00:00:00 UTC | PREVIEW-Boston Scientific may be shielded from weight-loss drugs hit by procedure recovery | ABT | https://www.nasdaq.com/articles/preview-boston-scientific-may-be-shielded-from-weight-loss-drugs-hit-by-procedure-recovery | nan | nan | By Khushi Mandowara and Mariam Sunny
Oct 25 (Reuters) - Boston Scientific's BSX.N quarterly results on Thursday are likely to show the benefits of a rebound in elective procedures and help ease fears that the medical device maker could take a hit from the surging popularity of weight-loss drugs.
Shares across the sector have tumbled in recent months on concerns that popular new GLP-1 drugs, like Novo Nordisk's NOVOb.CO Ozempic and Wegovy, approved to treat diabetes and weight loss, could carve into the market for bariatric surgery and devices used by diabetes patients, among others.
However, Boston Scientific is unlikely to see any pressure in the third quarter or in the near-term from GLP-1s due to its very small bariatric exposure, and a longer-term impact to its heart devices is unclear, analysts have said.
"Boston Scientific is, in our view, the cleanest story in MedTech right now, with arguably less discrete GLP-1 exposure," Truist Securities analyst Richard Newitter said.
THE CONTEXT
U.S. medtech companies have shaken off a pandemic-driven hit to revenues as a rebound in non-urgent procedures such as knee and hip replacements spurred demand for medical devices.
Boston Scientific, which makes a major chunk of its revenue from sales of its heart devices, also makes devices to diagnose and treat a range of gastrointestinal and pulmonary conditions.
Revenues from the company's Endoscopy unit, which includes devices used in surgical procedures that aid in weight loss, contributed 17.5% of the total sales in 2022, according to LSEG data.
Analysts pointed to growing demand for the company's stroke prevention device, branded as Watchman, which is expected to become a blockbuster opportunity in the next few years.
Still, investors will be watching out for comments on the long-term impact of the GLP-1 drugs on its markets.
FUNDAMENTALS
** 24 analysts, on average, forecast Boston Scientific's third-quarter revenue to be $3.48 billion, according to LSEG, compared with $3.17 billion reported a year earlier
** 20 analysts, on average, estimated third-quarter net profit to be $702.6 million, compared with $620 million in the year-ago quarter
WALL STREET SENTIMENT
** Of the 32 analysts covering Boston Scientific, 29 rate it "buy" or higher, three rate "hold"
** The median price target for Boston Scientific is $61, a 19.7% upside to its last closing price on Tuesday.
Boston Scientific's Watchman heart device sales https://tmsnrt.rs/3ShcMvN
Boston Scientific's full-year revenue https://tmsnrt.rs/46K8VM7
(Reporting by Khushi Mandowara and Mariam Sunny in Bengaluru; Editing by Sriraj Kalluvila)
((Khushi.Mandowara@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By Khushi Mandowara and Mariam Sunny Oct 25 (Reuters) - Boston Scientific's BSX.N quarterly results on Thursday are likely to show the benefits of a rebound in elective procedures and help ease fears that the medical device maker could take a hit from the surging popularity of weight-loss drugs. U.S. medtech companies have shaken off a pandemic-driven hit to revenues as a rebound in non-urgent procedures such as knee and hip replacements spurred demand for medical devices. Revenues from the company's Endoscopy unit, which includes devices used in surgical procedures that aid in weight loss, contributed 17.5% of the total sales in 2022, according to LSEG data. | By Khushi Mandowara and Mariam Sunny Oct 25 (Reuters) - Boston Scientific's BSX.N quarterly results on Thursday are likely to show the benefits of a rebound in elective procedures and help ease fears that the medical device maker could take a hit from the surging popularity of weight-loss drugs. ** 24 analysts, on average, forecast Boston Scientific's third-quarter revenue to be $3.48 billion, according to LSEG, compared with $3.17 billion reported a year earlier ** 20 analysts, on average, estimated third-quarter net profit to be $702.6 million, compared with $620 million in the year-ago quarter Boston Scientific's Watchman heart device sales https://tmsnrt.rs/3ShcMvN Boston Scientific's full-year revenue https://tmsnrt.rs/46K8VM7 (Reporting by Khushi Mandowara and Mariam Sunny in Bengaluru; Editing by Sriraj Kalluvila) ((Khushi.Mandowara@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Boston Scientific, which makes a major chunk of its revenue from sales of its heart devices, also makes devices to diagnose and treat a range of gastrointestinal and pulmonary conditions. ** 24 analysts, on average, forecast Boston Scientific's third-quarter revenue to be $3.48 billion, according to LSEG, compared with $3.17 billion reported a year earlier ** 20 analysts, on average, estimated third-quarter net profit to be $702.6 million, compared with $620 million in the year-ago quarter Boston Scientific's Watchman heart device sales https://tmsnrt.rs/3ShcMvN Boston Scientific's full-year revenue https://tmsnrt.rs/46K8VM7 (Reporting by Khushi Mandowara and Mariam Sunny in Bengaluru; Editing by Sriraj Kalluvila) ((Khushi.Mandowara@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | By Khushi Mandowara and Mariam Sunny Oct 25 (Reuters) - Boston Scientific's BSX.N quarterly results on Thursday are likely to show the benefits of a rebound in elective procedures and help ease fears that the medical device maker could take a hit from the surging popularity of weight-loss drugs. Shares across the sector have tumbled in recent months on concerns that popular new GLP-1 drugs, like Novo Nordisk's NOVOb.CO Ozempic and Wegovy, approved to treat diabetes and weight loss, could carve into the market for bariatric surgery and devices used by diabetes patients, among others. However, Boston Scientific is unlikely to see any pressure in the third quarter or in the near-term from GLP-1s due to its very small bariatric exposure, and a longer-term impact to its heart devices is unclear, analysts have said. |
30649.0 | 2023-10-25 00:00:00 UTC | ZBH or ABT: Which Is the Better Value Stock Right Now? | ABT | https://www.nasdaq.com/articles/zbh-or-abt%3A-which-is-the-better-value-stock-right-now | nan | nan | Investors looking for stocks in the Medical - Products sector might want to consider either Zimmer Biomet (ZBH) or Abbott (ABT). But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, both Zimmer Biomet and Abbott are sporting a Zacks Rank of # 2 (Buy). Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. But this is just one factor that value investors are interested in.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
ZBH currently has a forward P/E ratio of 13.95, while ABT has a forward P/E of 21.38. We also note that ZBH has a PEG ratio of 2.06. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. ABT currently has a PEG ratio of 4.20.
Another notable valuation metric for ZBH is its P/B ratio of 1.77. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, ABT has a P/B of 4.40.
These are just a few of the metrics contributing to ZBH's Value grade of B and ABT's Value grade of C.
Both ZBH and ABT are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that ZBH is the superior value option right now.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Zimmer Biomet Holdings, Inc. (ZBH) : Free Stock Analysis Report
Abbott Laboratories (ABT) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Investors looking for stocks in the Medical - Products sector might want to consider either Zimmer Biomet (ZBH) or Abbott (ABT). ZBH currently has a forward P/E ratio of 13.95, while ABT has a forward P/E of 21.38. ABT currently has a PEG ratio of 4.20. | Click to get this free report Zimmer Biomet Holdings, Inc. (ZBH) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors looking for stocks in the Medical - Products sector might want to consider either Zimmer Biomet (ZBH) or Abbott (ABT). ZBH currently has a forward P/E ratio of 13.95, while ABT has a forward P/E of 21.38. | These are just a few of the metrics contributing to ZBH's Value grade of B and ABT's Value grade of C. Both ZBH and ABT are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that ZBH is the superior value option right now. Click to get this free report Zimmer Biomet Holdings, Inc. (ZBH) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors looking for stocks in the Medical - Products sector might want to consider either Zimmer Biomet (ZBH) or Abbott (ABT). | ABT currently has a PEG ratio of 4.20. These are just a few of the metrics contributing to ZBH's Value grade of B and ABT's Value grade of C. Both ZBH and ABT are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that ZBH is the superior value option right now. Investors looking for stocks in the Medical - Products sector might want to consider either Zimmer Biomet (ZBH) or Abbott (ABT). |
30650.0 | 2023-10-25 00:00:00 UTC | Edwards Lifesciences posts lower-than-expected sales of heart device; shares fall | ABT | https://www.nasdaq.com/articles/edwards-lifesciences-posts-lower-than-expected-sales-of-heart-device-shares-fall | nan | nan | Adds share movement in paragraph 1, CFO comment in paragraph 6
Oct 25 (Reuters) - Edwards Lifesciences Corp EW.N on Wednesday reported a rise in third-quarter sales, but lower-than-expected sales of the company's artificial heart valves pushed the device maker's shares down 7% after the bell.
Medical device makers are lately benefiting from a rebound in non-urgent procedures that were otherwise delayed by pandemic-induced curbs, along with the easing of staffing pressure in the United States.
However, heart surgeries have not recovered as fast as some other procedures, hurting medical device makers banking on a strong rebound.
Sales of Edward's transcatheter aortic valve replacement (TAVR), a device used to perform minimally invasive surgery for people with heart valve disease, rose 11% to $960.9 million in the third quarter.
Analysts had expected TAVR sales of $964.40 million, according to LSEG data.
CFO Scott Ullem said the company expects to end up in the middle of the range for the full-year sales growth forecast of its TAVR devices, which is 10% to 13%.
TAVR, which is Edward Lifesciences' lead product segment, is facing an increased competition from rivals like Abbott ABT.N, Boston Scientific BSX.N and Medtronic MDT.N.
Edward reiterated its full-year forecast for profit, total revenue, and sales of its TAVR devices.
For the fourth quarter, the company expects total sales between $1.45 billion and $1.53 billion, below analysts' expectation of $1.54 billion.
For the quarter ended Sept. 30, revenue came in at $1.48 billion in line with the analysts' estimates.
Excluding items, for the reported quarter, the company reported a profit of 59 cents per share, which was also in line with estimates.
(Reporting by Khushi Mandowara in Bengaluru; Editing by Shailesh Kuber)
((Khushi.Mandowara@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | TAVR, which is Edward Lifesciences' lead product segment, is facing an increased competition from rivals like Abbott ABT.N, Boston Scientific BSX.N and Medtronic MDT.N. Medical device makers are lately benefiting from a rebound in non-urgent procedures that were otherwise delayed by pandemic-induced curbs, along with the easing of staffing pressure in the United States. CFO Scott Ullem said the company expects to end up in the middle of the range for the full-year sales growth forecast of its TAVR devices, which is 10% to 13%. | TAVR, which is Edward Lifesciences' lead product segment, is facing an increased competition from rivals like Abbott ABT.N, Boston Scientific BSX.N and Medtronic MDT.N. Adds share movement in paragraph 1, CFO comment in paragraph 6 Oct 25 (Reuters) - Edwards Lifesciences Corp EW.N on Wednesday reported a rise in third-quarter sales, but lower-than-expected sales of the company's artificial heart valves pushed the device maker's shares down 7% after the bell. Edward reiterated its full-year forecast for profit, total revenue, and sales of its TAVR devices. | TAVR, which is Edward Lifesciences' lead product segment, is facing an increased competition from rivals like Abbott ABT.N, Boston Scientific BSX.N and Medtronic MDT.N. Adds share movement in paragraph 1, CFO comment in paragraph 6 Oct 25 (Reuters) - Edwards Lifesciences Corp EW.N on Wednesday reported a rise in third-quarter sales, but lower-than-expected sales of the company's artificial heart valves pushed the device maker's shares down 7% after the bell. Sales of Edward's transcatheter aortic valve replacement (TAVR), a device used to perform minimally invasive surgery for people with heart valve disease, rose 11% to $960.9 million in the third quarter. | TAVR, which is Edward Lifesciences' lead product segment, is facing an increased competition from rivals like Abbott ABT.N, Boston Scientific BSX.N and Medtronic MDT.N. Analysts had expected TAVR sales of $964.40 million, according to LSEG data. Edward reiterated its full-year forecast for profit, total revenue, and sales of its TAVR devices. |
30651.0 | 2023-10-24 00:00:00 UTC | HCA Healthcare's (HCA) Q3 Earnings Miss on High Expense Level | ABT | https://www.nasdaq.com/articles/hca-healthcares-hca-q3-earnings-miss-on-high-expense-level | nan | nan | HCA Healthcare, Inc. HCA reported third-quarter 2023 adjusted earnings per share (EPS) of $3.91, which missed the Zacks Consensus Estimate by 1.5%. The bottom line dipped 0.5% year over year.
Revenues amounted to $16.2 billion, which improved 8.3% year over year in the quarter under review. The top line outpaced the consensus mark by 2.8%.
The quarterly results suffered a blow due to an elevated expense level and the soft performance of the Valesco physician staffing joint venture. Nevertheless, the downside was partly offset by growing patient admissions and a higher number of surgeries.
HCA Healthcare, Inc. Price, Consensus and EPS Surprise
HCA Healthcare, Inc. price-consensus-eps-surprise-chart | HCA Healthcare, Inc. Quote
Quarterly Details
Same-facility equivalent admissions advanced 4.1% year over year in the third quarter, while same-facility admissions grew 3.4% year over year. The metrics beat our growth estimates of 1.5% and 2%, respectively.
Same-facility revenue per equivalent admission rose 3.6% year over year in the quarter under review but fell short of our growth estimate of 4%.
Same-facility inpatient surgeries grew 1.6% year over year but missed our growth estimate of 2.7%. Same-facility outpatient surgeries inched up 0.9% year over year but lagged our growth estimate of 2.7%. Additionally, same-facility emergency room visits advanced 3.5% year over year in the third quarter but missed our growth estimate of 4.5%.
Salaries and benefits, supplies and other operating expenses of $13.4 billion escalated 10.5% year over year and came higher than our estimate of $12.6 billion.
Adjusted EBITDA dipped 0.8% year over year to $2.9 billion in the quarter under review.
HCA Healthcare operated 183 hospitals and roughly 2,300 ambulatory sites of care across 20 states and the United Kingdom as of Sep 30, 2023.
Financial Update (as of Sep 30, 2023)
HCA Healthcare exited the third quarter with cash and cash equivalents of $891 million, which slid 1.9% from the 2022-end level. It had a leftover capacity of $6.5 billion under its credit facilities at the third-quarter end.
Total assets of $54.6 billion increased 4.1% from the figure at 2022 end.
Long-term debt, excluding debt issuance costs and discounts, amounted to $36.8 billion. The figure declined 2.4% from the figure as of Dec 31, 2022.
Capital expenditures were $1.1 billion minus acquisitions during the quarter under review.
Decline in Cash Flows
HCA Healthcare generated cash from operations of $2.5 billion in the third quarter, which dropped 17.9% year over year.
Capital Deployment Update
HCA bought back shares worth $1.1 billion in the third quarter. It had a leftover capacity of $1.7 billion under its buyback authorization as of Sep 30, 2023.
The Board of Directors approved a quarterly cash dividend of 60 cents per share, which will be paid out on Dec 28, 2023, to its shareholders of record as of Dec 14.
2023 View
Annual revenues are presently estimated to lie between $63.5 billion and $64.5 billion compared with the previous guidance of $63.25-$64.75 billion. The midpoint of the revised outlook indicates a 6.3% rise from the 2022 reported figure.
Management currently projects adjusted EBITDA to be within $12.3-$12.6 billion for 2023, down from the prior view of $12.3-$12.8 billion. The midpoint of the updated outlook suggests 3.2% growth from the 2022 figure.
Net income attributable to HCA Healthcare is presently anticipated to lie between $4.940 billion and $5.130 billion compared with the previous outlook of $4.900-$5.255 billion.
EPS is currently forecasted to be in the $17.80-$18.50 band compared with the previous view of $17.70-$18.90. The midpoint of the revised guidance implies a 7.5% rise from the 2022 figure.
Earlier, capital expenditures, excluding acquisitions, were expected to be around $4.7 billion.
Zacks Rank
HCA Healthcare currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Medical Sector Releases
Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of UnitedHealth Group Incorporated UNH, Intuitive Surgical, Inc. ISRG and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate.
UnitedHealth Group reported third-quarter 2023 adjusted EPS of $6.56, which outpaced the Zacks Consensus Estimate by 3.6%. The bottom line advanced 13.3% year over year. Revenues improved 14.2% year over year to $92.4 billion in the quarter under review. The top line surpassed the consensus mark by 1%.
UNH reported operating earnings of $8.5 billion, which climbed 13.3% year over year in the quarter under review. Revenues from the health benefits business of UnitedHealth Group, UnitedHealthcare, rose 13% year over year to $69.9 billion on the back of a growing membership base. As of Sep 30, 2023, the unit catered to 52.8 million people, which rose 2.8% year over year.
Intuitive Surgical reported third-quarter 2023 adjusted EPS of $1.46, which beat the Zacks Consensus Estimate of EPS of $1.41 by 3.5%. The bottom line improved 22.7% year over year. ISRG reported revenues of $1.74 billion, up 11.5% from the prior-year quarter’s recorded number. The top line, however, missed the Zacks Consensus Estimate by 1.7%. Adjusted operating income totaled $623.7 million, up 12.5% year over year. As a percentage of revenues, the operating margin was 35.8%, up 20 bps sequentially. Revenues from the Instruments & Accessories segment totaled $1.07 billion, indicating a year-over-year improvement of 23%.
Abbott Laboratories reported third-quarter 2023 adjusted earnings of $1.14 per share, which topped the Zacks Consensus Estimate by 3.6%. However, the adjusted figure declined from the prior-year quarter’s levels by 0.9%. Third-quarter worldwide sales of $10.14 billion were down 2.6% year over year on a reported basis.
The top line exceeded the consensus estimate by 3.6%. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Also, the adjusted operating margin contracted 66 bps to 21.1%. In the third quarter, the Medical Devices segment’s sales rose 16.6% year over year on a reported basis (up 14.7% on an organic basis) to $4.25 billion.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report
HCA Healthcare, Inc. (HCA) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of UnitedHealth Group Incorporated UNH, Intuitive Surgical, Inc. ISRG and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report HCA Healthcare, Inc. (HCA) : Free Stock Analysis Report To read this article on Zacks.com click here. | Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of UnitedHealth Group Incorporated UNH, Intuitive Surgical, Inc. ISRG and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report HCA Healthcare, Inc. (HCA) : Free Stock Analysis Report To read this article on Zacks.com click here. ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. | ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report HCA Healthcare, Inc. (HCA) : Free Stock Analysis Report To read this article on Zacks.com click here. Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of UnitedHealth Group Incorporated UNH, Intuitive Surgical, Inc. ISRG and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. | ABT reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Other Medical Sector Releases Of the Medical sector players that have reported third-quarter 2023 results so far, the bottom-line results of UnitedHealth Group Incorporated UNH, Intuitive Surgical, Inc. ISRG and Abbott Laboratories ABT beat the respective Zacks Consensus Estimate. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report HCA Healthcare, Inc. (HCA) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30652.0 | 2023-10-24 00:00:00 UTC | Shockwave Medical (SWAV) Announces IVL Studies' Positive Results | ABT | https://www.nasdaq.com/articles/shockwave-medical-swav-announces-ivl-studies-positive-results | nan | nan | Shockwave Medical, Inc. SWAV recently announced two new publications that reported favorable and consistent outcomes with coronary intravascular lithotripsy (IVL) in both nodular and eccentric calcium. Each publication reported separate patient-level pooled optical coherence tomography sub-analyses of the company-sponsored Disrupt CAD (coronary artery disease) clinical studies.
The IVL in Eccentric Calcium and IVL in Nodular Calcium-related publications were published in Circulation: Cardiovascular Intervention and JACC: Cardiovascular Interventions, respectively.
The latest positive study outcomes are expected to be significant stepping stones for Shockwave Medical in expanding its footprint in the CAD treatment space and solidifying its position worldwide.
Significance of the Publications
Per an expert associated with the first publication related to IVL in Eccentric Calcium, IVL was initially adopted in clinical practice because of its ability to modify concentric calcium in a safe and predictable manner. However, it is currently observed that the utility is increasing as the consistency of the safety and efficacy outcomes related to IVL expands across calcium arcs.
The expert believes that the shift in clinical practice has been crucial in addressing the limitations of atherectomy technologies in modifying eccentric calcium because with IVL, there is a tool that can modify the eccentric calcium and increase vascular compliance to the greatest effect while minimizing procedural risk.
With respect to the second publication, related to IVL in Nodular Calcium, the new and encouraging acute data with IVL reconfirms the safety of IVL with no procedural complications in lesions with calcific nodules, which is generally a high-risk setting.
Industry Prospects
Per a report by Research and Markets published on yahoo! finance, the global CAD market is expected to reach $38.17 billion in 2028 from $22.94 billion in 2022 at a CAGR of approximately 8.9%. Factors like the rapid growth in the elderly population, unhealthy lifestyles and a rising number of people suffering from obesity, diabetes and high blood pressure are likely to drive the market.
Given the market potential, the latest favorable publications are expected to provide a significant boost to Shockwave Medical’s business globally.
Notable Development
In August, Shockwave Medical reported its second-quarter 2023 results, wherein it registered a solid uptick in its quarterly revenues, which was driven by an increase in the purchase volume of catheters in both the United States and internationally. Management’s optimism about the continued clinical acceptance and penetration of IVL was also promising.
Comparison With Peers
A notable name in the medical device industry is Medtronic plc MDT. In August, MDT reported its first-quarter fiscal 2024 results, wherein its organic revenue results reflected broad strength across businesses and geographies, driven by execution, innovation and improved underlying fundamentals. During the quarter, Medtronic’s Cardiovascular revenues at constant exchange rate were also robust, with all three divisions reporting organic growth in the quarter.
In May, MDT announced the positive findings of its investigational Extravascular Implantable Cardioverter–Defibrillator Study.
Another notable name in the niche space is Abbott Laboratories ABT, which is also Shockwave Medical’s peer. This month, ABT reported its third-quarter 2023 results, wherein it registered broad-based growth in the underlying base business. Within the Medical Devices segment, Abbott delivered double-digit organic growth in Diabetes Care, Electrophysiology, Structural Heart and Neuromodulation in the reported quarter.
Last month, Abbott completed the acquisition of Bigfoot Biomedical, a developer of intelligent insulin management systems for people with diabetes.
Boston Scientific Corporation BSX, another peer of Shockwave Medical, is also a renowned name in the medical device space. Last month, BSX received the FDA’s approval for the latest-generation WATCHMAN FLX Pro Left Atrial Appendage Closure Device.
In July, Boston Scientific announced its second-quarter 2023 results, wherein it registered a strong year-over-year improvement in organic sales, indicating a solid rebound in the legacy business even amid several macroeconomic issues. BSX’s revenues from its Cardiovascular segment and sub-segments (Cardiology and Peripheral Interventions) were also strong.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock And 4 Runners Up
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Abbott Laboratories (ABT) : Free Stock Analysis Report
Boston Scientific Corporation (BSX) : Free Stock Analysis Report
Medtronic PLC (MDT) : Free Stock Analysis Report
ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Another notable name in the niche space is Abbott Laboratories ABT, which is also Shockwave Medical’s peer. This month, ABT reported its third-quarter 2023 results, wherein it registered broad-based growth in the underlying base business. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. Another notable name in the niche space is Abbott Laboratories ABT, which is also Shockwave Medical’s peer. This month, ABT reported its third-quarter 2023 results, wherein it registered broad-based growth in the underlying base business. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. Another notable name in the niche space is Abbott Laboratories ABT, which is also Shockwave Medical’s peer. This month, ABT reported its third-quarter 2023 results, wherein it registered broad-based growth in the underlying base business. | Another notable name in the niche space is Abbott Laboratories ABT, which is also Shockwave Medical’s peer. This month, ABT reported its third-quarter 2023 results, wherein it registered broad-based growth in the underlying base business. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Boston Scientific Corporation (BSX) : Free Stock Analysis Report Medtronic PLC (MDT) : Free Stock Analysis Report ShockWave Medical, Inc. (SWAV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30653.0 | 2023-10-24 00:00:00 UTC | Abbott : Data Showcase Benefits Of Minimally Invasive Devices For People With Leaky Heart Valves | ABT | https://www.nasdaq.com/articles/abbott-%3A-data-showcase-benefits-of-minimally-invasive-devices-for-people-with-leaky-heart | nan | nan | (RTTNews) - Abbott (ABT) announced data from late-breaking presentations showing the impact of its minimally invasive heart devices in treating mitral and tricuspid valve disease. Data include findings from the Triluminate pivotal trial that reinforce the safety and effectiveness of the TriClip transcatheter edge-to-edge repair or TEER system for patients with symptomatic, severe tricuspid regurgitation or TR despite optimal medical therapy. TriClip is an investigational device in the U.S.
The company also presented late-breaking data from the MitraClip EXPAND G4 real-world registry that highlights the device's benefits across a broad group of patients with mitral regurgitation or MR.
Leaky valves in people with MR and TR can reduce the amount of blood being pumped through the body and make the heart work harder than it should. As a result, MR and TR can lead to other cardiovascular issues as well as severely limit a person's quality of life. While historically surgery was often necessary to combat MR and TR, Abbott's minimally invasive portfolio of structural heart devices has allowed more people around the world to be effectively treated without the risk of surgical complications.
TriClip is approved for use in more than 50 countries, including in Europe and Canada, and is an investigational device in the U.S.
For More Such Health News, visit rttnews.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott (ABT) announced data from late-breaking presentations showing the impact of its minimally invasive heart devices in treating mitral and tricuspid valve disease. Data include findings from the Triluminate pivotal trial that reinforce the safety and effectiveness of the TriClip transcatheter edge-to-edge repair or TEER system for patients with symptomatic, severe tricuspid regurgitation or TR despite optimal medical therapy. The company also presented late-breaking data from the MitraClip EXPAND G4 real-world registry that highlights the device's benefits across a broad group of patients with mitral regurgitation or MR. Leaky valves in people with MR and TR can reduce the amount of blood being pumped through the body and make the heart work harder than it should. | (RTTNews) - Abbott (ABT) announced data from late-breaking presentations showing the impact of its minimally invasive heart devices in treating mitral and tricuspid valve disease. The company also presented late-breaking data from the MitraClip EXPAND G4 real-world registry that highlights the device's benefits across a broad group of patients with mitral regurgitation or MR. Leaky valves in people with MR and TR can reduce the amount of blood being pumped through the body and make the heart work harder than it should. While historically surgery was often necessary to combat MR and TR, Abbott's minimally invasive portfolio of structural heart devices has allowed more people around the world to be effectively treated without the risk of surgical complications. | (RTTNews) - Abbott (ABT) announced data from late-breaking presentations showing the impact of its minimally invasive heart devices in treating mitral and tricuspid valve disease. Data include findings from the Triluminate pivotal trial that reinforce the safety and effectiveness of the TriClip transcatheter edge-to-edge repair or TEER system for patients with symptomatic, severe tricuspid regurgitation or TR despite optimal medical therapy. The company also presented late-breaking data from the MitraClip EXPAND G4 real-world registry that highlights the device's benefits across a broad group of patients with mitral regurgitation or MR. Leaky valves in people with MR and TR can reduce the amount of blood being pumped through the body and make the heart work harder than it should. | (RTTNews) - Abbott (ABT) announced data from late-breaking presentations showing the impact of its minimally invasive heart devices in treating mitral and tricuspid valve disease. Data include findings from the Triluminate pivotal trial that reinforce the safety and effectiveness of the TriClip transcatheter edge-to-edge repair or TEER system for patients with symptomatic, severe tricuspid regurgitation or TR despite optimal medical therapy. TriClip is an investigational device in the U.S. |
30654.0 | 2023-10-24 00:00:00 UTC | Is Intuitive Surgical Stock A Pick After A 9% Fall In A Month Amid Mixed Q3? | ABT | https://www.nasdaq.com/articles/is-intuitive-surgical-stock-a-pick-after-a-9-fall-in-a-month-amid-mixed-q3 | nan | nan | Intuitive Surgical (NASDAQ: ISRG) recently reported its Q3 results, with revenues lower but earnings beating our estimates. The company reported revenue of $1.7 billion, up 12% y-o-y and below our $1.8 billion estimate. Its adjusted earnings of $1.46 per share were up 23% y-o-y and above our estimated $1.42 per share. In this note, we discuss Intuitive Surgical’s stock performance, key takeaways from its recent results, and valuation.
ISRG stock has seen little change, moving slightly from levels of $275 in early January 2021 to around $265 now, vs. an increase of about 15% for the S&P 500 over this roughly 3-year period. Overall, the performance of ISRG stock with respect to the index has been lackluster. Returns for the stock were 32% in 2021, -26% in 2022, and 1% in 2023 (YTD). In comparison, returns for the S&P 500 have been 27% in 2021, -19% in 2022, and 10% in 2023 (YTD) – indicating that ISRG underperformed the S&P in 2022 and 2023.
In fact, consistently beating the S&P 500 – in good times and bad – has been difficult over recent years for individual stocks; for heavyweights in the Health Care sector, including LLY, UNH, and JNJ, and even for the mega-cap stars GOOG, TSLA, and MSFT. In contrast, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has outperformed the S&P 500 each year over the same period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index, less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could ISRG face a similar situation as it did in 2022 and 2023 and underperform the S&P over the next 12 months – or will it see a strong jump? From a valuation perspective, ISRG stock looks attractive and will likely see higher levels over time. We estimate Intuitive Surgical’s Valuation to be $310 per share, reflecting a 16% upside from its current levels of $267. Our forecast is based on a 56x P/E multiple for ISRG and expected earnings of $5.55 on a per-share and adjusted basis for the full year 2023.
Intuitive Surgical’s revenue of $1.7 billion reflects a 12% y-o-y growth driven by a 19% rise in worldwide da Vinci procedure volume. The company placed 312 da Vinci systems during the quarter, reflecting a 2% y-o-y increase. A slowdown in bariatric procedures due to the increased adoption of glucagon-like peptide-1 (GLP-1) drugs and anti-corruption campaigns in China weighed on the overall system placements, a trend expected to continue in the near term. Its operating margin improved around 100 bps to 26.7% in Q3. This can be attributed to lower SG&A expenses as a percentage of revenue. Higher revenues and margin expansion led to a 23% y-o-y rise in the bottom line to $1.46 on a per-share and adjusted basis.
ISRG stock is trading at 14x sales, compared to the last five-year average of 21x. We believe investors will likely be better off picking ISRG on any dips for robust gains in the long run. However, the increased adoption of GLP-1 and the system placement slowdown in China remain key risk factors in realizing these gains.
Returns Oct 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
ISRG Return -9% 1% 279%
S&P 500 Return -1% 10% 89%
Trefis Reinforced Value Portfolio -2% 21% 520%
[1] Month-to-date and year-to-date as of 10/23/2023
[2] Cumulative total returns since the end of 2016
Invest with Trefis Market-Beating Portfolios
See all Trefis Price Estimates
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | In fact, consistently beating the S&P 500 – in good times and bad – has been difficult over recent years for individual stocks; for heavyweights in the Health Care sector, including LLY, UNH, and JNJ, and even for the mega-cap stars GOOG, TSLA, and MSFT. Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could ISRG face a similar situation as it did in 2022 and 2023 and underperform the S&P over the next 12 months – or will it see a strong jump? A slowdown in bariatric procedures due to the increased adoption of glucagon-like peptide-1 (GLP-1) drugs and anti-corruption campaigns in China weighed on the overall system placements, a trend expected to continue in the near term. | Intuitive Surgical (NASDAQ: ISRG) recently reported its Q3 results, with revenues lower but earnings beating our estimates. In this note, we discuss Intuitive Surgical’s stock performance, key takeaways from its recent results, and valuation. However, the increased adoption of GLP-1 and the system placement slowdown in China remain key risk factors in realizing these gains. | Intuitive Surgical (NASDAQ: ISRG) recently reported its Q3 results, with revenues lower but earnings beating our estimates. As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index, less of a roller-coaster ride, as evident in HQ Portfolio performance metrics. Total [2] ISRG Return -9% 1% 279% S&P 500 Return -1% 10% 89% Trefis Reinforced Value Portfolio -2% 21% 520% [1] Month-to-date and year-to-date as of 10/23/2023 [2] Cumulative total returns since the end of 2016 Invest with Trefis Market-Beating Portfolios See all Trefis Price Estimates The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Intuitive Surgical (NASDAQ: ISRG) recently reported its Q3 results, with revenues lower but earnings beating our estimates. The company placed 312 da Vinci systems during the quarter, reflecting a 2% y-o-y increase. Higher revenues and margin expansion led to a 23% y-o-y rise in the bottom line to $1.46 on a per-share and adjusted basis. |
30655.0 | 2023-10-23 00:00:00 UTC | Validea's Top Health Care Stocks Based On Martin Zweig - 10/23/2023 | ABT | https://www.nasdaq.com/articles/valideas-top-health-care-stocks-based-on-martin-zweig-10-23-2023 | nan | nan | The following are the top rated Health Care stocks according to Validea's Growth Investor model based on the published strategy of Martin Zweig. This strategy looks for growth stocks with persistent accelerating earnings and sales growth, reasonable valuations and low debt.
NOVO NORDISK A/S (ADR) (NVO) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating according to our strategy based on Martin Zweig is 69% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Novo Nordisk A/S is a global healthcare company engaged in diabetes care. The Company is also engaged in the discovery, development, manufacturing and marketing of pharmaceutical products. The Company operates through two business segments: diabetes and obesity care, and biopharmaceuticals. The Company's diabetes and obesity care segment covers insulin, GLP-1, other protein-related products, such as glucagon, protein-related delivery systems and needles, and oral anti-diabetic drugs. The Company's biopharmaceuticals segment covers the therapy areas of hemophilia care, growth hormone therapy and hormone replacement therapy. The Company also offers Saxenda product to treat obesity. It offers a range of products, including NovoLog/NovoRapid; NovoLog Mix/NovoMix; Prandin/NovoNorm; NovoSeven; Norditropin, and Vagifem. As of December 31, 2016, it marketed its products in over 180 countries. Its regional structure consists of two commercial units: North America and International Operations.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E RATIO: FAIL
REVENUE GROWTH IN RELATION TO EPS GROWTH: PASS
SALES GROWTH RATE: FAIL
CURRENT QUARTER EARNINGS: PASS
QUARTERLY EARNINGS ONE YEAR AGO: PASS
POSITIVE EARNINGS GROWTH RATE FOR CURRENT QUARTER: PASS
EARNINGS GROWTH RATE FOR THE PAST SEVERAL QUARTERS: PASS
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN PRIOR 3 QUARTERS: PASS
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN THE HISTORICAL GROWTH RATE: PASS
EARNINGS PERSISTENCE: PASS
LONG-TERM EPS GROWTH: FAIL
TOTAL DEBT/EQUITY RATIO: PASS
INSIDER TRANSACTIONS: PASS
Detailed Analysis of NOVO NORDISK A/S (ADR)
NVO Guru Analysis
NVO Fundamental Analysis
HUMANA INC (HUM) is a large-cap growth stock in the Healthcare Facilities industry. The rating according to our strategy based on Martin Zweig is 69% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Humana Inc. is a health and well-being company. The Company operates through two segments: Insurance and CenterWell. The Insurance segment consists of Medicare benefits, marketed to individuals or directly through group Medicare accounts. It also includes its contract with the Centers for Medicare and Medicaid Services (CMS) to administer the Limited Income Newly Eligible Transition (LI-NET), prescription drug plan program and contracts with various states to provide Medicaid, dual eligible demonstration, and Long-Term Support Services benefits. The Insurance segment also includes products consisting of employer group commercial fully-insured medical and specialty health. The CenterWell segment represents its payor-agnostic healthcare services offerings, including pharmacy dispensing services, provider services, and home services. The Company's subsidiaries include Mid-South Home Health Agency, LLC, Premier Home Health Agency, LLC and Humana Regional Health Plan, Inc.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E RATIO: PASS
REVENUE GROWTH IN RELATION TO EPS GROWTH: PASS
SALES GROWTH RATE: PASS
CURRENT QUARTER EARNINGS: PASS
QUARTERLY EARNINGS ONE YEAR AGO: PASS
POSITIVE EARNINGS GROWTH RATE FOR CURRENT QUARTER: PASS
EARNINGS GROWTH RATE FOR THE PAST SEVERAL QUARTERS: FAIL
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN PRIOR 3 QUARTERS: PASS
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN THE HISTORICAL GROWTH RATE: PASS
EARNINGS PERSISTENCE: FAIL
LONG-TERM EPS GROWTH: FAIL
TOTAL DEBT/EQUITY RATIO: FAIL
INSIDER TRANSACTIONS: PASS
Detailed Analysis of HUMANA INC
HUM Guru Analysis
HUM Fundamental Analysis
VERTEX PHARMACEUTICALS INCORPORATED (VRTX) is a large-cap growth stock in the Biotechnology & Drugs industry. The rating according to our strategy based on Martin Zweig is 62% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Vertex Pharmaceuticals Incorporated is a global biotechnology company. The Company is focused on developing medicines that treat the underlying cause of cystic fibrosis (CF). Its pipeline includes mid- and late-stage clinical programs in sickle cell disease, beta thalassemia, acute and neuropathic pain, APOL1-mediated kidney disease, type 1 diabetes, and alpha-1 antitrypsin deficiency, and earlier-stage programs in diseases such as muscular dystrophies. Its marketed medicines are TRIKAFTA/KAFTRIO (elexacaftor/tezacaftor/ivacaftor and ivacaftor), SYMDEKO/SYMKEVI (tezacaftor/ivacaftor and ivacaftor), ORKAMBI (lumacaftor/ivacaftor) and KALYDECO (ivacaftor). The Company has a pipeline of investigational small molecule, cell and genetic therapies in other serious diseases where it has deep insight into causal human biology, including sickle cell disease, beta thalassemia, APOL1-mediated kidney disease, pain, type 1 diabetes, alpha-1 antitrypsin deficiency and Duchenne muscular dystrophy.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E RATIO: PASS
REVENUE GROWTH IN RELATION TO EPS GROWTH: FAIL
SALES GROWTH RATE: PASS
CURRENT QUARTER EARNINGS: PASS
QUARTERLY EARNINGS ONE YEAR AGO: PASS
POSITIVE EARNINGS GROWTH RATE FOR CURRENT QUARTER: PASS
EARNINGS GROWTH RATE FOR THE PAST SEVERAL QUARTERS: FAIL
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN PRIOR 3 QUARTERS: PASS
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN THE HISTORICAL GROWTH RATE: FAIL
EARNINGS PERSISTENCE: FAIL
LONG-TERM EPS GROWTH: PASS
TOTAL DEBT/EQUITY RATIO: PASS
INSIDER TRANSACTIONS: PASS
Detailed Analysis of VERTEX PHARMACEUTICALS INCORPORATED
VRTX Guru Analysis
VRTX Fundamental Analysis
CENCORA INC (COR) is a large-cap growth stock in the Major Drugs industry. The rating according to our strategy based on Martin Zweig is 62% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Cencora, Inc. is a global pharmaceutical solutions company centered on improving the lives of people and animals around the world. The Company is engaged in the delivery of pharmaceuticals, healthcare products, and solutions. It connects manufacturers, providers, pharmacies, and patients to help them navigate the healthcare system from start to finish. In addition to its core distribution services, it offers a portfolio of solutions to improve the health system's business performance, safety, and patient experience. It delivers solutions for veterinarians, livestock producers, ag-retailers, and manufacturers that make a difference in their businesses and the health of animals. Its solutions and services are designed to help every aspect of the animal health business, from supporting animal care and client experience to managing day-to-day operations. It helps pharmacies and other care providers access the full-line and specialty products they need to care for their patients.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E RATIO: PASS
REVENUE GROWTH IN RELATION TO EPS GROWTH: FAIL
SALES GROWTH RATE: PASS
CURRENT QUARTER EARNINGS: PASS
QUARTERLY EARNINGS ONE YEAR AGO: PASS
POSITIVE EARNINGS GROWTH RATE FOR CURRENT QUARTER: PASS
EARNINGS GROWTH RATE FOR THE PAST SEVERAL QUARTERS: FAIL
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN PRIOR 3 QUARTERS: PASS
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN THE HISTORICAL GROWTH RATE: FAIL
EARNINGS PERSISTENCE: FAIL
LONG-TERM EPS GROWTH: PASS
TOTAL DEBT/EQUITY RATIO: FAIL
INSIDER TRANSACTIONS: PASS
Detailed Analysis of CENCORA INC
COR Guru Analysis
COR Fundamental Analysis
ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating according to our strategy based on Martin Zweig is 62% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Abbott Laboratories is a global healthcare company. The Company's portfolio of technologies spans the spectrum of healthcare, with businesses and products in diagnostics, medical devices, nutritional and branded generic medicines. Its segments include Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. The Established Pharmaceutical Products segment is engaged in the international sales of a broad line of branded generic pharmaceutical products. The Diagnostic Products segment is engaged in the worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories, and alternate-care testing sites. The Nutritional Products segment is involved in the worldwide sales of a broad line of adult and pediatric nutritional products. The Medical Devices segment includes the worldwide sales of rhythm management, electrophysiology, heart failure, vascular, structural heart, neuromodulation, and diabetes care products.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E RATIO: PASS
REVENUE GROWTH IN RELATION TO EPS GROWTH: FAIL
SALES GROWTH RATE: PASS
CURRENT QUARTER EARNINGS: PASS
QUARTERLY EARNINGS ONE YEAR AGO: PASS
POSITIVE EARNINGS GROWTH RATE FOR CURRENT QUARTER: PASS
EARNINGS GROWTH RATE FOR THE PAST SEVERAL QUARTERS: FAIL
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN PRIOR 3 QUARTERS: PASS
EPS GROWTH FOR CURRENT QUARTER MUST BE GREATER THAN THE HISTORICAL GROWTH RATE: FAIL
EARNINGS PERSISTENCE: FAIL
LONG-TERM EPS GROWTH: PASS
TOTAL DEBT/EQUITY RATIO: PASS
INSIDER TRANSACTIONS: PASS
Detailed Analysis of ABBOTT LABORATORIES
ABT Guru Analysis
ABT Fundamental Analysis
Martin Zweig Portfolio
About Martin Zweig: During the 15 years that it was monitored, Zweig's stock recommendation newsletter returned an average of 15.9 percent per year, during which time it was ranked number one based on risk-adjusted returns by Hulbert Financial Digest. Zweig has managed both mutual and hedge funds during his career, and he's put the fortune he's compiled to some interesting uses. He has owned what Forbes reported was the most expensive apartment in New York, a $70 million penthouse that sits atop Manhattan's Pierre Hotel, and he is a collector of all sorts of pop culture and historical memorabilia -- among his purchases are the gun used by Clint Eastwood in "Dirty Harry", a stock certificate signed by Commodore Vanderbilt, and even two old-fashioned gas pumps similar to those he'd seen at a nearby gas station while growing up in Cleveland, according to published reports.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Detailed Analysis of CENCORA INC COR Guru Analysis COR Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Martin Zweig Portfolio About Martin Zweig: During the 15 years that it was monitored, Zweig's stock recommendation newsletter returned an average of 15.9 percent per year, during which time it was ranked number one based on risk-adjusted returns by Hulbert Financial Digest. In addition to its core distribution services, it offers a portfolio of solutions to improve the health system's business performance, safety, and patient experience. | Detailed Analysis of CENCORA INC COR Guru Analysis COR Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Martin Zweig Portfolio About Martin Zweig: During the 15 years that it was monitored, Zweig's stock recommendation newsletter returned an average of 15.9 percent per year, during which time it was ranked number one based on risk-adjusted returns by Hulbert Financial Digest. Detailed Analysis of NOVO NORDISK A/S (ADR) NVO Guru Analysis NVO Fundamental Analysis HUMANA INC (HUM) is a large-cap growth stock in the Healthcare Facilities industry. | Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Martin Zweig Portfolio About Martin Zweig: During the 15 years that it was monitored, Zweig's stock recommendation newsletter returned an average of 15.9 percent per year, during which time it was ranked number one based on risk-adjusted returns by Hulbert Financial Digest. Detailed Analysis of CENCORA INC COR Guru Analysis COR Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of HUMANA INC HUM Guru Analysis HUM Fundamental Analysis VERTEX PHARMACEUTICALS INCORPORATED (VRTX) is a large-cap growth stock in the Biotechnology & Drugs industry. | Detailed Analysis of CENCORA INC COR Guru Analysis COR Fundamental Analysis ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis Martin Zweig Portfolio About Martin Zweig: During the 15 years that it was monitored, Zweig's stock recommendation newsletter returned an average of 15.9 percent per year, during which time it was ranked number one based on risk-adjusted returns by Hulbert Financial Digest. The Company is also engaged in the discovery, development, manufacturing and marketing of pharmaceutical products. |
30656.0 | 2023-10-23 00:00:00 UTC | The Value Deepens for Medtech Stocks: Reversal Imminent | ABT | https://www.nasdaq.com/articles/the-value-deepens-for-medtech-stocks%3A-reversal-imminent | nan | nan | Results from Johnson & Johnson (NYSE: JNJ) and Abbott Laboratories (NYSE: ABT) foreshadow good news for MedTech investors. Both companies outperformed on the top and bottom lines, driven by broad strength in their MedTech units.
Based on procedure volume data and the outlook for procedure growth, both companies should continue producing solid results over the next few years, which goes for the industry at large. Because the MedTech stocks are beaten up with a chance of outperforming consensus estimates, and many are trading at significant or critical support levels, a reversal looks imminent for the MedTech market.
Intuitive Surgical Pulls Back on Tepid Comps Despite Business Strength
Intuitive Surgical (NASDAQ: ISRG) already reported for Q3 compared to Baxter International (NYSE: BAX), Medtronic (NYSE: MDT), and Stryker (NYSE: SYK), which are slated to report in November. Its report was tepid relative to the analysts' expectations, but that is as far as the bad news goes. The company produced 12% revenue growth and better-than-expected earnings results compounded by news favorable to the outlook.
The company’s installed base of da Vinci surgical systems grew by 13% to outpace the top-line growth. This has the company set up to accelerate growth in the coming quarters, as seen in the consensus figure for Q4.
Tepid results or not, the analysts are bullish on this stock. The 21 analysts tracked by Marketbeat have the stock pegged at a firm Moderate Buy with a price target 29% above the current action. The price target is also trending higher and may continue to do so following the Q4 release in January. Shares of ISRG trade at a high multiple, about 48X earnings, so the value is relative. High, it may be compared to the average stock, but a robust outlook for growth supports the valuation. Earnings growth is expected to accelerate to the 20% range in 2024 and sustain at a high level beyond that.
Stryker has a Low Bar to Hurdle
Stryker reports in early November and has a low bar to beat despite most analysts raising their revenue and EPS targets. The company is expected to post a sequential decline in revenue and earnings contrary to procedure trends and forecasts for competitors. Stryker will likely deliver another quarter of low-double-digit growth and further cement its dividend growth outlook. This company pays a low 1% yield but has a robust potential for distribution increases. The company pays only 30% of its earnings, has a history of annual increases, and has a solid balance sheet.
Analysts are bullish on Stryker stock and see it moving up by double-digits. The consensus of 17 is a firm and steady Moderate Buy with a price target 17% above recent action and trending higher. Aside from earnings strength, a possible catalyst is the next dividend increase, which is expected in calendar Q4.
Medtronic Offers High Yield and Deep Value
Medtronic offers a deeper and a deep-value compared to the broad market and its peers. The stock trades at a reasonable 15X earnings, with the market at a multiyear low. The takeaway is that this stock is under significant pressure despite analysts raising targets for revenue, earnings, and the stock price. As it is, the consensus figures for Q3 results expect a mere 4.5% top-line growth, far below the competition and an easy beat.
Medtronic also provides a healthy 3.8% dividend yield, the highest it has offered in years. The payout is reliably safe at 50% of earnings and includes an outlook for distribution growth. Analysts rate the stock a Hold but see it trading about 25% above the recent action. This price target is down compared to last year but has risen since hitting its low earlier in the year.
Baxter International has Nowhere to go but Up
Baxter International is in the same position as its competitors, with analysts setting a low bar for Q3 results. The biggest difference is that the analysts see this stock as deeply oversold and trading well below the lowest price target.
The low price target of $41 implies about 25% upside for the market, and the consensus figure, which has seen downward movement, implies about 50%. Baxter International reports on November 2nd along with Stryker and will likely outperform the analysts. The stock trades at the deepest value, only 12X earnings, and pays a healthy and sustainable 3.55% yield with shares near a decade low.
The article "The Value Deepens for Medtech Stocks: Reversal Imminent" originally appeared on MarketBeat.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Results from Johnson & Johnson (NYSE: JNJ) and Abbott Laboratories (NYSE: ABT) foreshadow good news for MedTech investors. The company produced 12% revenue growth and better-than-expected earnings results compounded by news favorable to the outlook. The 21 analysts tracked by Marketbeat have the stock pegged at a firm Moderate Buy with a price target 29% above the current action. | Results from Johnson & Johnson (NYSE: JNJ) and Abbott Laboratories (NYSE: ABT) foreshadow good news for MedTech investors. Based on procedure volume data and the outlook for procedure growth, both companies should continue producing solid results over the next few years, which goes for the industry at large. Intuitive Surgical Pulls Back on Tepid Comps Despite Business Strength Intuitive Surgical (NASDAQ: ISRG) already reported for Q3 compared to Baxter International (NYSE: BAX), Medtronic (NYSE: MDT), and Stryker (NYSE: SYK), which are slated to report in November. | Results from Johnson & Johnson (NYSE: JNJ) and Abbott Laboratories (NYSE: ABT) foreshadow good news for MedTech investors. Intuitive Surgical Pulls Back on Tepid Comps Despite Business Strength Intuitive Surgical (NASDAQ: ISRG) already reported for Q3 compared to Baxter International (NYSE: BAX), Medtronic (NYSE: MDT), and Stryker (NYSE: SYK), which are slated to report in November. Stryker has a Low Bar to Hurdle Stryker reports in early November and has a low bar to beat despite most analysts raising their revenue and EPS targets. | Results from Johnson & Johnson (NYSE: JNJ) and Abbott Laboratories (NYSE: ABT) foreshadow good news for MedTech investors. Based on procedure volume data and the outlook for procedure growth, both companies should continue producing solid results over the next few years, which goes for the industry at large. High, it may be compared to the average stock, but a robust outlook for growth supports the valuation. |
30657.0 | 2023-10-23 00:00:00 UTC | Here is What to Know Beyond Why Abbott Laboratories (ABT) is a Trending Stock | ABT | https://www.nasdaq.com/articles/here-is-what-to-know-beyond-why-abbott-laboratories-abt-is-a-trending-stock-0 | nan | nan | Abbott (ABT) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this maker of infant formula, medical devices and drugs have returned -1.4%, compared to the Zacks S&P 500 composite's -4% change. During this period, the Zacks Medical - Products industry, which Abbott falls in, has lost 9.5%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Revisions to Earnings Estimates
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Abbott is expected to post earnings of $1.19 per share, indicating a change of +15.5% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.1% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $4.44 points to a change of -16.9% from the prior year. Over the last 30 days, this estimate has changed +0.9%.
For the next fiscal year, the consensus earnings estimate of $4.62 indicates a change of +4.2% from what Abbott is expected to report a year ago. Over the past month, the estimate has changed +0.4%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Abbott is rated Zacks Rank #2 (Buy).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue Growth
Even though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of Abbott, the consensus sales estimate of $10.19 billion for the current quarter points to a year-over-year change of +1%. The $39.97 billion and $41.64 billion estimates for the current and next fiscal years indicate changes of -8.4% and +4.2%, respectively.
Last Reported Results and Surprise History
Abbott reported revenues of $10.14 billion in the last reported quarter, representing a year-over-year change of -2.6%. EPS of $1.14 for the same period compares with $1.15 a year ago.
Compared to the Zacks Consensus Estimate of $9.79 billion, the reported revenues represent a surprise of +3.6%. The EPS surprise was +3.64%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
Valuation
Without considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S) and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Abbott is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Abbott. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott (ABT) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Over the past month, shares of this maker of infant formula, medical devices and drugs have returned -1.4%, compared to the Zacks S&P 500 composite's -4% change. | Abbott (ABT) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. The chart below shows the evolution of the company's forward 12-month consensus EPS estimate: 12 Month EPS Projected Revenue Growth Even though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. | Abbott (ABT) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. | Abbott (ABT) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Revisions to Earnings Estimates Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. |
30658.0 | 2023-10-23 00:00:00 UTC | 5 Dividend Aristocrats Where Analysts See Capital Gains | ABT | https://www.nasdaq.com/articles/5-dividend-aristocrats-where-analysts-see-capital-gains-110 | nan | nan | To become a "Dividend Aristocrat," a dividend paying company must accomplish an incredible feat: consistently increase shareholder dividends every year for at least 20 consecutive years. Companies with this kind of track record tend to attract a lot of investor attention — and furthermore, "tracking" funds that follow the Dividend Aristocrats Index must own them. With all of this demand for shares, dividend growth stocks can sometimes become "fully priced," where there isn't much upside to analyst targets.
But we here at ETF Channel have looked through the underlying holdings of the SPDR S&P Dividend ETF (which tracks the S&P High Yield Dividend Aristocrats Index), and found these five dividend growth stocks that actually still have fairly substantial upside to the average analyst target price 12 months out. Which means, if the analysts are correct, these are five dividend growth stocks that could produce capital gains in addition to their growing dividend payments.
In the first table below, we present the five stocks. The recent share price, average analyst 12-month target price, and percentage upside to reach the analyst target are presented.
STOCK RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET
NU Skin Enterprises, Inc. (Symbol: NUS) $19.51 $27.75 42.23%
Genuine Parts Co. (Symbol: GPC) $128.63 $173.50 34.88%
Royal Gold Inc (Symbol: RGLD) $110.21 $139.00 26.12%
J.M. Smucker Co. (Symbol: SJM) $112.73 $141.36 25.40%
Abbott Laboratories (Symbol: ABT) $96.78 $120.38 24.38%
The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. To ballpark that total return potential, we have added the current yield to the analyst target price upside, in order to arrive at the 12-month total return potential:
STOCK DIVIDEND YIELD % UPSIDE TO ANALYST TARGET IMPLIED TOTAL RETURN POTENTIAL
NU Skin Enterprises, Inc. (Symbol: NUS) 8.00% 42.23% 50.23%
Genuine Parts Co. (Symbol: GPC) 2.95% 34.88% 37.83%
Royal Gold Inc (Symbol: RGLD) 1.36% 26.12% 27.48%
J.M. Smucker Co. (Symbol: SJM) 3.76% 25.40% 29.16%
Abbott Laboratories (Symbol: ABT) 2.11% 24.38% 26.49%
Another consideration with dividend growth stocks is just how much the dividend is growing. We looked up the trailing twelve months worth of dividends shareholders of each of the above five companies have collected, and then also looked up the same number for the prior trailing twelve months. This gives us a rough yardstick to see how much the dividend has grown, from one trailing twelve month period to another.
STOCK PRIOR TTM DIVIDEND TTM DIVIDEND % GROWTH
NU Skin Enterprises, Inc. (Symbol: NUS) $1.535 $1.555 1.30%
Genuine Parts Co. (Symbol: GPC) $3.5 $3.745 7.00%
Royal Gold Inc (Symbol: RGLD) $1.4 $1.5 7.14%
J.M. Smucker Co. (Symbol: SJM) $3.99 $4.12 3.26%
Abbott Laboratories (Symbol: ABT) $1.88 $2.04 8.51%
These five stocks are part of our full Dividend Aristocrats List. The average analyst target price data upon which this article was based, is courtesy of data provided by Zacks Investment Research via Quandl.com.
Get the latest Zacks research report on SJM — FREE
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Dividend Growth Stocks: 25 Aristocrats »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Smucker Co. (Symbol: SJM) $112.73 $141.36 25.40% Abbott Laboratories (Symbol: ABT) $96.78 $120.38 24.38% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Get the latest Zacks research report on SJM — FREE Get the latest Zacks research report on ABT — FREE Dividend Growth Stocks: 25 Aristocrats » Also see: NTSX Average Annual Return LCDX Insider Buying DRS Stock Predictions The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Smucker Co. (Symbol: SJM) 3.76% 25.40% 29.16% Abbott Laboratories (Symbol: ABT) 2.11% 24.38% 26.49% Another consideration with dividend growth stocks is just how much the dividend is growing. | Get the latest Zacks research report on SJM — FREE Get the latest Zacks research report on ABT — FREE Dividend Growth Stocks: 25 Aristocrats » Also see: NTSX Average Annual Return LCDX Insider Buying DRS Stock Predictions The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Smucker Co. (Symbol: SJM) $112.73 $141.36 25.40% Abbott Laboratories (Symbol: ABT) $96.78 $120.38 24.38% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Smucker Co. (Symbol: SJM) 3.76% 25.40% 29.16% Abbott Laboratories (Symbol: ABT) 2.11% 24.38% 26.49% Another consideration with dividend growth stocks is just how much the dividend is growing. | Smucker Co. (Symbol: SJM) $112.73 $141.36 25.40% Abbott Laboratories (Symbol: ABT) $96.78 $120.38 24.38% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Smucker Co. (Symbol: SJM) 3.76% 25.40% 29.16% Abbott Laboratories (Symbol: ABT) 2.11% 24.38% 26.49% Another consideration with dividend growth stocks is just how much the dividend is growing. Smucker Co. (Symbol: SJM) $3.99 $4.12 3.26% Abbott Laboratories (Symbol: ABT) $1.88 $2.04 8.51% These five stocks are part of our full Dividend Aristocrats List. | Smucker Co. (Symbol: SJM) 3.76% 25.40% 29.16% Abbott Laboratories (Symbol: ABT) 2.11% 24.38% 26.49% Another consideration with dividend growth stocks is just how much the dividend is growing. Smucker Co. (Symbol: SJM) $112.73 $141.36 25.40% Abbott Laboratories (Symbol: ABT) $96.78 $120.38 24.38% The average 12-month analyst targets are only targets for the share price however, and each of these stocks are expected to pay dividends during that holding period — so the expected total return if these stocks reach their analyst targets is actually the share price upside seen by the analysts plus the dividend yield shareholders can expect. Smucker Co. (Symbol: SJM) $3.99 $4.12 3.26% Abbott Laboratories (Symbol: ABT) $1.88 $2.04 8.51% These five stocks are part of our full Dividend Aristocrats List. |
30659.0 | 2023-10-20 00:00:00 UTC | Peter Lynch Detailed Fundamental Analysis - ABT | ABT | https://www.nasdaq.com/articles/peter-lynch-detailed-fundamental-analysis-abt-5 | nan | nan | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. The rating using this strategy is 87% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ABBOTT LABORATORIES
ABT Guru Analysis
ABT Fundamental Analysis
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About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. | Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ABBOTT LABORATORIES ABT Guru Analysis ABT Fundamental Analysis More Information on Peter Lynch Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). | Below is Validea's guru fundamental report for ABBOTT LABORATORIES (ABT). Of the 22 guru strategies we follow, ABT rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ABBOTT LABORATORIES (ABT) is a large-cap growth stock in the Medical Equipment & Supplies industry. |
30660.0 | 2023-10-20 00:00:00 UTC | Friday Sector Leaders: Healthcare, Consumer Products | ABT | https://www.nasdaq.com/articles/friday-sector-leaders%3A-healthcare-consumer-products-0 | nan | nan | Looking at the sectors faring best as of midday Friday, shares of Healthcare companies are outperforming other sectors, higher by 0.2%. Within that group, Merck & Co Inc (Symbol: MRK) and Abbott Laboratories (Symbol: ABT) are two large stocks leading the way, showing a gain of 2.8% and 2.2%, respectively. Among healthcare ETFs, one ETF following the sector is the Health Care Select Sector SPDR ETF (Symbol: XLV), which is up 0.2% on the day, and down 3.76% year-to-date. Merck & Co Inc, meanwhile, is down 5.14% year-to-date, and Abbott Laboratories, is down 9.11% year-to-date. Combined, MRK and ABT make up approximately 8.9% of the underlying holdings of XLV.
The next best performing sector is the Consumer Products sector, not showing much of a loss. Among large Consumer Products stocks, Philip Morris International Inc (Symbol: PM) and Keurig Dr Pepper Inc (Symbol: KDP) are the most notable, showing a gain of 2.5% and 1.4%, respectively. One ETF closely tracking Consumer Products stocks is the iShares U.S. Consumer Goods ETF (IYK), which is up 0.3% in midday trading, and down 7.39% on a year-to-date basis. Philip Morris International Inc, meanwhile, is down 4.38% year-to-date, and Keurig Dr Pepper Inc, is down 16.57% year-to-date. Combined, PM and KDP make up approximately 8.4% of the underlying holdings of IYK.
Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom:
Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Friday. As you can see, one sector is up on the day, while seven sectors are down.
SECTOR % CHANGE
Healthcare +0.2%
Consumer Products 0.0%
Utilities -0.2%
Services -0.3%
Industrial -0.5%
Materials -0.7%
Financial -1.1%
Technology & Communications -1.4%
Energy -1.6%
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Combined, MRK and ABT make up approximately 8.9% of the underlying holdings of XLV. Within that group, Merck & Co Inc (Symbol: MRK) and Abbott Laboratories (Symbol: ABT) are two large stocks leading the way, showing a gain of 2.8% and 2.2%, respectively. Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom: Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Friday. | Within that group, Merck & Co Inc (Symbol: MRK) and Abbott Laboratories (Symbol: ABT) are two large stocks leading the way, showing a gain of 2.8% and 2.2%, respectively. Combined, MRK and ABT make up approximately 8.9% of the underlying holdings of XLV. Among large Consumer Products stocks, Philip Morris International Inc (Symbol: PM) and Keurig Dr Pepper Inc (Symbol: KDP) are the most notable, showing a gain of 2.5% and 1.4%, respectively. | Within that group, Merck & Co Inc (Symbol: MRK) and Abbott Laboratories (Symbol: ABT) are two large stocks leading the way, showing a gain of 2.8% and 2.2%, respectively. Combined, MRK and ABT make up approximately 8.9% of the underlying holdings of XLV. Among healthcare ETFs, one ETF following the sector is the Health Care Select Sector SPDR ETF (Symbol: XLV), which is up 0.2% on the day, and down 3.76% year-to-date. | Within that group, Merck & Co Inc (Symbol: MRK) and Abbott Laboratories (Symbol: ABT) are two large stocks leading the way, showing a gain of 2.8% and 2.2%, respectively. Combined, MRK and ABT make up approximately 8.9% of the underlying holdings of XLV. Among healthcare ETFs, one ETF following the sector is the Health Care Select Sector SPDR ETF (Symbol: XLV), which is up 0.2% on the day, and down 3.76% year-to-date. |
30661.0 | 2023-10-19 00:00:00 UTC | Company News for Oct 19, 2023 | ABT | https://www.nasdaq.com/articles/company-news-for-oct-19-2023 | nan | nan | The Procter & Gamble Co.’s (PG) shares surged 2.6% after reporting first-quarter fiscal 2024 adjusted earnings per share of $1.83, surpassing the Zacks Consensus Estimate of $1.71.
Abbott Laboratories’ (ABT) shares climbed 3.7% after the company reported third-quarter 2023 adjusted earnings per share of $1.14, outpacing the Zacks Consensus Estimate of $1.10.
Shares of State Street Corp. (STT) advanced 2% after the company posted third-quarter 2023 adjusted earnings per share of $1.93, beating the Zacks Consensus Estimate of $1.77.
Shares of U.S. Bancorp (USB) tumbled 4.4% after posting third-quarter 2023 revenues of $7 billion, missing the Zacks Consensus Estimate of $7.01 billion.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows.
It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories’ (ABT) shares climbed 3.7% after the company reported third-quarter 2023 adjusted earnings per share of $1.14, outpacing the Zacks Consensus Estimate of $1.10. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report State Street Corporation (STT) : Free Stock Analysis Report U.S. Bancorp (USB) : Free Stock Analysis Report To read this article on Zacks.com click here. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. | Abbott Laboratories’ (ABT) shares climbed 3.7% after the company reported third-quarter 2023 adjusted earnings per share of $1.14, outpacing the Zacks Consensus Estimate of $1.10. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report State Street Corporation (STT) : Free Stock Analysis Report U.S. Bancorp (USB) : Free Stock Analysis Report To read this article on Zacks.com click here. Shares of State Street Corp. (STT) advanced 2% after the company posted third-quarter 2023 adjusted earnings per share of $1.93, beating the Zacks Consensus Estimate of $1.77. | Abbott Laboratories’ (ABT) shares climbed 3.7% after the company reported third-quarter 2023 adjusted earnings per share of $1.14, outpacing the Zacks Consensus Estimate of $1.10. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report State Street Corporation (STT) : Free Stock Analysis Report U.S. Bancorp (USB) : Free Stock Analysis Report To read this article on Zacks.com click here. Shares of State Street Corp. (STT) advanced 2% after the company posted third-quarter 2023 adjusted earnings per share of $1.93, beating the Zacks Consensus Estimate of $1.77. | Abbott Laboratories’ (ABT) shares climbed 3.7% after the company reported third-quarter 2023 adjusted earnings per share of $1.14, outpacing the Zacks Consensus Estimate of $1.10. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report State Street Corporation (STT) : Free Stock Analysis Report U.S. Bancorp (USB) : Free Stock Analysis Report To read this article on Zacks.com click here. The Procter & Gamble Co.’s (PG) shares surged 2.6% after reporting first-quarter fiscal 2024 adjusted earnings per share of $1.83, surpassing the Zacks Consensus Estimate of $1.71. |
30662.0 | 2023-10-19 00:00:00 UTC | See Which Of The Latest 13F Filers Holds Abbott Laboratories | ABT | https://www.nasdaq.com/articles/see-which-of-the-latest-13f-filers-holds-abbott-laboratories-6 | nan | nan | At Holdings Channel, we have reviewed the latest batch of the 20 most recent 13F filings for the 09/30/2023 reporting period, and noticed that Abbott Laboratories (Symbol: ABT) was held by 11 of these funds. When hedge fund managers appear to be thinking alike, we find it is a good idea to take a closer look.
Before we proceed, it is important to point out that 13F filings do not tell the whole story, because these funds are only required to disclose their long positions with the SEC, but are not required to disclose their short positions. A fund making a bearish bet against a stock by shorting calls, for example, might also be long some amount of stock as they trade around their overall bearish position. This long component could show up in a 13F filing and everyone might assume the fund is bullish, but this tells only part of the story because the bearish/short side of the position is not seen.
Having given that caveat, we believe that looking at groups of 13F filings can be revealing, especially when comparing one holding period to another. Below, let's take a look at the change in ABT positions, for this latest batch of 13F filers:
FUND NEW POSITION? CHANGE IN SHARE COUNT CHANGE IN MARKET VALUE ($ IN 1000'S)
Twelve Points Wealth Management LLC Existing -104 -$99
Clarity Financial LLC Existing -31,994 -$4,776
LS Investment Advisors LLC Existing UNCH -$73
Keudell Morrison Wealth Management Existing +63 -$43
Demars Financial Group LLC Existing +89 -$27
UMB Bank n.a. Existing -18,885 -$5,402
Measured Wealth Private Client Group LLC Existing -475 -$110
Gemmer Asset Management LLC Existing -5 -$34
Lesa Sroufe & Co Existing UNCH -$33
Spirit of America Management Corp NY Existing UNCH -$38
Powers Advisory Group LLC Existing +54 -$25
Aggregate Change: -51,257 -$10,660
In terms of shares owned, we count 3 of the above funds having increased existing ABT positions from 06/30/2023 to 09/30/2023, with 5 having decreased their positions. Worth noting is that 25 LLC, included in this recent batch of 13F filers, exited ABT common stock as of 09/30/2023.
Looking beyond these particular funds in this one batch of most recent filers, we tallied up the ABT share count in the aggregate among all of the funds which held ABT at the 09/30/2023 reporting period (out of the 1,029 we looked at in total). We then compared that number to the sum total of ABT shares those same funds held back at the 06/30/2023 period, to see how the aggregate share count held by hedge funds has moved for ABT. We found that between these two periods, funds increased their holdings by 505,397 shares in the aggregate, from 17,395,197 up to 17,900,594 for a share count increase of approximately 2.91%. The overall top three funds holding ABT on 09/30/2023 were:
» FUND SHARES OF ABT HELD
1. Bartlett & Co. LLC 1,087,213
2. National Bank of Canada FI 1,059,742
3. DAVENPORT & Co LLC 955,567
4-10 Find out the full Top 10 Hedge Funds Holding ABT »
We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. While looking at individual 13F filings can sometimes be misleading due to the long-only nature of the information, the sum total across groups of funds from one reporting period to another can be a lot more revealing and relevant, providing interesting stock ideas that merit further research, like Abbott Laboratories (Symbol: ABT).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | At Holdings Channel, we have reviewed the latest batch of the 20 most recent 13F filings for the 09/30/2023 reporting period, and noticed that Abbott Laboratories (Symbol: ABT) was held by 11 of these funds. While looking at individual 13F filings can sometimes be misleading due to the long-only nature of the information, the sum total across groups of funds from one reporting period to another can be a lot more revealing and relevant, providing interesting stock ideas that merit further research, like Abbott Laboratories (Symbol: ABT). Below, let's take a look at the change in ABT positions, for this latest batch of 13F filers: | At Holdings Channel, we have reviewed the latest batch of the 20 most recent 13F filings for the 09/30/2023 reporting period, and noticed that Abbott Laboratories (Symbol: ABT) was held by 11 of these funds. Existing -18,885 -$5,402 Measured Wealth Private Client Group LLC Existing -475 -$110 Gemmer Asset Management LLC Existing -5 -$34 Lesa Sroufe & Co Existing UNCH -$33 Spirit of America Management Corp NY Existing UNCH -$38 Powers Advisory Group LLC Existing +54 -$25 Aggregate Change: -51,257 -$10,660 In terms of shares owned, we count 3 of the above funds having increased existing ABT positions from 06/30/2023 to 09/30/2023, with 5 having decreased their positions. Below, let's take a look at the change in ABT positions, for this latest batch of 13F filers: | Existing -18,885 -$5,402 Measured Wealth Private Client Group LLC Existing -475 -$110 Gemmer Asset Management LLC Existing -5 -$34 Lesa Sroufe & Co Existing UNCH -$33 Spirit of America Management Corp NY Existing UNCH -$38 Powers Advisory Group LLC Existing +54 -$25 Aggregate Change: -51,257 -$10,660 In terms of shares owned, we count 3 of the above funds having increased existing ABT positions from 06/30/2023 to 09/30/2023, with 5 having decreased their positions. DAVENPORT & Co LLC 955,567 4-10 Find out the full Top 10 Hedge Funds Holding ABT » We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. At Holdings Channel, we have reviewed the latest batch of the 20 most recent 13F filings for the 09/30/2023 reporting period, and noticed that Abbott Laboratories (Symbol: ABT) was held by 11 of these funds. | At Holdings Channel, we have reviewed the latest batch of the 20 most recent 13F filings for the 09/30/2023 reporting period, and noticed that Abbott Laboratories (Symbol: ABT) was held by 11 of these funds. Looking beyond these particular funds in this one batch of most recent filers, we tallied up the ABT share count in the aggregate among all of the funds which held ABT at the 09/30/2023 reporting period (out of the 1,029 we looked at in total). DAVENPORT & Co LLC 955,567 4-10 Find out the full Top 10 Hedge Funds Holding ABT » We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. |
30663.0 | 2023-10-19 00:00:00 UTC | Wells Fargo Maintains Abbott Laboratories (ABT) Overweight Recommendation | ABT | https://www.nasdaq.com/articles/wells-fargo-maintains-abbott-laboratories-abt-overweight-recommendation-1 | nan | nan | Fintel reports that on October 19, 2023, Wells Fargo maintained coverage of Abbott Laboratories (NYSE:ABT) with a Overweight recommendation.
Analyst Price Forecast Suggests 31.70% Upside
As of October 5, 2023, the average one-year price target for Abbott Laboratories is 125.86. The forecasts range from a low of 111.10 to a high of $142.80. The average price target represents an increase of 31.70% from its latest reported closing price of 95.56.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Abbott Laboratories is 39,830MM, a decrease of 0.98%. The projected annual non-GAAP EPS is 4.45.
For more in-depth coverage of Abbott Laboratories, view the free, crowd-sourced company research report on Finpedia.
Abbott Laboratories Declares $0.51 Dividend
On September 21, 2023 the company declared a regular quarterly dividend of $0.51 per share ($2.04 annualized). Shareholders of record as of October 13, 2023 will receive the payment on November 15, 2023. Previously, the company paid $0.51 per share.
At the current share price of $95.56 / share, the stock's dividend yield is 2.13%.
Looking back five years and taking a sample every week, the average dividend yield has been 1.63%, the lowest has been 1.26%, and the highest has been 2.29%. The standard deviation of yields is 0.21 (n=236).
The current dividend yield is 2.45 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.69. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 3861 funds or institutions reporting positions in Abbott Laboratories. This is a decrease of 27 owner(s) or 0.69% in the last quarter. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. Total shares owned by institutions increased in the last three months by 0.14% to 1,496,941K shares.
The put/call ratio of ABT is 0.73, indicating a bullish outlook.
What are Other Shareholders Doing?
Capital Research Global Investors holds 77,225K shares representing 4.45% ownership of the company. In it's prior filing, the firm reported owning 76,405K shares, representing an increase of 1.06%. The firm increased its portfolio allocation in ABT by 2.18% over the last quarter.
Capital International Investors holds 59,179K shares representing 3.41% ownership of the company. In it's prior filing, the firm reported owning 56,431K shares, representing an increase of 4.64%. The firm increased its portfolio allocation in ABT by 5.90% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 54,213K shares representing 3.12% ownership of the company. In it's prior filing, the firm reported owning 53,806K shares, representing an increase of 0.75%. The firm increased its portfolio allocation in ABT by 0.09% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 41,404K shares representing 2.39% ownership of the company. In it's prior filing, the firm reported owning 40,685K shares, representing an increase of 1.74%. The firm decreased its portfolio allocation in ABT by 0.76% over the last quarter.
Geode Capital Management holds 31,879K shares representing 1.84% ownership of the company. In it's prior filing, the firm reported owning 31,197K shares, representing an increase of 2.14%. The firm decreased its portfolio allocation in ABT by 0.49% over the last quarter.
Abbott Laboratories Background Information
(This description is provided by the company.)
Abbott is a global healthcare leader that helps people live more fully at all stages of life. Its portfolio of life-changing technologies spans the spectrum of healthcare, with leading businesses and products in diagnostics, medical devices, nutritionals and branded generic medicines. Our 109,000 colleagues serve people in more than 160 countries.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
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This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Fintel reports that on October 19, 2023, Wells Fargo maintained coverage of Abbott Laboratories (NYSE:ABT) with a Overweight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Wells Fargo maintained coverage of Abbott Laboratories (NYSE:ABT) with a Overweight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Wells Fargo maintained coverage of Abbott Laboratories (NYSE:ABT) with a Overweight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Wells Fargo maintained coverage of Abbott Laboratories (NYSE:ABT) with a Overweight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. |
30664.0 | 2023-10-19 00:00:00 UTC | 7 Blue-Chip Stocks to Buy on the Dip | ABT | https://www.nasdaq.com/articles/7-blue-chip-stocks-to-buy-on-the-dip-0 | nan | nan | InvestorPlace - Stock Market News, Stock Advice & Trading Tips
While there are many ways to position yourself in the market during this ambiguous juncture, one of the most straightforward approaches involves targeting blue-chip stocks to buy on the dip. By definition, blue chips represent industry stalwarts with strong financial backbones. As well, they’re typically household names.
Fundamentally, the advantage of blue-chip stocks to buy on the dip centers on trust. Unlike unproven, speculative ventures, investors enjoy a measure of confidence that the red ink will eventually turn to black. To be 100% clear, no guarantees exist. However, because these giants leverage long histories, it’s more than likely they’ll weather the present storm.
Second, blue chips benefit from the presence of strong backers. With institutions and various investment and retirement funds often tied to these stalwarts, the pressure is on for the underlying leadership teams to do what’s best for shareholders. In a way, these entities are forced to have your back. And on that note, below are blue-chip stocks to buy on the dip.
Nike (NKE)
Source: mimohe / Shutterstock.com
Faced with stubbornly high inflation and weak consumer sentiment relative to pre-pandemic norms, Nike (NYSE:NKE) seems a risky enterprise. Yes, retail revenge was a thing back during the worst of the pandemic. However, revenge travel has taken over much of the allocation of discretionary spending. And even this segment may be facing significant headwinds.
So, given the broader context, it’s not surprising to see encounter volatility this year. Since the January opener, NKE fell nearly 13%. Further, an Axios report in August noted that piled-up inventory for the athletic apparel manufacturer added to the downcast sentiment. Still, it’s important to look at the bigger picture.
For me, that bigger picture is the gross margin. This metric is stable at around 43% to 44%, which roughly matches historical norms. So, Nike isn’t hurting profitability to boost revenue. Therefore, it’s one of the blue-chip stocks to buy on the dip that you can trust. Analysts peg NKE as a consensus moderate buy with a $118.25 target, implying 14% upside.
Qualcomm (QCOM)
Source: Akshdeep Kaur Raked / Shutterstock.com
A multinational technology giant, Qualcomm (NASDAQ:QCOM) specializes in semiconductors, software and services tied to wireless innovations. On paper, it should be one of the most relevant enterprises and it is just that. However, the influx of options trades with expiration dates of April 2022 through December of this year may have pushed down QCOM shares.
Specifically, Fintel’s options flow screener – which targets big block transactions likely made by institutions – shows the average strike price of the highest-volume options tend lower over the aforementioned time period. However, for options expiring March 2024 to January 2025, the strike price range appears to rise, implying gradual sentiment recovery.
Also, let’s look at the financials. Presently, QCOM trades at 12.02x forward earnings. In contrast, the sector median stands at a loftier 20.5x. Therefore, it’s a candidate for blue-chip stocks to buy on the dip. Analysts rate QCOM a moderate buy with a $135.35 target, implying 22% growth.
Abbott Laboratories (ABT)
Source: Sundry Photography/Shutterstock.com
A medical devices and healthcare company, Abbott Laboratories (NYSE:ABT) primarily focuses on diagnostics, branded generic medicines and nutritional products. While it offers myriad relevancies, the market has been unkind to ABT. Since the beginning of the year, ABT surrendered almost 13% of equity value. Still, the narrative may be shifting, making Abbott one of the possible blue-chip stocks to buy on the dip.
Just recently, Barron’s reported that the company posted third-quarter earnings of $1.14 a share on revenue of $10.1 billion. In contrast, analysts expected Abbott to post earnings per share of $1.10. Also, the healthcare giant beat the revenue consensus of $9.82 billion. And while revenue declined slightly on a year-over-year basis, sales in the nutrition, established pharmaceuticals and medical-device segments all increased.
Also, it didn’t hurt that management narrowed its EPS guidance for 2023 to $4.42 to $4.46. As well, the midpoint ($4.44) represented a lift from the midpoint guidance disclosed in Q2 of $4.40. Analysts peg ABT a moderate buy with a $120.10 target, implying almost 26% upside potential.
Disney (DIS)
Source: Shutterstock
A powerhouse in the entertainment industry, Disney (NYSE:DIS) offers plenty of long-term intrigue. But in the near term, it’s testing investors’ patience. Since the beginning of the year, DIS fell almost 5%. In the past 365 days, shares slipped more than 14%. After flying higher from late 2020 to September 2021 (almost mirroring cryptocurrency sentiment), Disney has conspicuously lost its touch.
Still, it might make a case for blue-chip stocks to buy on the dip. For one thing, Disney secured a new distribution agreement with Charter Communications (NASDAQ:CHTR), resolving an ugly dispute. Second, the Magic Kingdom, while suffering from various headwinds against its business units, still levers a considerable entertainment library. With a few tweaks, it could potentially win back audiences.
And that’s really the driving force here. Disney is a great company that has lost its way. Doubling down on what works and axing what doesn’t should help the brand considerably. Overall, analysts rate DIS a moderate buy with a $106.67 target, implying 26% growth.
Estee Lauder (EL)
Source: Sorbis / Shutterstock.com
A powerhouse in the beauty care industry, Estee Lauder (NYSE:EL) seemingly should be rising higher above the muck. After all, with Covid-19 fears plunging, people are ready to reclaim their normal lives. And that involves personal care products. However, EL has become arguably the riskiest idea on this list of blue-chip stocks to buy on the dip. You must exercise caution here.
Since the start of the year, EL dropped over 45% of equity value, which is startling. What’s worse, the implosion isn’t exactly unjustified. In August, The Wall Street Journal reported that EL fell after a disappointing profit forecast. Nevertheless, as the last vestiges of pandemic realities fade – including the supposedly permanent shift to remote operations – Estee Lauder may benefit from increased demand.
To be fair, EL isn’t the easiest gamble because of its 38.2x forward earnings multiple. That’s way high compared to the sector median 15.18x. Still, it’s consistently profitable and features strong margins. Also, analysts peg EL a moderate buy with a $175.17 target, implying over 26% growth.
Anheuser-Busch (BUD)
Source: legacy1995 / Shutterstock.com
From the riskiest idea among blue-chip stocks to buy on the dip to the most controversial, Anheuser-Busch (NYSE:BUD) can’t seem to get back on consumers’ good graces. Mention its Bud Light brand and you’re quickly inundated with reminders about how “woke” the underlying company is. Still, I’m sticking with BUD to make an eventual comeback.
First of all, I don’t think there’s enough evidence to suggest that if you go woke, you go broke. For example, Molson Coors (NYSE:TAP) got a nice boost, gaining 20% so far this year. However, in the trailing month, it’s down 7%, basically matching BUD’s underperformance during the same period. Also, Nike went woke in a big way in supporting Colin Kaepernick, which in the long run didn’t really harm NKE.
And that’s probably the biggest point. In the long run, Bud Light makes cheap and tasty (though I must personally disagree) beer. During a possible downturn, BUD should wind out. Analysts rate shares a strong buy too, projecting a $69.72 price which implies 31% upside.
Nintendo (NTDOY)
Source: Rawpixel.com/Shutterstock.com
A classic favorite among video game systems, Nintendo (OTCMKTS:NTDOY) deserves some consideration for blue-chip stocks to buy on the dip. Since the beginning of the year, NTDOY slipped a bit more than 4%. That’s not the greatest de-risking, to be fair. However, in the trailing one-month period, shares gave up more than 7% of equity value. Lack of visibility – being traded in the over-the-counter market – doesn’t help matters.
Still, Nintendo makes a fundamentally compelling case at this juncture. True, the consumer economy isn’t operating at its most robust setting, if you will. Nevertheless, during a downturn, conditions can get emotionally taxing for the impacted. There will be a need for cheap entertainment and Nintendo can easily fill that gap. Plus, its family friendly profile offers greater flexibility in terms of an addressable market.
Finally, the company benefits from solid financials. In particular, its balance sheet suffers no debt, meaning that Nintendo can weather serious storms. Also, it’s consistently profitable, commanding a superior net margin of 28.2%. Thus, it should be on your radar.
On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com A medical devices and healthcare company, Abbott Laboratories (NYSE:ABT) primarily focuses on diagnostics, branded generic medicines and nutritional products. While it offers myriad relevancies, the market has been unkind to ABT. Since the beginning of the year, ABT surrendered almost 13% of equity value. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com A medical devices and healthcare company, Abbott Laboratories (NYSE:ABT) primarily focuses on diagnostics, branded generic medicines and nutritional products. While it offers myriad relevancies, the market has been unkind to ABT. Since the beginning of the year, ABT surrendered almost 13% of equity value. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com A medical devices and healthcare company, Abbott Laboratories (NYSE:ABT) primarily focuses on diagnostics, branded generic medicines and nutritional products. While it offers myriad relevancies, the market has been unkind to ABT. Since the beginning of the year, ABT surrendered almost 13% of equity value. | Abbott Laboratories (ABT) Source: Sundry Photography/Shutterstock.com A medical devices and healthcare company, Abbott Laboratories (NYSE:ABT) primarily focuses on diagnostics, branded generic medicines and nutritional products. While it offers myriad relevancies, the market has been unkind to ABT. Since the beginning of the year, ABT surrendered almost 13% of equity value. |
30665.0 | 2023-10-19 00:00:00 UTC | Morgan Stanley Maintains Abbott Laboratories (ABT) Equal-Weight Recommendation | ABT | https://www.nasdaq.com/articles/morgan-stanley-maintains-abbott-laboratories-abt-equal-weight-recommendation | nan | nan | Fintel reports that on October 19, 2023, Morgan Stanley maintained coverage of Abbott Laboratories (NYSE:ABT) with a Equal-Weight recommendation.
Analyst Price Forecast Suggests 31.70% Upside
As of October 5, 2023, the average one-year price target for Abbott Laboratories is 125.86. The forecasts range from a low of 111.10 to a high of $142.80. The average price target represents an increase of 31.70% from its latest reported closing price of 95.56.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Abbott Laboratories is 39,830MM, a decrease of 0.98%. The projected annual non-GAAP EPS is 4.45.
For more in-depth coverage of Abbott Laboratories, view the free, crowd-sourced company research report on Finpedia.
Abbott Laboratories Declares $0.51 Dividend
On September 21, 2023 the company declared a regular quarterly dividend of $0.51 per share ($2.04 annualized). Shareholders of record as of October 13, 2023 will receive the payment on November 15, 2023. Previously, the company paid $0.51 per share.
At the current share price of $95.56 / share, the stock's dividend yield is 2.13%.
Looking back five years and taking a sample every week, the average dividend yield has been 1.63%, the lowest has been 1.26%, and the highest has been 2.29%. The standard deviation of yields is 0.21 (n=236).
The current dividend yield is 2.45 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.69. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 3861 funds or institutions reporting positions in Abbott Laboratories. This is a decrease of 27 owner(s) or 0.69% in the last quarter. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. Total shares owned by institutions increased in the last three months by 0.14% to 1,496,941K shares.
The put/call ratio of ABT is 0.73, indicating a bullish outlook.
What are Other Shareholders Doing?
Capital Research Global Investors holds 77,225K shares representing 4.45% ownership of the company. In it's prior filing, the firm reported owning 76,405K shares, representing an increase of 1.06%. The firm increased its portfolio allocation in ABT by 2.18% over the last quarter.
Capital International Investors holds 59,179K shares representing 3.41% ownership of the company. In it's prior filing, the firm reported owning 56,431K shares, representing an increase of 4.64%. The firm increased its portfolio allocation in ABT by 5.90% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 54,213K shares representing 3.12% ownership of the company. In it's prior filing, the firm reported owning 53,806K shares, representing an increase of 0.75%. The firm increased its portfolio allocation in ABT by 0.09% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 41,404K shares representing 2.39% ownership of the company. In it's prior filing, the firm reported owning 40,685K shares, representing an increase of 1.74%. The firm decreased its portfolio allocation in ABT by 0.76% over the last quarter.
Geode Capital Management holds 31,879K shares representing 1.84% ownership of the company. In it's prior filing, the firm reported owning 31,197K shares, representing an increase of 2.14%. The firm decreased its portfolio allocation in ABT by 0.49% over the last quarter.
Abbott Laboratories Background Information
(This description is provided by the company.)
Abbott is a global healthcare leader that helps people live more fully at all stages of life. Its portfolio of life-changing technologies spans the spectrum of healthcare, with leading businesses and products in diagnostics, medical devices, nutritionals and branded generic medicines. Our 109,000 colleagues serve people in more than 160 countries.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
Click to Learn More
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Fintel reports that on October 19, 2023, Morgan Stanley maintained coverage of Abbott Laboratories (NYSE:ABT) with a Equal-Weight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Morgan Stanley maintained coverage of Abbott Laboratories (NYSE:ABT) with a Equal-Weight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Morgan Stanley maintained coverage of Abbott Laboratories (NYSE:ABT) with a Equal-Weight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Morgan Stanley maintained coverage of Abbott Laboratories (NYSE:ABT) with a Equal-Weight recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. |
30666.0 | 2023-10-19 00:00:00 UTC | Raymond James Maintains Abbott Laboratories (ABT) Outperform Recommendation | ABT | https://www.nasdaq.com/articles/raymond-james-maintains-abbott-laboratories-abt-outperform-recommendation-1 | nan | nan | Fintel reports that on October 19, 2023, Raymond James maintained coverage of Abbott Laboratories (NYSE:ABT) with a Outperform recommendation.
Analyst Price Forecast Suggests 31.70% Upside
As of October 5, 2023, the average one-year price target for Abbott Laboratories is 125.86. The forecasts range from a low of 111.10 to a high of $142.80. The average price target represents an increase of 31.70% from its latest reported closing price of 95.56.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Abbott Laboratories is 39,830MM, a decrease of 0.98%. The projected annual non-GAAP EPS is 4.45.
For more in-depth coverage of Abbott Laboratories, view the free, crowd-sourced company research report on Finpedia.
Abbott Laboratories Declares $0.51 Dividend
On September 21, 2023 the company declared a regular quarterly dividend of $0.51 per share ($2.04 annualized). Shareholders of record as of October 13, 2023 will receive the payment on November 15, 2023. Previously, the company paid $0.51 per share.
At the current share price of $95.56 / share, the stock's dividend yield is 2.13%.
Looking back five years and taking a sample every week, the average dividend yield has been 1.63%, the lowest has been 1.26%, and the highest has been 2.29%. The standard deviation of yields is 0.21 (n=236).
The current dividend yield is 2.45 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.69. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 3861 funds or institutions reporting positions in Abbott Laboratories. This is a decrease of 27 owner(s) or 0.69% in the last quarter. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. Total shares owned by institutions increased in the last three months by 0.14% to 1,496,941K shares.
The put/call ratio of ABT is 0.73, indicating a bullish outlook.
What are Other Shareholders Doing?
Capital Research Global Investors holds 77,225K shares representing 4.45% ownership of the company. In it's prior filing, the firm reported owning 76,405K shares, representing an increase of 1.06%. The firm increased its portfolio allocation in ABT by 2.18% over the last quarter.
Capital International Investors holds 59,179K shares representing 3.41% ownership of the company. In it's prior filing, the firm reported owning 56,431K shares, representing an increase of 4.64%. The firm increased its portfolio allocation in ABT by 5.90% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 54,213K shares representing 3.12% ownership of the company. In it's prior filing, the firm reported owning 53,806K shares, representing an increase of 0.75%. The firm increased its portfolio allocation in ABT by 0.09% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 41,404K shares representing 2.39% ownership of the company. In it's prior filing, the firm reported owning 40,685K shares, representing an increase of 1.74%. The firm decreased its portfolio allocation in ABT by 0.76% over the last quarter.
Geode Capital Management holds 31,879K shares representing 1.84% ownership of the company. In it's prior filing, the firm reported owning 31,197K shares, representing an increase of 2.14%. The firm decreased its portfolio allocation in ABT by 0.49% over the last quarter.
Abbott Laboratories Background Information
(This description is provided by the company.)
Abbott is a global healthcare leader that helps people live more fully at all stages of life. Its portfolio of life-changing technologies spans the spectrum of healthcare, with leading businesses and products in diagnostics, medical devices, nutritionals and branded generic medicines. Our 109,000 colleagues serve people in more than 160 countries.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
Click to Learn More
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Fintel reports that on October 19, 2023, Raymond James maintained coverage of Abbott Laboratories (NYSE:ABT) with a Outperform recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Raymond James maintained coverage of Abbott Laboratories (NYSE:ABT) with a Outperform recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Raymond James maintained coverage of Abbott Laboratories (NYSE:ABT) with a Outperform recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. | Fintel reports that on October 19, 2023, Raymond James maintained coverage of Abbott Laboratories (NYSE:ABT) with a Outperform recommendation. Average portfolio weight of all funds dedicated to ABT is 0.56%, a decrease of 0.38%. The put/call ratio of ABT is 0.73, indicating a bullish outlook. |
30667.0 | 2023-10-19 00:00:00 UTC | Noteworthy Thursday Option Activity: ABT, DFS, DLR | ABT | https://www.nasdaq.com/articles/noteworthy-thursday-option-activity%3A-abt-dfs-dlr | nan | nan | Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in Abbott Laboratories (Symbol: ABT), where a total of 27,107 contracts have traded so far, representing approximately 2.7 million underlying shares. That amounts to about 45.7% of ABT's average daily trading volume over the past month of 5.9 million shares. Especially high volume was seen for the $105 strike put option expiring October 20, 2023, with 3,448 contracts trading so far today, representing approximately 344,800 underlying shares of ABT. Below is a chart showing ABT's trailing twelve month trading history, with the $105 strike highlighted in orange:
Discover Financial Services (Symbol: DFS) saw options trading volume of 10,967 contracts, representing approximately 1.1 million underlying shares or approximately 43.9% of DFS's average daily trading volume over the past month, of 2.5 million shares. Particularly high volume was seen for the $82 strike put option expiring October 20, 2023, with 875 contracts trading so far today, representing approximately 87,500 underlying shares of DFS. Below is a chart showing DFS's trailing twelve month trading history, with the $82 strike highlighted in orange:
And Digital Realty Trust Inc (Symbol: DLR) saw options trading volume of 8,018 contracts, representing approximately 801,800 underlying shares or approximately 42.5% of DLR's average daily trading volume over the past month, of 1.9 million shares. Especially high volume was seen for the $110 strike put option expiring December 15, 2023, with 3,930 contracts trading so far today, representing approximately 393,000 underlying shares of DLR. Below is a chart showing DLR's trailing twelve month trading history, with the $110 strike highlighted in orange:
For the various different available expirations for ABT options, DFS options, or DLR options, visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
Also see:
Hedge Fund Activity Among Individual Components
Top Ten Hedge Funds Holding TUZ
CGIX Historical Stock Prices
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Especially high volume was seen for the $105 strike put option expiring October 20, 2023, with 3,448 contracts trading so far today, representing approximately 344,800 underlying shares of ABT. Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in Abbott Laboratories (Symbol: ABT), where a total of 27,107 contracts have traded so far, representing approximately 2.7 million underlying shares. That amounts to about 45.7% of ABT's average daily trading volume over the past month of 5.9 million shares. | Especially high volume was seen for the $105 strike put option expiring October 20, 2023, with 3,448 contracts trading so far today, representing approximately 344,800 underlying shares of ABT. Below is a chart showing ABT's trailing twelve month trading history, with the $105 strike highlighted in orange: Discover Financial Services (Symbol: DFS) saw options trading volume of 10,967 contracts, representing approximately 1.1 million underlying shares or approximately 43.9% of DFS's average daily trading volume over the past month, of 2.5 million shares. Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in Abbott Laboratories (Symbol: ABT), where a total of 27,107 contracts have traded so far, representing approximately 2.7 million underlying shares. | Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in Abbott Laboratories (Symbol: ABT), where a total of 27,107 contracts have traded so far, representing approximately 2.7 million underlying shares. Below is a chart showing ABT's trailing twelve month trading history, with the $105 strike highlighted in orange: Discover Financial Services (Symbol: DFS) saw options trading volume of 10,967 contracts, representing approximately 1.1 million underlying shares or approximately 43.9% of DFS's average daily trading volume over the past month, of 2.5 million shares. That amounts to about 45.7% of ABT's average daily trading volume over the past month of 5.9 million shares. | Below is a chart showing ABT's trailing twelve month trading history, with the $105 strike highlighted in orange: Discover Financial Services (Symbol: DFS) saw options trading volume of 10,967 contracts, representing approximately 1.1 million underlying shares or approximately 43.9% of DFS's average daily trading volume over the past month, of 2.5 million shares. Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in Abbott Laboratories (Symbol: ABT), where a total of 27,107 contracts have traded so far, representing approximately 2.7 million underlying shares. That amounts to about 45.7% of ABT's average daily trading volume over the past month of 5.9 million shares. |
30668.0 | 2023-10-18 00:00:00 UTC | Abbott (ABT) Q3 Earnings and Revenues Surpass, Margins Dip | ABT | https://www.nasdaq.com/articles/abbott-abt-q3-earnings-and-revenues-surpass-margins-dip | nan | nan | Abbott Laboratories ABT reported third-quarter 2023 adjusted earnings of $1.14 per share, which topped the Zacks Consensus Estimate by 3.6%. However, the adjusted figure declined from the prior-year quarter’s levels by 0.9%. The quarter’s adjustments include 32 cents of certain non-recurring items.
GAAP EPS came in at 82 cents, which increased 1.2% year over year.
Third-quarter worldwide sales of $10.14 billion were down 2.6% year over year on a reported basis. The top line exceeded the Zacks Consensus Estimate by 3.6%.
On an organic basis (excluding the impact of foreign exchange, the Cardiovascular Systems acquisition, the impact of the business exit and the impact of COVID-19 testing sales), sales rose 13.8% year over year in the reported quarter.
Q3 Results in Detail
Abbott operates through four segments — Established Pharmaceuticals, Medical Devices, Nutrition and Diagnostics.
In the third quarter, Established Pharmaceuticals’ product sales increased 3.2% on a reported basis (up 11.1% on an organic basis) to $1.37 billion. This figure compares with our model’s segmental projection of $1.21 billion for the third quarter.
Organic sales in key emerging markets improved 8.8% year over year. This was led by growth in several geographies and therapeutic areas, including cardiometabolic, women's health and central nervous system/pain management.
Abbott Laboratories Price, Consensus and EPS Surprise
Abbott Laboratories price-consensus-eps-surprise-chart | Abbott Laboratories Quote
The Medical Devices segment’s sales rose 16.6% year over year on a reported basis (up 14.7% on an organic basis) to $4.25 billion. This figure exceeded our segmental projection of $3.77 billion for the third quarter.
Sales growth was led by double-digit organic growth in Diabetes Care, Electrophysiology, Structural Heart and Neuromodulation. Several recently launched products and new indications contributed to the strong performance, including Amplatzer Amulet, Navitor, TriClip and AVEIR.
The Diabetes Care division reported organic sales growth of 24.5% year over year, led by FreeStyle Libre, which contributed $1.4 billion to revenues in the reported quarter. Structural Heart sales rose 15.3%, and Heart Failure sales improved 10.9% year over year organically.
The Vascular division recorded organic sales growth of 3.9% in the quarter under review. The Electrophysiology, Rhythm Management and Neuromodulation divisions recorded organic growth of 14.1%, 6% and 15.5%, respectively, in the quarter under review.
Nutrition sales rose 15.5% year over year on a reported basis (up 18.1% on an organic basis) to $2.07 billion. This figure compares with our segmental projection of $1.85 billion for the third quarter.
Pediatric Nutrition sales registered 24.9% growth on an organic basis. Adult Nutrition sales improved 12.4% organically. Per the company, Adult Nutrition sales benefited from the strong global sales performance of Abbott's market-leading complete and balanced nutrition brand, Ensure.
Diagnostics sales were down 32.7% year over year on a reported basis (down 31.9% on an organic basis) to $2.45 billion. The segment also missed our model’s projected revenues of $2.89 billion for the third quarter.
Core Laboratory Diagnostics sales were up 9.7% organically. Molecular Diagnostics declined 27.8% on an organic basis. Rapid Diagnostics sales dropped 58.9% on an organic basis, whereas Point of Care Diagnostics sales rose 9.8% organically.
Margins
In the reported quarter, the gross profit fell 4.2% year over year to $5.54 billion. The gross margin contracted 93 basis points (bps) to 54.6%.
SG&A expenses were down 0.3% year over year to $2.72 billion. R&D expenses decreased 14.1% year over year to $672 million. The company reported an adjusted operating profit of $2.14 billion in the quarter under review, down 5.5% year over year. Also, the adjusted operating margin contracted 66 bps to 21.1%.
2023 Guidance
Abbott provided updated guidance for the full year 2023.
Full-year adjusted earnings (excluding specified items of $1.28 per share) are expected in the range of $4.42-$4.46 (previously $4.30-$4.40). The Zacks Consensus Estimate is pegged at $4.40.
Abbott projects full-year 2023 organic sales growth, excluding COVID-19 testing-related sales, in the low double digits (unchanged from the previous outlook) and COVID-19 testing-related sales of around $1.5 billion (earlier $1.3 billion).
Our Take
Abbott delivered better-than-expected earnings and revenues for the third quarter of 2023. However, the figures declined on a year-over-year basis.
On a positive note, broad-based growth witnessed in the underlying base business is highly appreciating. Last month, the company acquired Bigfoot Biomedical, a leader in developing insulin management systems, which is expected to advance Abbott's efforts to develop connected solutions for making diabetes management even more personal and precise.
Within Medical Devices, the company delivered double-digit organic growth in Diabetes Care, Electrophysiology, Structural Heart and Neuromodulation in the reported quarter. Earlier in July, Abbott obtained the CE Mark for its AVEIR single-chamber leadless pacemaker for treating patients with slow heart rhythms.
Meanwhile, declines in COVID-19 testing-related sales continue to adversely affect Diagnostics sales growth, which adds to our concern. Escalating costs and expenses are putting pressure on margins.
Zacks Rank and Key Picks
Abbott currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Cardinal Health CAH, Insulet PODD and HealthEquity HQY.
Cardinal Health, carrying a Zacks Rank #2 (Buy), reported a fourth-quarter fiscal 2023 adjusted EPS of $1.55, beating the Zacks Consensus Estimate by 4.7%. Revenues of $53.5 billion outpaced the consensus estimate by 2%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cardinal Health has an estimated long-term earnings growth rate of 14.3% compared with the industry’s 12.8% growth. CAH’s earnings surpassed estimates in all the trailing four quarters, the average being 16.03%.
Insulet, carrying a Zacks Rank #2, reported a second-quarter 2023 adjusted EPS of 38 cents, which beat the Zacks Consensus Estimate by 58.3%. Revenues of $396.5 million outpaced the consensus estimate by 3.3%.
Insulet has an estimated long-term earnings growth rate of 35.7% compared with the industry’s 13.8% growth. PODD’s earnings surpassed estimates in all the trailing four quarters, the average being 126.9%.
HealthEquity reported second-quarter 2023 adjusted earnings of 53 cents, which beat the Zacks Consensus Estimate by 12.8%. Revenues of $243.5 million surpassed the Zacks Consensus Estimate by 1.9%. It currently has a Zacks Rank #2.
HealthEquity has an estimated long-term earnings growth rate of 23.5% compared with the industry’s 13.4% growth. HQY’s earnings surpassed estimates in all the trailing four quarters, the average surprise being 13.03%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories ABT reported third-quarter 2023 adjusted earnings of $1.14 per share, which topped the Zacks Consensus Estimate by 3.6%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. Within Medical Devices, the company delivered double-digit organic growth in Diabetes Care, Electrophysiology, Structural Heart and Neuromodulation in the reported quarter. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT reported third-quarter 2023 adjusted earnings of $1.14 per share, which topped the Zacks Consensus Estimate by 3.6%. Abbott Laboratories Price, Consensus and EPS Surprise Abbott Laboratories price-consensus-eps-surprise-chart | Abbott Laboratories Quote The Medical Devices segment’s sales rose 16.6% year over year on a reported basis (up 14.7% on an organic basis) to $4.25 billion. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT reported third-quarter 2023 adjusted earnings of $1.14 per share, which topped the Zacks Consensus Estimate by 3.6%. Abbott Laboratories Price, Consensus and EPS Surprise Abbott Laboratories price-consensus-eps-surprise-chart | Abbott Laboratories Quote The Medical Devices segment’s sales rose 16.6% year over year on a reported basis (up 14.7% on an organic basis) to $4.25 billion. | Abbott Laboratories ABT reported third-quarter 2023 adjusted earnings of $1.14 per share, which topped the Zacks Consensus Estimate by 3.6%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report HealthEquity, Inc. (HQY) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories Price, Consensus and EPS Surprise Abbott Laboratories price-consensus-eps-surprise-chart | Abbott Laboratories Quote The Medical Devices segment’s sales rose 16.6% year over year on a reported basis (up 14.7% on an organic basis) to $4.25 billion. |
30669.0 | 2023-10-18 00:00:00 UTC | Geopolitical Conflicts in Middle-East in Focus | ABT | https://www.nasdaq.com/articles/geopolitical-conflicts-in-middle-east-in-focus | nan | nan | U.S. stock futures are trading lower as the geopolitical conflicts between Israel and Palestine-based terrorist group Hamas heightened. President Joe Biden has reached Israel. However, his planned meeting with Arab leaders has been canceled by Jordan following the allegation that Israel bombed a hospital in Gaza Strip.
Following the news, the price of crude oil increased nearly 1.3%. Higher crude oil prices will make the task harder for the Fed to combat elevated inflation. Rising crude oil prices will likely to result in higher transportation costs, raising the general price level.
Procter & Gamble Co. PG came out with quarterly earnings of $1.83 per share, beating the Zacks Consensus Estimate of $1.71 per share. The company posted revenues of $21.87 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 1.03%.
Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. The company posted revenues of $10.14 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 3.60%.
Morgan Stanley’s MS third-quarter 2023 earnings of $1.38 per share handily surpassed the Zacks Consensus Estimate of $1.27. Net revenues came in at $13.27 billion, up 2% from the prior-year quarter. The top line also beat the Zacks Consensus Estimate of $13.08 billion.
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With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. U.S. stock futures are trading lower as the geopolitical conflicts between Israel and Palestine-based terrorist group Hamas heightened. | Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. The company posted revenues of $21.87 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 1.03%. | Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. Procter & Gamble Co. PG came out with quarterly earnings of $1.83 per share, beating the Zacks Consensus Estimate of $1.71 per share. | Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. The company posted revenues of $21.87 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 1.03%. |
30670.0 | 2023-10-18 00:00:00 UTC | Health Care Sector Update for 10/18/2023: ABT, ARDX, TNGX, XLV, IBB | ABT | https://www.nasdaq.com/articles/health-care-sector-update-for-10-18-2023%3A-abt-ardx-tngx-xlv-ibb | nan | nan | Health care stocks were steady premarket Wednesday with the iShares Biotechnology ETF (IBB) inactive and the Health Care Select Sector SPDR Fund (XLV) marginally higher.
Abbott Laboratories (ABT) was climbing almost 3% after it reported Q3 adjusted earnings of $1.14 per diluted share, down from $1.15 a year earlier but still beating the $1.10 forecast from analysts polled by Capital IQ.
Ardelyx (ARDX) was gaining nearly 13% in value after the US Food and Drug Administration approved Xphozah as an add-on therapy to reduce serum phosphorus in adults with chronic kidney disease on dialysis who have an inadequate response to phosphate binders or who are intolerant of any dose of phosphate binder therapy.
Tango Therapeutics (TNGX) was up 7% after saying Boxer Capital executed a purchase of about 1.3 million shares of Tango common stock on Oct. 13 and 16.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT) was climbing almost 3% after it reported Q3 adjusted earnings of $1.14 per diluted share, down from $1.15 a year earlier but still beating the $1.10 forecast from analysts polled by Capital IQ. Health care stocks were steady premarket Wednesday with the iShares Biotechnology ETF (IBB) inactive and the Health Care Select Sector SPDR Fund (XLV) marginally higher. Ardelyx (ARDX) was gaining nearly 13% in value after the US Food and Drug Administration approved Xphozah as an add-on therapy to reduce serum phosphorus in adults with chronic kidney disease on dialysis who have an inadequate response to phosphate binders or who are intolerant of any dose of phosphate binder therapy. | Abbott Laboratories (ABT) was climbing almost 3% after it reported Q3 adjusted earnings of $1.14 per diluted share, down from $1.15 a year earlier but still beating the $1.10 forecast from analysts polled by Capital IQ. Health care stocks were steady premarket Wednesday with the iShares Biotechnology ETF (IBB) inactive and the Health Care Select Sector SPDR Fund (XLV) marginally higher. Ardelyx (ARDX) was gaining nearly 13% in value after the US Food and Drug Administration approved Xphozah as an add-on therapy to reduce serum phosphorus in adults with chronic kidney disease on dialysis who have an inadequate response to phosphate binders or who are intolerant of any dose of phosphate binder therapy. | Abbott Laboratories (ABT) was climbing almost 3% after it reported Q3 adjusted earnings of $1.14 per diluted share, down from $1.15 a year earlier but still beating the $1.10 forecast from analysts polled by Capital IQ. Health care stocks were steady premarket Wednesday with the iShares Biotechnology ETF (IBB) inactive and the Health Care Select Sector SPDR Fund (XLV) marginally higher. Ardelyx (ARDX) was gaining nearly 13% in value after the US Food and Drug Administration approved Xphozah as an add-on therapy to reduce serum phosphorus in adults with chronic kidney disease on dialysis who have an inadequate response to phosphate binders or who are intolerant of any dose of phosphate binder therapy. | Abbott Laboratories (ABT) was climbing almost 3% after it reported Q3 adjusted earnings of $1.14 per diluted share, down from $1.15 a year earlier but still beating the $1.10 forecast from analysts polled by Capital IQ. Health care stocks were steady premarket Wednesday with the iShares Biotechnology ETF (IBB) inactive and the Health Care Select Sector SPDR Fund (XLV) marginally higher. Ardelyx (ARDX) was gaining nearly 13% in value after the US Food and Drug Administration approved Xphozah as an add-on therapy to reduce serum phosphorus in adults with chronic kidney disease on dialysis who have an inadequate response to phosphate binders or who are intolerant of any dose of phosphate binder therapy. |
30671.0 | 2023-10-18 00:00:00 UTC | Abbott (ABT) Reports Q3 Earnings: What Key Metrics Have to Say | ABT | https://www.nasdaq.com/articles/abbott-abt-reports-q3-earnings%3A-what-key-metrics-have-to-say | nan | nan | Abbott (ABT) reported $10.14 billion in revenue for the quarter ended September 2023, representing a year-over-year decline of 2.6%. EPS of $1.14 for the same period compares to $1.15 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $9.79 billion, representing a surprise of +3.60%. The company delivered an EPS surprise of +3.64%, with the consensus EPS estimate being $1.10.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Abbott performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net sales- Diagnostics- U.S. $1.01 billion compared to the $1.01 billion average estimate based on four analysts. The reported number represents a change of -41.8% year over year.
Net sales- Diagnostics- International: $1.44 billion versus the four-analyst average estimate of $1.40 billion. The reported number represents a year-over-year change of -25.6%.
Net sales- Nutrition- International: $1.21 billion versus $1.14 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +9.4% change.
Net sales- Nutrition- U.S. $860 million versus the four-analyst average estimate of $835.27 million. The reported number represents a year-over-year change of +25.4%.
Net sales- Medical Devices- Rhythm Management- Total: $563 million versus $563.16 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +5.6% change.
Net sales- Medical Devices- Diabetes Care: $1.47 billion versus the four-analyst average estimate of $1.36 billion. The reported number represents a year-over-year change of +26.1%.
Net sales- Established Pharmaceuticals: $1.37 billion versus the four-analyst average estimate of $1.35 billion. The reported number represents a year-over-year change of +3.2%.
Net sales- Diagnostics: $2.45 billion versus the four-analyst average estimate of $2.41 billion. The reported number represents a year-over-year change of -33.3%.
Net sales- Nutrition: $2.07 billion compared to the $1.97 billion average estimate based on four analysts. The reported number represents a change of +15.5% year over year.
Net sales- Medical Devices- Vascular- Total: $672 million versus the four-analyst average estimate of $683.25 million. The reported number represents a year-over-year change of +10.9%.
Net sales- Medical Devices- Neuromodulation- Total: $227 million compared to the $204.55 million average estimate based on four analysts. The reported number represents a change of +18.2% year over year.
Net sales- Medical Devices- Structural Heart- Total: $487 million compared to the $480.29 million average estimate based on four analysts. The reported number represents a change of +16% year over year.
View all Key Company Metrics for Abbott here>>>
Shares of Abbott have returned -8.5% over the past month versus the Zacks S&P 500 composite's -1.6% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott (ABT) reported $10.14 billion in revenue for the quarter ended September 2023, representing a year-over-year decline of 2.6%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. | Abbott (ABT) reported $10.14 billion in revenue for the quarter ended September 2023, representing a year-over-year decline of 2.6%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Here is how Abbott performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Net sales- Diagnostics- U.S. $1.01 billion compared to the $1.01 billion average estimate based on four analysts. | Abbott (ABT) reported $10.14 billion in revenue for the quarter ended September 2023, representing a year-over-year decline of 2.6%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Here is how Abbott performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Net sales- Diagnostics- U.S. $1.01 billion compared to the $1.01 billion average estimate based on four analysts. | Abbott (ABT) reported $10.14 billion in revenue for the quarter ended September 2023, representing a year-over-year decline of 2.6%. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. The reported revenue compares to the Zacks Consensus Estimate of $9.79 billion, representing a surprise of +3.60%. |
30672.0 | 2023-10-18 00:00:00 UTC | Pre-Markets in Red on Mid-East Concerns, Q3 Earnings in Focus | ABT | https://www.nasdaq.com/articles/pre-markets-in-red-on-mid-east-concerns-q3-earnings-in-focus | nan | nan | U.S. stock futures are trading lower as the geopolitical conflicts between Israel and Palestine-based terrorist group Hamas heightened. President Joe Biden has reached Israel. However, his planned meeting with Arab leaders has been canceled by Jordan following the allegation that Israel bombed a hospital in Gaza Strip.
Following the news, the price of crude oil increased nearly 1.3%. Higher crude oil prices will make the task harder for the Fed to combat elevated inflation. Rising crude oil prices will likely to result in higher transportation costs, raising the general price level.
Procter & Gamble Co. PG came out with quarterly earnings of $1.83 per share, beating the Zacks Consensus Estimate of $1.71 per share. The company posted revenues of $21.87 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 1.03%.
Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. The company posted revenues of $10.14 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 3.60%.
Morgan Stanley’s MS third-quarter 2023 earnings of $1.38 per share handily surpassed the Zacks Consensus Estimate of $1.27. Net revenues came in at $13.27 billion, up 2% from the prior-year quarter. The top line also beat the Zacks Consensus Estimate of $13.08 billion.
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. U.S. stock futures are trading lower as the geopolitical conflicts between Israel and Palestine-based terrorist group Hamas heightened. | Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. The company posted revenues of $21.87 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 1.03%. | Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. Procter & Gamble Co. PG came out with quarterly earnings of $1.83 per share, beating the Zacks Consensus Estimate of $1.71 per share. | Abbott Laboratories ABT came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.10 per share. Click to get this free report Morgan Stanley (MS) : Free Stock Analysis Report Abbott Laboratories (ABT) : Free Stock Analysis Report Procter & Gamble Company (The) (PG) : Free Stock Analysis Report To read this article on Zacks.com click here. The company posted revenues of $21.87 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 1.03%. |
30673.0 | 2023-10-18 00:00:00 UTC | Oversold and Overextended, Abbott Laboratories is a Great Buy | ABT | https://www.nasdaq.com/articles/oversold-and-overextended-abbott-laboratories-is-a-great-buy | nan | nan | Abbott Laboratories (NYSE: ABT) share price has trended lower for nearly 2 years, but that trend is over. The impact of COVID on sales and the post-COVID letdown were cause enough for the market to sell, but not now; the market is oversold and overextended with normalization at hand. Normalization, a buzzword that can be applied to most industries today, means steadying sales of COVID supplies offset by core business growth and, more importantly, a return to growth for this Dividend King in 2024.
Abbott Laboratories Smokes The Estimates, No Surprise There
Abbott Laboratories had a solid quarter, with strength in all segments contributing to results. The company produced $10.14 billion in net revenue to beat the consensus estimate by 325 basis points, which is no surprise. The company tends to outperform regularly; the only question is how much, and Q3’s performance is above average for F2023.
Revenue fell by 2.5% compared to last year due to COVID-19 sales, but a much larger contraction was expected. Medical Devices led segmentally with a gain of 17.1%, followed by a 15% increase in Nutrition and a 2.3% increase in Established Pharma. Ex-COVID, all segments grew on an organic basis, and systemwide sales are up 13.8%.
The margin was also solid. The company’s adjusted and GAAP profit margin increased modestly to drive outperformance on the bottom line above what’s seen in the top-line result. The adjusted $1.14 is down less than 100 bps YOY and beat consensus by 360 basis points to reveal operational efficiency. It is great news for investors because of its impact on the dividend outlook and market sentiment.
Guidance is also favorable to investors. The company reiterated its outlook for full-year organic growth in the low-double-digits compared to Q3s 13.8%. That is compounded by narrower guidance that resulted in a higher midpoint than previously stated. The new EPS range is $4.42 to $4.46 compared to the $4.40 Marketbeat.com consensus, and it may still be cautious. The strength in sales is driven by increasing procedure volume following the pandemic slowdown, which has yet to play out.
Analysts See Highly Valued Abbott Laboratories Moving Higher
Abbott is arguably a highly-valued and overvalued stock compared to competitors like Johnson & Johnson (NYSE: JNJ), but there are differences, and Abbott is worth every penny. The primary difference is JNJs exposure to pharmaceutical discovery, which adds an element of risk.
Regarding the value and yield combination, the 35% discount to peak prices has the valuation and yield in the best shape in years. The stock yields about 2.2% at these levels compared to 2.0% or lower over the past 2 years, and the distribution is growing. Abbott still pays less than 50% of earnings after 51 consecutive annual increases and can continue to increase for several more decades.
And the analysts are bullish on this stock. The consensus rating has been steady at Moderate Buy for years, with a price target that is down compared to last year but steady since Q2. The critical details are that consensus implied about 30% upside for the market, and the low price target of $102 implies this stock is deeply undervalued with at least a 10% upside.
The Technical Outlook: Abbott Laboratories is at the Bottom
The technical outlook favored a rebound in ABT shares going into the Q3 report, and the report provided the expected catalyst. The market is up more than 2.0% in early trading, confirming support at the critical $92.50 level. That level marks a multiyear low and puts the stock in oversold condition with diverging indicators. The divergence is small but present in the MACD histogram and indicates potential for rebound confirmed by the post-release action. Assuming the market follows through on this signal, shares of ABT should continue to rebound and may move up to the $103 to $105 region before hitting significant resistance.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Assuming the market follows through on this signal, shares of ABT should continue to rebound and may move up to the $103 to $105 region before hitting significant resistance. Abbott Laboratories (NYSE: ABT) share price has trended lower for nearly 2 years, but that trend is over. The Technical Outlook: Abbott Laboratories is at the Bottom The technical outlook favored a rebound in ABT shares going into the Q3 report, and the report provided the expected catalyst. | Abbott Laboratories (NYSE: ABT) share price has trended lower for nearly 2 years, but that trend is over. The Technical Outlook: Abbott Laboratories is at the Bottom The technical outlook favored a rebound in ABT shares going into the Q3 report, and the report provided the expected catalyst. Assuming the market follows through on this signal, shares of ABT should continue to rebound and may move up to the $103 to $105 region before hitting significant resistance. | The Technical Outlook: Abbott Laboratories is at the Bottom The technical outlook favored a rebound in ABT shares going into the Q3 report, and the report provided the expected catalyst. Abbott Laboratories (NYSE: ABT) share price has trended lower for nearly 2 years, but that trend is over. Assuming the market follows through on this signal, shares of ABT should continue to rebound and may move up to the $103 to $105 region before hitting significant resistance. | The Technical Outlook: Abbott Laboratories is at the Bottom The technical outlook favored a rebound in ABT shares going into the Q3 report, and the report provided the expected catalyst. Abbott Laboratories (NYSE: ABT) share price has trended lower for nearly 2 years, but that trend is over. Assuming the market follows through on this signal, shares of ABT should continue to rebound and may move up to the $103 to $105 region before hitting significant resistance. |
30674.0 | 2023-10-18 00:00:00 UTC | Stocks Tumble on Renewed Middle East Risks | ABT | https://www.nasdaq.com/articles/stocks-tumble-on-renewed-middle-east-risks | nan | nan | What you need to know…
The S&P 500 Index ($SPX) (SPY) today is down -0.78%, the Dow Jones Industrials Index ($DOWI) (DIA) is down -0.50%, and the Nasdaq 100 Index ($IUXX) (QQQ) is down -0.85%.
Stocks this morning are moderately lower on the risks of an escalation in the Israeli-Hamas war after an explosion at a Gaza hospital complicated diplomatic efforts to contain the conflict. After the bombing, the leaders of Jordan, Egypt, and the Palestinian Authority canceled their scheduled summits with President Biden, who landed in Israel today.
Hamas immediately blamed Israel for the explosion, but Israeli military authorities today offered evidence that the explosion was caused by an errant Hamas missile, not by Israeli aerial bombing. Also, the White House today said that the “current” U.S. intelligence assessment is that Israel was “not responsible” for the Gaza hospital blast based on “overhead imagery, intercepts and open source information.”
Airline stocks are lower after Unite Airlines Holdings warned that the Israeli-Hamas war and higher jet fuel costs would weigh on earnings. Also, Morgan Stanley is down more than -7% after reporting weaker-than-expected Q3 wealth management revenue. A jump in the 10-year T-note yield to a new 16-year high today is bearish for stocks.
Crude prices are up more than +1% at a 2-week high, which boosts energy stocks. Crude prices jumped after Iran’s foreign minister called for an oil embargo against Israel.
Today’s U.S. housing news was mixed for stocks. U.S. Sep housing starts rose by +7.0% to 1.358 million units, which was weaker than expectations for an increase to 1.383 million. However, Sep building permits fell by -4.4% to 1.473 million units, slightly stronger than expectations for a larger decline to 1.453 million units.
Weekly U.S. MBA mortgage applications fell -6.9% in the week ended Oct 13 to 166.9, the weakest reading in 28 years. The mortgage purchase sub-index fell 5.6% to its lowest level in 28 years, and the refinancing sub-index fell -9.9%. The average 30-year fixed mortgage rate rose +0.3 bp to 7.70%, the highest in 23 years.
The markets are discounting a 12% chance that the FOMC will raise the funds rate by +25 bp at the next FOMC meeting that ends on November 1, and a 48% chance for that +25 bp rate hike at the following meeting that ends on December 13. The markets are then expecting the FOMC to begin cutting rates in the second half of 2024 in response to an expected slowdown in the U.S. economy.
U.S. and European bond yields are higher. The 10-year T-note yield rose to a 16-year high of 4.923% and is up +8.5 bp at 4.919%. The 10-year German bund yield rose to a 1-1/2 week high of 2.934% and is up +3.8 bp at 2.920%. The 10-year UK gilt yield rose to a 2-week high of 4.664% and is up +13.8 bp at 4.650%.
Overseas stock markets are mixed. The Euro Stoxx 50 is down -1.19%. China’s Shanghai Composite Index closed down -0.80%. Japan’s Nikkei 225 today closed up +0.01%.
Today’s stock movers…
Albemarle (ALB) is down more than -9% to lead losers in the S&P 500 after Bank of America Global Research downgraded the stock to underperform from neutral.
Morgan Stanley (MS) is down more than -7% after reporting Q3 wealth management net revenue of $6.40 billion, below the consensus of $6.58 billion.
Airline stocks are under pressure today after United Airlines flagged a sharp profit decline should flights to and from Israel remain grounded due to the Israel-Hamas conflict. As a result, United Airlines Holdings (UAL) is down more than -8%. Also, American Airlines Group (AAL), Delta Air Lines (DAL), and Alaska Air Group (ALK) are down more than -4%.
JB Hunt Transport Services (JBHT) is down more than -8% after reporting Q3 EPS of $1.80, weaker than the consensus of $1.83.
Northern Trust (NTRS) is down more than -5% after reporting Q3 net interest income of $469.4 million, below the consensus of $473.3 million.
Lucid Group (LCID) is down more than -8% to lead losers in the Nasdaq 100 after CFRA downgraded the stock to sell from hold with a price target of $4.
Nvidia (NVDA) is down more than -3% after it warned that new U.S. rules on chip exports to China could hinder product development and cause other difficulties.
Sherwin-Williams (SHW) is down more than -3% after Bank of America Global Research downgraded the stock to underperform from neutral.
Citizens Financial Group (CFG) is down more than -3% after reporting Q3 revenue of $2.01 billion, weaker than the consensus of $2.04 billion.
Nasdaq Inc (NDAQ) is up more than +5% to lead gainers in the S&P 500 after reporting Q3 net revenue of $940 million, stronger than the consensus of $933.7 million.
Abbott Laboratories (ABT) is up more than +3% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion.
Procter & Gamble (PG) is up more than +2% to lead gainers in the Dow Jones Industrials after reporting Q1 organic revenue rose +7.00%, stronger than the consensus of +5.83%.
Travelers Cos (TRV) is up more than +2% after reporting Q3 net premiums written of $10.49 billion, above the consensus of $10.36 billion.
Floor & Decor Holdings (FND) is up more than +2% after S&P Dow Jones Indices said the company will replace Vicor Corp in the S&P MidCap 400, effective on Friday’s open.
Energy stocks and energy service providers are moving higher, with the price of WTI crude up more than +1% at a 2-week high. As a result, Valero Energy (VLO), Occidental Petroleum (OXY), Hess Corp (HES), Phillips 66 (PSX), Exxon Mobil (XOM), Diamondback Energy (FANG), and Marathon Oil (MRO) are up more than +1%.
Across the markets…
December 10-year T-notes (ZNZ23) this morning are down -11 ticks, and the 10-year T-note yield is up +8.5 bp at 4.919%. Dec T-notes today dropped to a 16-year nearest-futures low, and the 10-year T-note yield climbed to a 16-year high of 4.923%. An increase in inflation expectations is bearish for T-notes after the 10-year breakeven inflation rate today climbed to a 2-3/4 month high of 2.449%. Also, supply pressures are weighing on T-notes as the Treasury will auction $13 billion of 20-year T-bonds later today. Geopolitical risks in the Middle East and weakness in stocks today are limiting losses in T-note prices on increased safe-haven demand for government debt.
The dollar index (DXY00) today is up by +0.12%. The dollar is moderately higher today. Geopolitical risks in the Middle East are boosting safe-haven demand for the dollar after an explosion at a Gaza hospital that killed hundreds complicated diplomatic efforts to contain the Israeli-Hamas conflict. Also, the weakness in stocks today has boosted the liquidity demand for the dollar.
EUR/USD (^EURUSD) today is down by -0.31%. Strength in the dollar today is undercutting the euro. Also, dovish comments today from ECB Governing Council member Stournaras weighed on the euro when he said the turmoil in the Middle East had shifted the balance against any further tightening of ECB monetary policy.
Today’s economic news was bearish for EUR/USD after Eurozone Aug construction output fell -1.1% m/m.
USD/JPY (^USDJPY) today is down by -0.01%. The yen today is little changed. A jump in Japanese government bond yields strengthened the yen after the 10-year T-note yield today rose to a 10-year high of 0.820%. Also, comments today from former BOJ member Sakurai gave the yen a boost when he said the BOJ may scrap its negative interest rate policy by the end of the year to adjust the currently excessive level of monetary easing. Higher T-note yields today limited the upside in the yen.
December gold (GCZ3) today is up +29.0 (+1.50%), and Dec silver (SIZ23) is up +0.075 (+0.33%). Precious metals prices this morning are moderately higher, with gold climbing to a 2-1/2 month high and silver posting a 2-1/2 week high. Concerns about the escalation of the Israeli-Hamas conflict have boosted the safe-haven demand for precious metals as hopes for a diplomatic resolution to the conflict deteriorated after a deadly explosion at a Gaza hospital. Also, an increase in inflation expectations boosted demand for gold as an inflation hedge after the 10-year U.S. breakeven inflation rate today rose to a 2-3/4 month high. A stronger dollar today and higher global bond yields are limiting the upside in precious metals. Also, long liquidation pressures are weighing on gold after long gold holdings in ETFs fell to a 3-1/2 year low on Tuesday.
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On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT) is up more than +3% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Floor & Decor Holdings (FND) is up more than +2% after S&P Dow Jones Indices said the company will replace Vicor Corp in the S&P MidCap 400, effective on Friday’s open. Geopolitical risks in the Middle East and weakness in stocks today are limiting losses in T-note prices on increased safe-haven demand for government debt. | Abbott Laboratories (ABT) is up more than +3% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Geopolitical risks in the Middle East and weakness in stocks today are limiting losses in T-note prices on increased safe-haven demand for government debt. Geopolitical risks in the Middle East are boosting safe-haven demand for the dollar after an explosion at a Gaza hospital that killed hundreds complicated diplomatic efforts to contain the Israeli-Hamas conflict. | Abbott Laboratories (ABT) is up more than +3% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Also, the White House today said that the “current” U.S. intelligence assessment is that Israel was “not responsible” for the Gaza hospital blast based on “overhead imagery, intercepts and open source information.” Airline stocks are lower after Unite Airlines Holdings warned that the Israeli-Hamas war and higher jet fuel costs would weigh on earnings. A jump in the 10-year T-note yield to a new 16-year high today is bearish for stocks. | Abbott Laboratories (ABT) is up more than +3% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. A jump in the 10-year T-note yield to a new 16-year high today is bearish for stocks. Citizens Financial Group (CFG) is down more than -3% after reporting Q3 revenue of $2.01 billion, weaker than the consensus of $2.04 billion. |
30675.0 | 2023-10-18 00:00:00 UTC | US STOCKS-Wall St falls as Middle East tensions drive risk-off mood | ABT | https://www.nasdaq.com/articles/us-stocks-wall-st-falls-as-middle-east-tensions-drive-risk-off-mood-0 | nan | nan | By Ankika Biswas and Shashwat Chauhan
Oct 18 (Reuters) - Wall Street's main indexes fell on Wednesday as growing tensions in the Middle East dented risk sentiment, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses.
U.S. President Joe Biden pledged solidarity with Israel, at what became the only stop of a Middle East mission derailed by a massive explosion at a Gaza hospital, which Biden said appeared to have been caused by Israel's foes.
Demand for safe-haven assets sent gold pricesXAU= to a more than two-month high, up over 1%, while the U.S. dollar =USD also strengthened.
"Gold has been holding with safe haven demand and even though Treasuries aren't doing the greatest, the dollar has been faring fairly well with the increased tensions over there," said Brian Jacobsen, chief economist at Annex Wealth Management.
Long-dated Treasury yields hit multi-year highs after a sharp rebound in U.S. homebuilding added to earlier data pointing to a resilient economy, fueling concerns the Federal Reserve would not cut rates anytime soon.
"The macro environment of the economy is settling; we're realizing we will likely be in this higher rate environment for a more prolonged period of time," said Chris Giamo, head of commercial banking at TD Bank.
Stronger crude prices pushed energy stocks .SPNY 1% higher, while industrials .SPLRCI and materials .SPLRCM led the decline in major S&P 500 sectors.
On the earnings front, Morgan Stanley's MS.N third-quarter profit dropped less than expected as a strong performance in its wealth management division offset a hit from a lull in dealmaking. The company's shares, however, fell 7.6% to a more than one-year low.
Abbott LaboratoriesABT.N advanced 2.8% after beating third-quarter profit estimates on strong sales of devices, diagnostics products.
Consumer goods maker Procter & GamblePG.N gained 2.1% after its quarterly sales topped market expectations.
EV maker Tesla TSLA.O and streaming services company Netflix NFLX.O are scheduled to report quarterly results after market close. Their shares were down 2.7% and 1.6%, respectively.
Several Fed officials, including New York's John Williams and board governors Christopher Waller and Michelle Bowman will speak later in the day, ahead of Chair Jerome Powell's remarks on Thursday.
Philadelphia Fed president Patrick Harker said in an interview to the Wall Street Journal that the central bank should extend its pause on rate increases.
At 11:29 a.m. ET, the Dow Jones Industrial Average .DJI was down 169.41 points, or 0.50%, at 33,828.24, the S&P 500 .SPX was down 32.23 points, or 0.74%, at 4,340.97, and the Nasdaq Composite .IXIC was down 118.95 points, or 0.88%, at 13,414.80.
Nvidia NVDA.O fell 3.6% following Tuesday's 4.7% drop on lingering concerns over the Biden administration's plans to halt shipments of more advanced AI chips designed by the company and others to China.
United Airlines HoldingsUAL.O lost 8.3% after forecasting weaker fourth-quarter profit due to higher costs. The S&P 500 passenger airlines index .SPLRCALI dropped 4.8% to hit a more than one-year low.
Declining issues outnumbered advancers by a 3.90-to-1 ratio on the NYSE and by a 2.69-to-1 ratio on the Nasdaq.
The S&P index recorded 11 new 52-week highs and 14 new lows, while the Nasdaq recorded 20 new highs and 149 new lows.
(Reporting by Ankika Biswas and Shashwat Chauhan in Bengaluru; additional reporting by Sruthi Shankar; editing by Arun Koyyur and Vinay Dwivedi)
((Ankika.Biswas@thomsonreuters.com; Shashwat.Chauhan@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott LaboratoriesABT.N advanced 2.8% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes fell on Wednesday as growing tensions in the Middle East dented risk sentiment, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. "Gold has been holding with safe haven demand and even though Treasuries aren't doing the greatest, the dollar has been faring fairly well with the increased tensions over there," said Brian Jacobsen, chief economist at Annex Wealth Management. | Abbott LaboratoriesABT.N advanced 2.8% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes fell on Wednesday as growing tensions in the Middle East dented risk sentiment, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. On the earnings front, Morgan Stanley's MS.N third-quarter profit dropped less than expected as a strong performance in its wealth management division offset a hit from a lull in dealmaking. | Abbott LaboratoriesABT.N advanced 2.8% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes fell on Wednesday as growing tensions in the Middle East dented risk sentiment, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. Long-dated Treasury yields hit multi-year highs after a sharp rebound in U.S. homebuilding added to earlier data pointing to a resilient economy, fueling concerns the Federal Reserve would not cut rates anytime soon. | Abbott LaboratoriesABT.N advanced 2.8% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes fell on Wednesday as growing tensions in the Middle East dented risk sentiment, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. The company's shares, however, fell 7.6% to a more than one-year low. |
30676.0 | 2023-10-18 00:00:00 UTC | Stocks Close Lower on Heightened Geopolitical Risks and Soaring Bond Yields | ABT | https://www.nasdaq.com/articles/stocks-close-lower-on-heightened-geopolitical-risks-and-soaring-bond-yields | nan | nan | What you need to know…
The S&P 500 Index ($SPX) (SPY) on Wednesday closed down -1.34%, the Dow Jones Industrials Index ($DOWI) (DIA) closed down -0.98%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -1.41%.
Stocks on Wednesday closed sharply lower, with the Nasdaq 100 falling to a 1-week low. Stocks retreated Wednesday on the risks of an escalation in the Israeli-Hamas war after an explosion at a Gaza hospital complicated diplomatic efforts to contain the conflict. After the bombing, the leaders of Jordan, Egypt, and the Palestinian Authority canceled their scheduled summits with President Biden on Wednesday.
Airline stocks moved lower and weighed on the overall market after United Airlines Holdings warned that the Israeli-Hamas war and higher jet fuel costs would weigh on earnings. Also, Morgan Stanley closed down more than -6% after reporting weaker-than-expected Q3 wealth management revenue. A jump in the 10-year T-note yield to a new 16-year high Wednesday was bearish for stocks.
Crude prices rose more than +1% at a 2-week high, which boosted energy stocks. Crude prices jumped after Iran’s foreign minister called for an oil embargo against Israel.
Tuesday’s U.S. housing news was mixed for stocks. U.S. Sep housing starts rose by +7.0% to 1.358 million units, which was weaker than expectations for an increase to 1.383 million. However, Sep building permits fell by -4.4% to 1.473 million units, slightly stronger than expectations for a larger decline to 1.453 million units.
Weekly U.S. MBA mortgage applications fell -6.9% in the week ended Oct 13 to 166.9, the weakest reading in 28 years. The mortgage purchase sub-index fell 5.6% to its lowest level in 28 years, and the refinancing sub-index fell -9.9%. The average 30-year fixed mortgage rate rose +0.3 bp to 7.70%, the highest in 23 years.
Fed comments Wednesday were mixed for T-notes and stocks. On the bearish side, NY Fed President Williams said despite inflation progress, there's still a way to go, and the Fed will need to keep interest rates restrictive "for some time." Conversely, Fed Governor Waller suggests he favors pausing Fed rate hikes when he said, "I believe we can wait, watch, and see how the economy evolves before making definitive moves on the path of the policy rate."
The Fed Beige Book was slightly dovish, stating, "The near-term outlook for the economy was generally described as stable or having slightly weaker growth, and labor market tightness continued to ease across the nation."
The markets are discounting a 6% chance that the FOMC will raise the funds rate by +25 bp at the next FOMC meeting that ends on November 1, and a 42% chance for that +25 bp rate hike at the following meeting that ends on December 13. The markets are then expecting the FOMC to begin cutting rates in the second half of 2024 in response to an expected slowdown in the U.S. economy.
U.S. and European bond yields Wednesday moved higher. The 10-year T-note yield rose to a 16-year high of 4.926% and finished up +6.6 bp at 4.900%. The 10-year German bund yield rose to a 1-1/2 week high of 2.934% and finished up +4.3 bp at 2.924%. The 10-year UK gilt yield rose to a 2-week high of 4.664% and finished up +14.5 bp at 4.657%.
Overseas stock markets on Wednesday settled mixed. The Euro Stoxx 50 closed down -1.12%. China’s Shanghai Composite Index closed down -0.80%. Japan’s Nikkei 225 today closed up +0.01%.
Today’s stock movers…
Albemarle (ALB) closed down more than -9% to lead losers in the S&P 500 after Bank of America Global Research downgraded the stock to underperform from neutral.
Airline stocks were under pressure Wednesday after United Airlines flagged a sharp profit decline should flights to and from Israel remain grounded due to the Israel-Hamas conflict. As a result, United Airlines Holdings (UAL) closed down more than -9%. Also, American Airlines Group (AAL)and Alaska Air Group (ALK) closed down more than -5%, and Delta Air Lines (DAL) closed down more than -4%.
Lucid Group (LCID) closed down more than -9% to lead losers in the Nasdaq 100 after CFRA downgraded the stock to sell from hold with a price target of $4.
JB Hunt Transport Services (JBHT) closed down more than -8% after reporting Q3 EPS of $1.80, weaker than the consensus of $1.83.
Morgan Stanley (MS) closed down more than -6% after reporting Q3 wealth management net revenue of $6.40 billion, below the consensus of $6.58 billion.
Northern Trust (NTRS) closed down more than -6% after reporting Q3 net interest income of $469.4 million, below the consensus of $473.3 million.
Nvidia (NVDA) closed down more than -3% after it warned that new U.S. rules on chip exports to China could hinder product development and cause other difficulties.
Sherwin-Williams (SHW) closed down more than -4% after Bank of America Global Research downgraded the stock to underperform from neutral.
Citizens Financial Group (CFG) closed down more than -5% after reporting Q3 revenue of $2.01 billion, weaker than the consensus of $2.04 billion.
Diabetes stocks rallied after better-than-expected earnings results from Abbott Laboratories eased concerns that the Ozempic weight-loss drug would curb demand for their products. As a result, Dexcom (DXCM) closed up more than +6% to lead gainers in the S&P 500 and Nasdaq 100. Also, DaVita (DVA) closed up more than +3%, and Insulet (PODD) closed up more than +2%.
Abbott Laboratories (ABT) rallied +3.71% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion.
Nasdaq Inc (NDAQ) closed up more than +3% after reporting Q3 net revenue of $940 million, stronger than the consensus of $933.7 million.
Procter & Gamble (PG) closed up more than +2% to lead gainers in the Dow Jones Industrials after reporting Q1 organic revenue rose +7.00%, stronger than the consensus of +5.83%.
Energy stocks and energy service providers moved higher, with the price of WTI crude up more than +1% at a 2-week high. As a result, Valero Energy (VLO) and Phillips 66 (PSX) closed up more than +2%. Also, Occidental Petroleum (OXY), APA Corp (APA), Exxon Mobil (XOM), and Marathon Petroleum (MPC) are up more than +1%.
Floor & Decor Holdings (FND) closed up nearly +1% after S&P Dow Jones Indices said the company will replace Vicor Corp in the S&P MidCap 400, effective on Friday’s open.
Across the markets…
December 10-year T-notes (ZNZ23) Wednesday closed down -11 ticks, and the 10-year T-note yield rose +6.6 bp to 4.900%. Dec T-notes Wednesday fell to a new 16-year nearest-futures low, and the 10-year T-note yield climbed to a 16-year high of 4.926%. An increase in inflation expectations was bearish for T-notes after the 10-year breakeven inflation rate Wednesday climbed to a 2-3/4 month high of 2.449%. Also, mediocre demand for the Treasury’s $13 billion of 20-year T-bonds was negative for prices, with a bid-to-cover ratio of 2.59, below the 10-auction average of 2.67. In addition, hawkish comments from NY Fed President Williams weighed on T-notes when he said the Fed will need to keep interest rates restrictive "for some time."
T-notes recovered from their worst levels Wednesday as heightened geopolitical risks in the Middle East undercut stocks and boosted safe-haven demand for T-notes. Also, dovish comments from Fed Governor Waller gave T-notes a lift when he said he favors pausing Fed rate hikes.
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On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT) rallied +3.71% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Diabetes stocks rallied after better-than-expected earnings results from Abbott Laboratories eased concerns that the Ozempic weight-loss drug would curb demand for their products. Procter & Gamble (PG) closed up more than +2% to lead gainers in the Dow Jones Industrials after reporting Q1 organic revenue rose +7.00%, stronger than the consensus of +5.83%. | Abbott Laboratories (ABT) rallied +3.71% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Airline stocks moved lower and weighed on the overall market after United Airlines Holdings warned that the Israeli-Hamas war and higher jet fuel costs would weigh on earnings. Conversely, Fed Governor Waller suggests he favors pausing Fed rate hikes when he said, "I believe we can wait, watch, and see how the economy evolves before making definitive moves on the path of the policy rate." | Abbott Laboratories (ABT) rallied +3.71% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. What you need to know… The S&P 500 Index ($SPX) (SPY) on Wednesday closed down -1.34%, the Dow Jones Industrials Index ($DOWI) (DIA) closed down -0.98%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -1.41%. Across the markets… December 10-year T-notes (ZNZ23) Wednesday closed down -11 ticks, and the 10-year T-note yield rose +6.6 bp to 4.900%. | Abbott Laboratories (ABT) rallied +3.71% after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Airline stocks moved lower and weighed on the overall market after United Airlines Holdings warned that the Israeli-Hamas war and higher jet fuel costs would weigh on earnings. A jump in the 10-year T-note yield to a new 16-year high Wednesday was bearish for stocks. |
30677.0 | 2023-10-18 00:00:00 UTC | Abbott Laboratories (ABT) Q3 2023 Earnings Call Transcript | ABT | https://www.nasdaq.com/articles/abbott-laboratories-abt-q3-2023-earnings-call-transcript | nan | nan | Image source: The Motley Fool.
Abbott Laboratories (NYSE: ABT)
Q3 2023 Earnings Call
Oct 18, 2023, 9:00 a.m. ET
Contents:
Prepared Remarks
Questions and Answers
Call Participants
Prepared Remarks:
Operator
Good morning, and thank you for standing by. Welcome to Abbott's third quarter 2023earnings conference call [Operator instructions] This call is being recorded by Abbott. With the exception of any participant's questions asked during the question-and-answer session, the entire call, including the question-and-answer session, is material copyrighted by Abbott.
It cannot be recorded or rebroadcast without Abbott's expressed written permission. I would now like to introduce Mr. Mike Comilla, vice president, investor relations.
Mike Comilla -- Vice President, Investor Relations
Good morning, and thank you for joining us. With me today are Robert Ford, chairman and chief executive officer; Bob Funck, executive vice president, finance; and Phil Boudreau, senior vice president finance, and chief financial officer. Robert and Phil will provide opening remarks. Following our comments, we'll take your questions.
Before we get started, some statements made today may be forward-looking for purposes of the Private Securities Litigation Reform Act of 1995, including the expected financial results for 2023. Abbott cautions that these forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those indicated in the forward-looking statements. Economic, competitive, governmental, technological, and other factors that may affect Abbott's operations are discussed in Item 1A, Risk Factors to our annual report on Form 10-K for the year ended December 31, 2022. Abbott undertakes no obligation to release publicly any revisions to forward-looking statements as a result of subsequent events or developments, except as required by law.
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On today's conference call, as in the past, non-GAAP financial measures will be used to help investors understand Abbott's ongoing business performance. These non-GAAP financial measures are reconciled with the comparable GAAP financial measures in our earnings news release and regulatory filings from today, which are available on our website at abbott.com. Note that Abbott has not provided the GAAP financial measure for organic sales growth on a forward-looking basis because the company is unable to predict future changes in foreign exchange rates which could impact reported sales growth. Unless otherwise noted, our commentary on sales growth refers to organic sales growth, which is defined in the quarterly results press release issued earlier today.
With that, I will now turn the call over to Robert.
Robert Ford -- Chairman and Chief Executive Officer
Thanks, Mike. Good morning, everyone, and thank you for joining us. Today, we reported third quarter adjusted earnings per share of $1.14. Based on our performance through the first nine months of the year, we raised the midpoint of our full-year adjusted earnings per-share guidance and narrowed the range to $4.42 to $4.46.
Organic sales growth on the base business, which excludes COVID testing, increased double digits for the third consecutive quarter and was led by double-digit growth in all four of our major businesses. This acceleration in sales growth is a result of our strong position in attractive growth markets in conjunction with the additional investments we made across the company during the pandemic. In addition to the strong top-line performance, we continue to deliver accelerating earnings power on our base business and remain on track to deliver on the financial commitments we set at the beginning of the year. With a positive growth outlook for the businesses and the momentum we're building across the portfolio, we are well-positioned for a strong finish to the year and heading into 2024.
I will now review our performance in more detail before turning the call over to Phil. I'll start with nutrition, where sales increased 18% in the quarter. In pediatric nutrition, growth of 25% was led by continued market share capture in the U.S. infant formula business where we have now reclaimed the leadership position.
Internationally, we continue to deliver well-balanced growth coming from both infant formula products and our PediaSure toddler brand. In adult nutrition, growth of 12% was driven by strong demand for Abbott's market-leading Ensure and Glucerna brands across the U.S. and international markets. Turning to established pharmaceuticals.
Sales increased 11% in the quarter. This strong performance was broad-based and led by double-digit growth in several markets and therapeutic areas, including cardiometabolic, women's health, and CNS pain management. In September, we announced an agreement with global biotech leader, mAbxience, to commercialize several biosimilars in emerging markets. This collaboration will help introduce cutting-edge medicines in the areas of oncology, women's health, and respiratory diseases, the people in countries that have historically lacked access to these treatment options.
Moving to diagnostics. Excluding COVID testing, organic sales grew 10%, led by core lab diagnostics, where sales grew double digits, driven by above-market performance in the U.S. and internationally. Growth was driven by a continued increase in global demand for routine diagnostic testing and a strong recovery of our blood transfusion testing business, following a period of lower plasma donations that occurred during the COVID-19 pandemic.
In rapid diagnostics, double-digit organic sales growth on the base business benefited from increased demand for respiratory tests in anticipation of an earlier-than-normal start to the flu season in the Northern Hemisphere. And I'll wrap up with medical devices, where sales grew nearly 15%, including double-digit growth in both the U.S. and internationally. In diabetes care, FreeStyle Libre sales were $1.4 billion in the quarter and grew 28%.
The global Libre user base now exceeds 5 million people with nearly 2 million of those in the U.S. where the Libre user base has nearly doubled in the last two years. A recent analysis of our U.S. user base showed that a growing number of Libre users are using Libre in combination with GLP-1 medications as part of a companion therapy approach for managing their diabetes.
On average, those using both Libre and a GLP-1 exhibited a higher rate of use for both products, wearing Libre sensors more often and taking GLP-1 medications more frequently compared to other users. This increase in use or better compliance is a positive sign that these users are taking an even more active role in managing their diabetes. And while we traditionally think of therapy choices as having to compete against one another, this is a good example of a complementary relationship between two products that both help optimize the treatment of diabetes. In cardiovascular devices, sales grew 10% overall in the quarter, led by double-digit growth in electrophysiology and structural heart.
In electrophysiology, sales growth of 17% was driven by double-digit growth across all major international geographic regions and high teens growth of ablation catheters in the U.S. In structural heart, performance was driven by double-digit growth of MitraClip and strong growth from several recently launched new products, most notably Navitor, our latest generation TAVR valve. In rhythm management, growth was led by double-digit growth in pacemaker sales, led by Aveir, our recently launched leadless pacemaker that can be used for both single-chamber and dual-chamber pacing. And lastly, in neuromodulation, sales grew 19%, driven by the recent launch of Eterna, our first rechargeable neurostimulation device for pain management, which targets a large segment of the market where we previously did not compete.
So in summary, this was a very strong quarter with all four major businesses delivering double-digit organic sales growth, excluding COVID testing-related sales. Growth rates in the base business have improved every quarter this year on both the top and bottom lines, and the momentum we are building in positions us well for a strong finish to the year and heading into 2024. I'll now turn over the call to Phil. Phil?
Phil Boudreau -- Senior Vice President, Finance, and Chief Financial Officer
Thanks, Robert. As Mike mentioned earlier, please note that all references to sales growth rates, unless otherwise noted, are on an organic basis. Turning to our third quarter results. Sales decreased 1.5% on an organic basis due to, as expected, a year-over-year decline in COVID testing-related sales.
Excluded COVID-tested sales, underlying base business organic sales growth was 13.8% in the quarter. Foreign exchange had an unfavorable year-over-year impact of 1.4% on third quarter sales. During the quarter, we saw the U.S. dollar strengthened somewhat versus several currencies, which resulted in a slightly more unfavorable impact on sales compared to exchange rates at the time of ourearnings callin July.
Regarding other aspects of the P&L, the adjusted gross margin ratio was 55% of sales. On a year-to-date basis, our adjusted gross margin ratio was 55.4% of sales which is below our original full-year guidance of approximately 56% that we've provided back in January. The difference is primarily due to lower gross margins on COVID tests due to lower volumes and price compared to our original forecast assumptions and the impact of higher inventory obsolescence as a result of maintaining higher inventory levels throughout the pandemic to help ensure product supply during a time when global supply chains were less predictable. As the global supply chain environment continues to improve, we're adjusting our inventory levels to align with that trend.
Adjusted R&D was 6.2% of sales, and adjusted SG&A was 26.4% of sales in the third quarter. Lastly, our third quarter adjusted tax rate was 14%. Turning to our 2023 outlook. For the full year, we now forecast ongoing earnings per share of $4.42 to $4.46, which is comprised of our year-to-date results, plus ongoing earnings per-share guidance of $1.17 to $1.21 for the fourth quarter.
For the fourth quarter, we forecast total underlying base business organic sales growth, excluding COVID testing sales, to be in the low double digits and exchange to have an unfavorable impact of a little more than 1% on fourth quarter reported sales. With that, we'll now open the call for questions.
Questions & Answers:
Operator
Thank you. [Operator instructions] And our first question will come from Josh Jennings from TD Cowen. Your line is open.
Josh Jennings -- TD Cowen -- Analyst
Hi. Good morning. Thanks for taking the questions, and congratulations on another strong quarter. Robert, organic revenue growth nearly touched the mid-teens range for the core business in 3Q and realize we've recently talked about the sustainability of the momentum generated this year, but I think investors would like to hear about your confidence level in the core business delivering high single-digit organic revenue growth and solid margin expansion in 2024 off the 2023 comp that's only moved higher over the course of this year.
Thanks for taking the question.
Robert Ford -- Chairman and Chief Executive Officer
Sure, Josh. I mean, the confidence level is very high, especially with this kind of momentum that we're seeing. Clearly, there's going to be some macro environment challenges as companies head into 2024, but I'd say our portfolio has really been built to withstand this type of environment, and we tend to do pretty well in this type of environment. And as I said in my comments also, we've further strengthened the portfolio and the position that we had with the investments that we made during the pandemic, and that's helped lead to a step-up here in our growth rate this year.
The base business has grown double digits three quarters in a row, and I expect to be doing that again in Q4. And if you look at the EPS contribution, as I said in the comments, it's really having a positive impact and a lot of power coming through on the base business as we continue to grow that, and it's sequentially gotten better every quarter. So we're forecasting another step-up in the fourth quarter. So if you look at that EPS for the fourth quarter and put it all together, the base business here is going to contribute to about $4.10 of EPS, and we've raised that twice this year.
So there's clearly momentum that's building here, both on the top and the bottom lines, and I believe that momentum is going to sustain and continue as we go into 2024. I think it starts, Josh, always with the top line. And if you can drive higher top-line growth, I think that's really the building block. And if you look at our -- let's say, our pre-pandemic kind of growth formula here, we were growing around 7%.
So I expect that to accelerate in next year without a doubt, and that's off a much larger sales base than when we were pre-pandemic. And like I said, that's based off the momentum that we're seeing and increased contributions that we'll be seeing from a lot of our growth drivers that I'm sure we'll be talking about throughout the call. The Street models double-digit EPS on the base business right now, and I feel real good about our ability to deliver that. Obviously, a lot of focus is going to come from gross margin and gross margin expansion, and I think we've got momentum and tailwind here as we go into 2024.
So when we go to our call in January, I'll be able to kind of quantify that and give you better ranges on all of that. But I'd say it's really about reiterating and reinforcing our growth model, our growth framework, which is high single-digit revenue growth, double-digit bottom-line growth, margin expansion, strong free cash flow generation, and a balanced capital allocation strategy. So again, I feel very good about sustaining this momentum going into next year.
Josh Jennings -- TD Cowen -- Analyst
Understood. Thanks a lot.
Operator
Thank you. And our next question will come from Larry Biegelsen from J.P. Morgan. Your line is open.
Larry Biegelsen -- Wells Fargo Securities -- Analyst
Thanks for taking the question. Just to be clear, it's Wells Fargo. But good morning, Robert.
Robert Ford -- Chairman and Chief Executive Officer
We know who you are, Larry.
Larry Biegelsen -- Wells Fargo Securities -- Analyst
OK, good. So Robert, China has been in the news a lot. Love to hear your thoughts on how you're thinking about China, big picture. How is Q3? And what are you expecting from the VBP impact in the EP business and from the anti-corruption initiatives we've been hearing about there? Thanks for taking the question.
Robert Ford -- Chairman and Chief Executive Officer
Sure. Well, China has been and will continue to be an important market for us. As it relates to, I think, the theme on this anti-corruption discussion points there, listen, we've been operating in China for 35 years. We follow our compliance standards, follow all applicable laws.
I didn't see any kind of meaningful impact in Q3, Larry. I was actually there last week and had a chance to meet with the teams and go through the businesses and didn't really see any meaningful impact. Devices grew 20% in the quarter. So I think that's -- we'll just have to keep on monitoring that situation, but I didn't see any real impact in the quarter.
As it relates to VBP, listen, this is a term that's used for China, but I think it's just a common theme that we see across the world with governments trying to provide the care to their populations and manage their budgets, so I don't think this is anything completely extraordinary than what we've seen. There was a VBP on the EP business. That process started earlier this year in April. I'd say about 80% of the market has now been implemented, and I expect the remainder of that to be implemented by year end.
Yeah, there's a little bit of a price impact that we felt. But net-net, it was a positive for our EP business in China because we're able to pick up share and pick up volume, so I think that's the status there. I think it was announced, a VBP on diagnostics. That's not unexpected either.
I think the process will start sometime in the first half of next year. Right now, from the list of products that we've seen, it involves about 20% of our core lab business. And then as we've seen with businesses that have capital and service tied to it, the rollout is a little bit different from the rollout that you see on what I would call more pure consumables. So it's more of a kind of phased approach, like we saw in EP.
Each province will go and do their implementation, so it will take a few quarters to implement here. But like I said, I don't think these are different than what we see in other markets in terms of how we manage the balance of our technology on our access. But I'd say China is still a big opportunity of growth, not just in devices, in diagnostics, but in adult nutrition, in our pharma business. So it's an important market for us, and the team is doing a really good job at operating there.
Larry Biegelsen -- Wells Fargo Securities -- Analyst
Thanks so much.
Operator
Thank you. Our next question will come from Robbie Marcus from J.P. Morgan. Your line is open.
Robbie Marcus -- JPMorgan Chase and Company -- Analyst
Great. Thanks for taking the question, and congrats on a really nice quarter. Robert, I want to ask you the overwhelming topic of discussion in the past few months has been GLP-1s and the possible impact on the future medtech market growth. You talked about it with respect to diabetes, but I'd love to just get your thoughts on a broader basis on GLP-1s.
And do you see it as a negative, neutral, or positive to your different end markets you participate in over the next five, 10 years? Thanks a lot.
Robert Ford -- Chairman and Chief Executive Officer
Sure, Robbie. Obviously, this has been a hot topic over the last couple of months. And let me just start off by saying with 20-plus years of experience in diabetes, I think every time new therapies, new technologies come to address this disease in this population, I think it's all great. And these are great new medications that are going to have very positive effect on the treatment of diabetes.
There's obviously a lot of investor angst here, Robbie, about the potential impact of these drugs and what's going to happen to different industries and different companies. I feel that the investor angst is it's probably driven more by those that have a little bit less domain knowledge in medtech, I would say, seem to be moving a lot with like headlines or any new study or publishment there -- or publishing of any kind, study headlines, etc. So we've seen valuations in medtech significantly be impacted by the fear, like you said, about the reduction in these market sizes, whether it's going to happen in the next few years or it's going to happen in decades from now. And I guess my view there is that I understand that new technologies will naturally cause us to think differently about the future.
And I think early on, those initial thoughts about the future are generally impacted more by emotion than facts and data, and I think that's what you're seeing right now today as it relates to GLP-1 and the medtech markets. I think there's a -- if you think about it long term here on the bigger picture, I think there's a fundamental mismatch here on revenue and revenue forecast that we're seeing versus potential impact to patient and patient TAMs. I've looked at the consensus forecast for this class of drugs. Looking out four to five years here, they seem to be in that $60 billion to $70 billion range, which is pretty significant as a category.
It's probably one of the largest categories, I think, we've ever seen. But then if you take the pricing, at least the public pricing that we've seen, whether it's the U.S. pricing or the lower international pricing, and you convert that into user bases and back into the numbers, I mean, we're looking at 10 million to 15 million people in the next four to five years that will be on this drug. That's a real small fraction of the size of these medical device markets that we're talking about, right? There's about 0.5 billion people with diabetes, maybe another 0.5 billion people that got cardiovascular disease, and maybe there's an overlap of people with diabetes and cardiovascular.
But still, you're talking tens of millions of people with maybe a billion or under a billion people. So I think there's a little bit of a mismatch there in terms of how we're seeing this impact equating to revenue and the potential growth of the revenue with the patient pool TAM. So that's one big area, I would say. I think there's another question here of just about the question of coverage.
And obviously, these drugs have great outcomes and great outcomes impact. And then the question is, what's the appropriate cost to achieve that outcome. I've seen a lot of discussions and new stories about payers and what the payers are going to do and insurance companies, PBMs, and pharmacy chains. Those aren't payers.
The real payers are the employers and the companies that pay for these. And I think as you look at companies and higher medical expense costs, inflation, I think that's going to be a factor as we go into next year also. So I think that's -- those are, I'd say, the bigger aspect here on the long term. On the short term, though, as you mentioned, on the diabetes side, I actually see it as a positive impact on the diabetes business.
But as I mentioned in the opening remarks, we completed an analysis recently that showed a significant number of Libre users were on these drugs. And the data showed that those that are using both products are actually using more of those both products when you compare them to other users. They tend to wear Libre sensors more often, and they tend to take their GLP-1 medication more frequently. And I think that's a great thing because higher therapy compliance ultimately is going to improve health outcomes.
And that's not different, Robbie, this complementary relationship. You know medtec very well. It's not uncommon to see that. Medical device procedures, you have patients that are taking medications either before and after their procedure.
And you see it in diabetes. Like I said, I've seen this in my 20 years, where it's very common to use multiple tools in combination, whether it's insulin and oral meds, whether it's fast-acting insulin and long-acting insulin. And so I think more treatment options here is a good thing for patients, and I think these drugs are a real nice addition to the mix. I think as you go forward, though, I think there are some -- but definitely some other areas of interest related to this topic that we're exploring.
I think one thing that is clear to us as we've gone through this process is to really use the data a little bit more to our advantage. Since the launch of Libre, we've collected de-identified data from the user base. I'd probably go as far as to say that we probably have the most robust glucose data set in the world. I think the last time I looked at it, we've got close to 50 billion hours of glucose monitoring data.
So I think Libre is the perfect platform here to actually evaluate the effectiveness outside of a more controlled trial, look at it more in a real-world setting. And there's just so many different ways we can look at the data, look at how the drugs work over time. Does one drug work better than the other? What kind of job do they do in terms of a profile, in terms of time and range? So again, I think we can do this on a population level. We can do this on an individual level.
So I think that's going to be -- I'd say an important thing going forward for us here is to use that data set to be able to kind of explore that. And I'd just finally say with the portfolio -- with the diverse portfolio that Abbott has where we look at healthcare across the full spectrum from nutrition to diagnostics to then treatment, I think that this then provides the company with an opportunity to further explore where we can bring value to patients that are using these drugs. And I think it's common knowledge here that there are side effects with most drugs, and one of those being increased loss of muscle mass. I'd say we had experience here in the area of nutrition and losing that amount of muscle mass as a ratio is -- it can be problematic.
So we've got an opportunity here to be able to develop, whether it's a nutritional product or other products that can help address one of these side effects, which is muscle mass loss. So there's good opportunities for there -- for us also in the portfolio. So bottom line, I think it's fantastic science. It's fantastic biology.
This is great for public health in the short term. I think the concerns are overblown. And I think in the long term, if we want to look out 15, 20 years, I mean, I think it's -- I think there's still a lot of question marks there, given some of the facts that I've raised. So --
Robbie Marcus -- JPMorgan Chase and Company -- Analyst
Really appreciate that, Robert. Maybe if I could sneak one more in on CGM, something that I think has really flown under the radar with the GLP-1. Noise is you've recently gotten type 2 basal coverage in France. You have it in the U.S.
and Japan as well. Just thinking about future opportunities in countries to approve type 2 basal which could materially expand your reimbursed coverage opportunity around the world, how should we think about that? And how do you size that opportunity over the next few years for Abbott. Thanks a lot.
Robert Ford -- Chairman and Chief Executive Officer
Sure. Well, we had a really good quarter, up 28%. International was up 26%. U.S., we continue to do pretty well in the plus 30% range there.
And to your point, we saw a nice impact from that basal coverage, especially in the international markets, right? And it's nice to see the international growth accelerate again. I remember last year, the question mark was about international growth, and a lot of our focus was on our upgrade strategy for Libre 3. So getting the sales team now reworking the demand generation and a lot of that growth is, as you pointed out, we're seeing nice growth from that basal segment, especially in France and Japan, where we got reimbursement -- differentiated reimbursement, right? We've added about 150,000. I think that was the day that we reviewed over the last 12 months of basal users onto the user base.
And if you look at that last 12 months, a larger portion of that 150,000 was happening toward the second half of that. So there's definitely acceleration ongoing there. I was actually surprised to see the speed at the U.S. coverage.
So right now, about -- I'd say 90% of commercial payers have now adopted some level of basal coverage. So that's very positive. So both those three markets, U.S., Japan, and France, are doing very well in terms of basal and basal coverage and providing that kind of tailwind of growth. And again, there's a lot of good data to be able to support while that it benefits these types of patients also.
And we saw that in the data that we presented with the French claims data. So I'd say yes, it's a great opportunity. It's not something that's happened. We've been focused on this, generating the clinical evidence, building the sales forces to be able to reach a primary care team, investing in direct-to-consumer advertising where we're allowed to do that, and that's a key growth driver here.
Of this target, we have to reach $10 billion by 2028. I'd say that's an important growth driver. It's not the only growth driver, but it's an important growth driver, and we've got a lot of good momentum there, Robbie.
Robbie Marcus -- JPMorgan Chase and Company -- Analyst
Appreciate it. Thanks a lot.
Operator
Thank you. Our next question will come from Daniel Antalffy from UBS. Your line is open.
Danielle Antalffy -- UBS -- Analyst
Hey, good morning, everyone. Thanks so much for taking the question. Robert, Phil, just wanted to follow up on Josh's question earlier and appreciate you're not going to give 2024 guidance. But just at a high level, there's a few puts and takes I can think of.
Robert, I appreciate the momentum in the underlying business, but you will have competition coming on the EP side, which has been a strong double-digit grower; looking at MitraClip, a quarter of double-digit growth. That was great to see. Like how sustainable is that? And comps are just inherently potentially a little bit tougher. So if you could maybe walk through in a little bit more detail some of the puts and takes at a high level that we should consider, nutrition, tough comps there, should consider as we think about 2024, that would be awesome.
Robert Ford -- Chairman and Chief Executive Officer
Yeah. I mean, not sure we'll do a planned review here. But I mean, there's a lot there. I'll try and touch on some of the topics there.
I mean, I'd just go back to -- we have a growth model and a growth forecast that I'd say during the last two years has been masked a little bit by COVID and the ups and downs of COVID testing. But being able to sustain high single-digit growth, double-digit growth in the bottom line, that's what we've been doing this year, a pretty significant double-digit bottom line because we forward invested back in 2022. So if you look at our top-line growth right now, we haven't had to put as much SG&A to build but to kind of support that growth this year. So the growth model of that high single-digit growth and double-digit bottom-line growth has been happening throughout this pandemic with COVID testing.
And as the COVID testing numbers come down, you get to see that a little bit more now. So I feel good about delivering that in 2024. Yeah, there's a macro environment that's out there. But as it relates to all the elements that are directly in our control, I feel very good about it.
Your comment on electrophysiology, yeah, we'll have competition. We have competition today. We grew -- in Europe, we grew mid-teens, and we've been growing mid-teens for the first nine months with the competition that you referred to. So we feel good about our position.
there. On MitraClip, we've seen double-digit growth in MitraClip for the last three quarters. A big driver of that has been international and growth international, and we're starting to see a little bit now of a rebound in U.S. U.S.
was up 5% in MitraClip this quarter. And again, that's sequentially better from the previous quarter and sequentially better from the one before that. So -- and we've had competition in that space also. We've had competition internationally, and we've had competition in the U.S., too.
So again, you referred to comps. Yeah, there's -- listen, I'm not going to deny there's some comps. Obviously, probably the biggest one there is nutrition this year. But every year, there's comps.
Every year, a company has got comps. And I'd say if you remove some of those comps from our -- Q3 would still be growing double digits also. So again, I feel good about our high single-digit growth forecast. I feel good about our double-digit EPS growth.
We've got a lot to work with. Yeah, there's challenges, but we have a lot to work with. We've got a great pipeline of products that we're going to be -- that we've not only just launched but that we're going to be launching also. So yeah, there's always puts and takes, Danielle.
But I think in the aggregate, if you look at the aggregate of our positions in these markets, I think we're in a real strong position.
Danielle Antalffy -- UBS -- Analyst
That was super helpful. Thank you so much, Robert.
Operator
Thank you. Our next question will come from Joanne Wuensch from Citibank. Your line is open.
Joanne Wuensch -- Citi -- Analyst
Good morning, and thank you for the question. Nutrition, your comments, if I remember them correctly, are that you are back in a leadership position in the nutrition of business. Are you back at 100%? Are you humming along? Do you feel like there's anything that's lagging or maybe ahead of the game? And I'm going to squeeze in your current thoughts on M&A, particularly given a lot of pullbacks in valuations. Thank you.
Robert Ford -- Chairman and Chief Executive Officer
Sure. I mean, we never believe that we were going to recover all the share in a quarter, right? So the way this market works and the way we've kind of modeled it out is that we'll -- showing month-by-month kind of sequential increases in our market share. So if you look at the volume right now is measured by a third party. We've now crossed over that leadership position in the month of September.
We're not 100% back to where we were before the recall, but I always said that we would be there toward the end of the year. So we're probably at about 90% back to that initial -- to that pre-recall market share, but it's nice to see across all the segments here real nice sustained growth in our market share and even if when you look at different segments of the IMF, so if you look at the channels, WIC and non-WIC. WIC, we've been a market leader since the beginning of the year, and that was a result of our strategy in the second half of last year to stay focused on that underserved population. And the non-WIC channel, we're seeing nice continuous month-by-month gains of market share, and I think the team is doing a real good job.
I think we can all see that the shelves are pretty well replenished right now, and now it's just about continuing to execute on our demand generation, and I feel good about what the team is doing and recovering that market share. So that's gone pretty much to plan there. And then what was your other question?
Joanne Wuensch -- Citi -- Analyst
M&A, particularly given pullbacks in valuations. Thank you.
Robert Ford -- Chairman and Chief Executive Officer
Yeah. Well, listen, we've completed three transactions over the last six months. We acquired CSI and in the process of integrating that business. I think it's going to be a nice addition to our vascular business and start to reposition that business to kind of more higher-growth markets.
This quarter, we announced the acquisition of Bigfoot, and this is just going to be able to allow us to broaden our offerings with Libre and provide a nice opportunity from a global perspective; and then also an announcement on the EPD side to expand access to biosimilars. So we've been active, and we continue to be active. Yeah, I think valuations have come down, the same way they came down, let's say, post pandemic in that 2022 time frame. It's a good opportunity.
Like I've said, I think sometimes companies need to understand if it's a short term or if there's something more fundamental in that valuation, but we're in a great strategic position to be able to execute on our M&A strategy, which is really focused on can we add value to the asset, and does it fall into our strategic framework of areas that we want to invest in and growth in. And the ones that I highlighted here are strategic, and we believe that we can add a lot of value to them. So we've got plenty of capacity to engage. And if there's -- the right opportunity that comes along in this period, we'll be ready.
Joanne Wuensch -- Citi -- Analyst
Thank you very much.
Operator
Thank you. Our next question will come from Vijay Kumar from Evercore ISI. Your line is open.
Vijay Kumar -- Evercore ISI -- Analyst
Hi, Robert. Thanks for taking my question, and congrats on the good print here. I had two questions. My first one is, could you just elaborate on this China VBP for diagnostics? How big is core lab in China for you guys at this point in time? And I think I heard 20% would be impacted next year.
Is the assumption the rest of core lab would be impacted in fiscal '25? Like how do these contracts blow up? Because my understanding is you will see volume gains. Are those volumes enough to offset price headwinds?
Robert Ford -- Chairman and Chief Executive Officer
Yeah. So the way this is kind of working out, right, this was announced recently. I think proposals are due within the provinces that are going to be bidding, Vijay, I'd say, in the next 30 days, right? And then there's like another 30 days -- 30 to 60 days to evaluate all the proposals. So I think that this is going to probably start, I'd say, late Q1 and into Q2.
Right now, the list of assays that are on VBP equate to about 20% of the market. So our annual sales are -- in China are about $1 billion. So -- and then if you look at the specific assays, it's infectious disease. There's some fertility assays there, etc.
So that's where the VBP is kind of focused on. I haven't heard and team hasn't heard about expanding that to other areas of testing, such as oncology or hormones or other areas like that. So right now, I'd say this is going to be our focus in 2024. If there's volume upside to be gained, yeah, there could be volume upside to be gained.
I mean, we do have good market share in some of these segments. And others, we have lower market share, so it presents us an opportunity. So I think in areas where you've got higher market share, you'll feel more price and then if you can offset that price by gaining volume in segments that you've got lower share. So I don't think that's rocket science there, and we'll just have to see how that all plays out.
But we've had experience going VBP in China. We've gone through it with stents. We've gone through it with EP, certain parts of our pharma business, certain parts in CRM also. So the team knows how to do this.
They know how to kind of think about it and manage it pretty well. We adjust some of our cost structures also as a result of that, so I think the team has got a good formula here how to manage it. And we'll just have to see how this kind of plays out.
Vijay Kumar -- Evercore ISI -- Analyst
That's helpful, Robert. And my second one, I know you touched upon PFA. I think Abbott's launching their own PFA at some point in fiscal '25, '26. How should we think in the interim, right? I think your peer had some pretty robust assumptions for what percentage of procedures would be PFA.
Is Abbott concerned about share loss when you think about that medium-term time frame? And are there offsets to it, right? I mean, you haven't touched upon Lingo. I think previously you had said Lingo could be as big as Libre. Where are we on the Lingo launch?
Robert Ford -- Chairman and Chief Executive Officer
Yeah. So we'll have to see how -- what other companies report to go to see if we're gaining or losing share right now, but I'd say we still have got good, robust growth. I'd say as we look into 2024, I'd expect us to grow generally in line with market, which has historically been double digits. We've got some good innovation that's rolling out on the RF side.
And as we've spoken about our EP business, we talk about PFA. That's going to be a product that's going to be really geared toward AF ablations. You still have VT and SVT ablations where we do have good positions over there. A good portion of our sales are also on the mapping side, and the mapping and the diagnostics and those consumables, so I see those being less impacted also.
So I'd say for 2024, we've got a good opportunity with our EP portfolio to be growing there in line with the market. And I think to the previous question, yeah, we've got plenty of different shots on goal here to be able to deliver our high single-digit growth rates. And we've got a very rich portfolio, and we're in exciting markets. Yeah, Lingo, didn't touch on it because it wasn't asked.
But now that you have asked, yeah, it is a great growth opportunity for us. We're launching it in the U.K., I'd say I'd call it more of a controlled launch, Vijay, to understand kind of the marketing mix, the marketing messaging, the positioning, the inner positioning with Libre. And the learnings we've got are fantastic, and I'm excited about a full-on launch in the U.K. starting next year and then the opportunity to be able to bring that here to the U.S.
I've been public about our intention to file Lingo here in the U.S. by the end of the year, and I think that's going to provide another great opportunity for growth for us also. So --
Vijay Kumar -- Evercore ISI -- Analyst
Thanks, guys.
Operator
Thank you. Our next question will come from Matt Miksic from Barclays. Your line is open.
Matt Miksic -- Barclays -- Analyst
Hey, thanks so much for taking the questions and for all the great color today. So I just thought -- maybe follow up on a couple of pipeline opportunities and growth drivers, one being Triluminate and TriClip, sort of if you could maybe walk us through the expected pathway for commercialization in the U.S. on that front. And then back to diabetes, I know the GLP-1 has dominated the discussion there.
But with Tandem rolling out integration with their pump and kind of making wider availability here of closed-loop integration in Q4, I just -- would be great to hear your thoughts on what that ramp looks like, what additional support or efforts you expect will be required on your end and just what we can expect over the next 12, 18 months that that's out there and available to patients. Thanks.
Robert Ford -- Chairman and Chief Executive Officer
Sure. On your question on TriClip, yeah, so we submitted to the FDA for review early this year. It's my understanding that CMS is going to review this in parallel also. I think I made a comment to this last time.
We'll likely see a panel review here, and I don't think it's unexpected, to be quite honest with you. A lot of the novel therapies go through an advisory panel process, saw it with TAVR, saw it with MitraClip. So I expect that to be the case here for Triclip. Right now, the expectation of that panel is -- I said the date that we think we have right now is January, but we'll have to see how that occurs.
But again, I don't -- the fact that we'll probably go through a panel, I still feel very enthusiastic and confident about the opportunity that we have with Triclip. Not only this is -- these are patients that are in real rough shape, and there's not a lot of treatment options. And we've shown in the Triluminate study that we can reduce TR, and our understanding and our belief is that reduction of TR is important, and we'll be going through that. And then I'd say the safety profile of the TriClip product is very important as you think about building a new category and a new area.
But you've got 5 million people here, Matt, that suffer from TR globally. I believe this is a billion-plus opportunity, for sure, and we're committed to building a real strong position here with innovation on the product and strong clinical evidence to support it. Your -- what was your other question, sorry?
Matt Miksic -- Barclays -- Analyst
Closed-loop integration with Tandem and maybe the ramp or expectations for that process.
Robert Ford -- Chairman and Chief Executive Officer
Yeah, it's my understanding here that we'll see a launch sometime by the end of this year with Tandem, and we're excited about that. There's about 150,000 to 200,000 new pump users globally. So I think this is an area that we've historically haven't been a player in. And now, we will be a player in.
We've launched an AID system in Europe, let's say, more toward the end of last year and into this year. And I was reviewing the results with the team. I mean, that pump company has had tremendous kind of growth partnering with us, and so that's a proof point there that when you bring in the choice and the option and you put it together with Libre that there's a real strong value proposition to connecting the pump with Libre. And then as I've said, we want to be a leader in the space, not just be a competitor.
So there's a lot of work ongoing right now with our dual analyte glucose-ketone sensor, which we believe there's a lot of applications there, Matt, but I think one of the clear applications and value propositions is to be able to kind of pair that with an insulin pump and have a much more richer algorithm and safety algorithm in the insulin delivery system. So we feel good about that.
Mike Comilla -- Vice President, Investor Relations
Operator, we'll take one more question, please.
Operator
Thank you. And our last question will come from Jayson Bedford from Raymond James. Your line is open.
Jayson Bedford -- Raymond James -- Analyst
Hi. Good morning. Thanks for squeezing me in. Just a couple of quick ones.
First, what is the updated expectation for COVID testing revenue here in '23? And then second one, Robert, you alluded to gross margin expansion in '24. Can you just frame the sources of gross margin? I assume nutrition is a key driver there. And then maybe just bigger picture, and I appreciate that everyone in the industry is facing these challenges, but is there visibility into clawing back to pre-COVID gross margin levels? Thanks.
Robert Ford -- Chairman and Chief Executive Officer
Sure. Yeah, there's visibility. I mean, the visibility is in the first half of 2024, then I'd say no. But we do have a plan to be able to kind of drive gross margin and gross margin expansion.
I'd say as you look at it into next year, Jayson, there's really a couple of elements here that will be tailwinds for us. I'd say lower commodity costs, that, for sure. And those were pretty big headwinds for us in -- I'd say in 2022 and 2023. On one hand, you've got commodity costs in nutrition, but you also got other commodity costs that are impacting the entire company.
And what we have seen, and I think a lot of companies have seen this, is those commodity costs start to bend and move down the other way. So -- and that will be particularly important for us as we think about nutrition, which is highly dependent on a large number of commodity and commodity inputs. Seeing a lower freight and distribution. And again, I think a lot of companies are seeing that, but we're seeing that, not only just in terms of rates, but also with more normalized supply chains.
We can use different modalities of freight that can also lower cost and not using air all the time. So that's going to help. We've got, I think, a pretty robust process and teams in place that work on gross margin and gross margin improvement plans. They've been very busy, I'd say, over the last 12, 18 months.
I expect those teams to continue to deliver on their strategies to deliver cost reductions and then favorable product and portfolio mix, right? So as our faster-growing, higher-margin businesses, and new products become a large portion of our overall sales and sales mix, I think that also contributes to that. So yeah, we understand that gross margin is key to be able to deliver on that double-digit bottom-line EPS growth, and we're -- this is something that we work on every year. And I think we've got a little bit more of a better environment for our teams to work on. So on your COVID question, I'll ask Phil to give you the details there.
Phil Boudreau -- Senior Vice President, Finance, and Chief Financial Officer
Thanks. Jayson, relative to 2023 COVID testing sales forecast, full year is about $1.5 billion here.
Robert Ford -- Chairman and Chief Executive Officer
OK. So I'll just wrap up here with a few comments. It's clear that we're seeing broad-based growth across the entire company. As I said in my comments, we've now delivered double-digit organic sales growth here for the past three quarters and forecasting that type of growth again this next quarter.
EPS contributions and the growth in the base business has increased every quarter, and we've exceeded the expectations we set for the initial guidance of the year. The pipeline, to some of the points that were made there, a big kind of opportunity for us going into 2024 is our pipeline, and it continues to be productive with several new product approvals, indications, reimbursement, and geographic expansions there. So momentum is clearly building and well-positioned for a strong end of the year and going into 2024. So with that, I'll wrap up, and thank you for joining us.
Mike Comilla -- Vice President, Investor Relations
Thank you, operator, and thank you, all, for your questions. This now concludes Abbott's conference call. A webcast replay of this call will be available after 11 a.m. Central Time today on Abbott's investor relations website at abbottinvestor.com.
Thank you for joining us today.
Operator
[Operator signoff]
Duration: 0 minutes
Call participants:
Mike Comilla -- Vice President, Investor Relations
Robert Ford -- Chairman and Chief Executive Officer
Phil Boudreau -- Senior Vice President, Finance, and Chief Financial Officer
Josh Jennings -- TD Cowen -- Analyst
Larry Biegelsen -- Wells Fargo Securities -- Analyst
Robbie Marcus -- JPMorgan Chase and Company -- Analyst
Danielle Antalffy -- UBS -- Analyst
Joanne Wuensch -- Citi -- Analyst
Vijay Kumar -- Evercore ISI -- Analyst
Matt Miksic -- Barclays -- Analyst
Jayson Bedford -- Raymond James -- Analyst
More ABT analysis
All earnings call transcripts
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (NYSE: ABT) Q3 2023 Earnings Call Oct 18, 2023, 9:00 a.m. Operator [Operator signoff] Duration: 0 minutes Call participants: Mike Comilla -- Vice President, Investor Relations Robert Ford -- Chairman and Chief Executive Officer Phil Boudreau -- Senior Vice President, Finance, and Chief Financial Officer Josh Jennings -- TD Cowen -- Analyst Larry Biegelsen -- Wells Fargo Securities -- Analyst Robbie Marcus -- JPMorgan Chase and Company -- Analyst Danielle Antalffy -- UBS -- Analyst Joanne Wuensch -- Citi -- Analyst Vijay Kumar -- Evercore ISI -- Analyst Matt Miksic -- Barclays -- Analyst Jayson Bedford -- Raymond James -- Analyst More ABT analysis All earnings call transcripts This article is a transcript of this conference call produced for The Motley Fool. This collaboration will help introduce cutting-edge medicines in the areas of oncology, women's health, and respiratory diseases, the people in countries that have historically lacked access to these treatment options. | Operator [Operator signoff] Duration: 0 minutes Call participants: Mike Comilla -- Vice President, Investor Relations Robert Ford -- Chairman and Chief Executive Officer Phil Boudreau -- Senior Vice President, Finance, and Chief Financial Officer Josh Jennings -- TD Cowen -- Analyst Larry Biegelsen -- Wells Fargo Securities -- Analyst Robbie Marcus -- JPMorgan Chase and Company -- Analyst Danielle Antalffy -- UBS -- Analyst Joanne Wuensch -- Citi -- Analyst Vijay Kumar -- Evercore ISI -- Analyst Matt Miksic -- Barclays -- Analyst Jayson Bedford -- Raymond James -- Analyst More ABT analysis All earnings call transcripts This article is a transcript of this conference call produced for The Motley Fool. Abbott Laboratories (NYSE: ABT) Q3 2023 Earnings Call Oct 18, 2023, 9:00 a.m. With me today are Robert Ford, chairman and chief executive officer; Bob Funck, executive vice president, finance; and Phil Boudreau, senior vice president finance, and chief financial officer. | Operator [Operator signoff] Duration: 0 minutes Call participants: Mike Comilla -- Vice President, Investor Relations Robert Ford -- Chairman and Chief Executive Officer Phil Boudreau -- Senior Vice President, Finance, and Chief Financial Officer Josh Jennings -- TD Cowen -- Analyst Larry Biegelsen -- Wells Fargo Securities -- Analyst Robbie Marcus -- JPMorgan Chase and Company -- Analyst Danielle Antalffy -- UBS -- Analyst Joanne Wuensch -- Citi -- Analyst Vijay Kumar -- Evercore ISI -- Analyst Matt Miksic -- Barclays -- Analyst Jayson Bedford -- Raymond James -- Analyst More ABT analysis All earnings call transcripts This article is a transcript of this conference call produced for The Motley Fool. Abbott Laboratories (NYSE: ABT) Q3 2023 Earnings Call Oct 18, 2023, 9:00 a.m. For the fourth quarter, we forecast total underlying base business organic sales growth, excluding COVID testing sales, to be in the low double digits and exchange to have an unfavorable impact of a little more than 1% on fourth quarter reported sales. | Operator [Operator signoff] Duration: 0 minutes Call participants: Mike Comilla -- Vice President, Investor Relations Robert Ford -- Chairman and Chief Executive Officer Phil Boudreau -- Senior Vice President, Finance, and Chief Financial Officer Josh Jennings -- TD Cowen -- Analyst Larry Biegelsen -- Wells Fargo Securities -- Analyst Robbie Marcus -- JPMorgan Chase and Company -- Analyst Danielle Antalffy -- UBS -- Analyst Joanne Wuensch -- Citi -- Analyst Vijay Kumar -- Evercore ISI -- Analyst Matt Miksic -- Barclays -- Analyst Jayson Bedford -- Raymond James -- Analyst More ABT analysis All earnings call transcripts This article is a transcript of this conference call produced for The Motley Fool. Abbott Laboratories (NYSE: ABT) Q3 2023 Earnings Call Oct 18, 2023, 9:00 a.m. With that, we'll now open the call for questions. |
30678.0 | 2023-10-18 00:00:00 UTC | S&P Futures Plunge as Middle East Fears Weigh on Sentiment, Tesla and Netflix Earnings on Tap | ABT | https://www.nasdaq.com/articles/sp-futures-plunge-as-middle-east-fears-weigh-on-sentiment-tesla-and-netflix-earnings-on | nan | nan | December S&P 500 futures (ESZ23) are trending down -0.45% this morning as uncertainties lingered in the Middle East, and investors weighed the possibility of further rate hikes by the Federal Reserve while eagerly awaiting earnings results from U.S. heavyweights Tesla and Netflix.
In Tuesday’s trading session, Wall Street’s major indexes closed mixed. NVIDIA Corporation (NVDA) slumped over -4% following the United States’ imposition of curbs on the sale of chips produced by the company to China. Also, Goldman Sachs Group Inc (GS) fell more than -1% after the big bank reported a 33% decline in profit for the third quarter. In addition, NetScout Systems Inc (NTCT) plunged over -16% after the company cut its FY24 guidance. On the bullish side, Bank of America Corp (BAC) rose more than +2% after reporting better-than-expected Q3 results. Also, Dollar Tree Inc (DLTR) climbed over +4% after Goldman Sachs upgraded the stock to Buy from Neutral.
Economic data on Tuesday showed that U.S. September retail sales rose +0.7% m/m, stronger than expectations of +0.3% m/m. Also, U.S. industrial production stood at +0.3% m/m in September versus an expected figure of +0.1% m/m. In addition, U.S. September manufacturing production came in at +0.4% m/m, stronger than expectations of +0.1% m/m.
“The data so far is extremely robust, which keeps another rate hike in December on the table,” said Gargi Chaudhuri, head of iShares investment strategy at BlackRock.
Meanwhile, Richmond Fed President Thomas Barkin stated on Tuesday that policymakers “have time” to work out whether they can hold interest rates at their current levels or if there is a need to raise them further to achieve the policymakers’ 2% inflation target. “While the path for inflation isn’t yet clear, we have time to see if we have done enough or whether there’s more work to do,” Barkin said.
U.S. rate futures have priced in a 9.9% chance of a 25 basis point rate increase at the next central bank meeting in November and a 38.2% chance of a 25 basis point rate hike at the conclusion of the Fed’s December meeting.
Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS).
In other news, the planned summit between President Joe Biden and Arab leaders was called off following an explosion at a Gaza hospital that resulted in the loss of hundreds of lives. Israel attributed the explosion to a failed missile launch by the Palestinian Islamic Jihad, potentially marking one of the deadliest incidents since the Hamas attack on October 7th, which resulted in the deaths of 1,300 Israelis. At the same time, the foreign minister of Iran, a major oil exporter, advocated for an oil embargo against Israel.
Today, all eyes are focused on the U.S. Building Permits preliminary data in a couple of hours. Economists, on average, forecast that September Building Permits will stand at 1.455M, compared to the previous value of 1.541M.
Also, investors are likely to focus on U.S. Housing Starts data, which was at 1.283M in August. Economists foresee the September figure to be 1.380M.
U.S. Crude Oil Inventories data will be reported today as well. Economists estimate this figure to be -0.300M, compared to last week’s value of +10.176M.
In addition, market participants will be looking toward a batch of speeches from Fed officials Waller, Williams, Bowman, Harker, and Cook.
In the bond markets, United States 10-year rates are at 4.854%, up +0.10%.
The Euro Stoxx 50 futures are down -0.22% this morning as investors digested fresh Eurozone and U.K. inflation data as well as disappointing results from Abb Ltd while concerns over an escalation in the Middle East conflict continued to weigh on sentiment. Industrial stocks lost ground on Wednesday, while energy and consumer product stocks outperformed. Data on Wednesday showed that U.K. prices maintained the same growth rate in September as in the prior month, ending the recent trend of declining inflation as services prices rose. Separately, data showed Wednesday that Eurozone headline inflation in September cooled to its lowest point since October 2021, confirming preliminary estimates. In corporate news, Adidas Ag (ADS.D.DX) climbed more than +4% after the sportswear maker lifted its guidance for a second time in three months. At the same time, Abb Ltd (ABBN.Z.IX) plunged over -5% after reporting weaker-than-expected earnings.
U.K.’s CPI, U.K.’s Core CPI, Eurozone’s CPI, and Eurozone’s Core CPI data were released today.
U.K. September CPI stood at +0.5% m/m and +6.7% y/y, compared to expectations of +0.5% m/m and +6.6% y/y.
U.K. September Core CPI arrived at +0.5% m/m and +6.1% y/y, compared to expectations of +0.5% m/m and +6.0% y/y.
Eurozone September CPI has been reported at +0.3% m/m and +4.3% y/y, in line with expectations.
Eurozone September Core CPI came in at +0.2% m/m and +4.5% y/y, in line with expectations.
Asian stock markets today closed mixed. China’s Shanghai Composite Index (SHCOMP) closed down -0.80%, and Japan’s Nikkei 225 Stock Index (NIK) closed up +0.01%.
China’s Shanghai Composite today closed lower as concerns over the country’s property sector overshadowed better-than-expected readings on China’s economy. Data showed on Wednesday that China’s economy expanded at a rate exceeding expectations in the third quarter, while domestic consumption also picked up pace last month, indicating that the recent recovery may have sufficient momentum to meet Beijing’s annual growth target. Meanwhile, JP Morgan and Nomura revised their forecasts for China’s 2023 GDP upward. Separately, data showed that the country’s industrial output grew more than expected in September from a year earlier, remaining consistent with the August growth rate, signifying that policy support measures are beginning to stabilize segments of the world’s second-largest economy. At the same time, data released Wednesday indicated that China’s home sales worsened in the first three quarters of the year, despite Beijing’s efforts to reverse a protracted real estate slump. In addition, market sentiment was negatively affected by the Biden administration’s latest imposition of additional restrictions on the export of more advanced artificial intelligence chips to China. As a result, 5G communications and AI stocks slumped on Wednesday. In other news, Country Garden’s $15 million coupon payment deadline has passed without a word of payment, heightening expectations that China’s largest private property developer has defaulted on its offshore debt. On the positive side, BYD climbed over +4% after the Chinese automaker said it expects third-quarter profit to rise at least 67% amid record electric vehicle sales.
The Chinese GDP has been reported at +1.3% q/q and +4.9% y/y in the third quarter, stronger than expectations of +1.0% q/q and +4.4% y/y.
The Chinese September Industrial Production stood at +4.5% y/y, stronger than expectations of +4.3% y/y.
The Chinese September Retail Sales came in at +5.5% y/y, stronger than expectations of +4.9% y/y.
The Chinese September Unemployment Rate was at 5.0%, stronger than expectations of 5.2%.
“Third-quarter GDP and September activity data, National Day Golden Week tourism revenue, as well as high-frequency trackers jointly point to more green shoots in the economy and indicate the sequential growth momentum continues to recover on the back of the ongoing policy easing, albeit at a gradual pace,” Goldman Sachs analysts said in a note.
Japan’s Nikkei 225 Stock Index closed just above the flatline today as investors digested better-than-expected Chinese economic data, while anxieties about a more hawkish Federal Reserve and uncertainties related to the Gaza conflict continued to weigh on sentiment. Energy stocks outperformed on Wednesday due to a surge in crude oil prices. Bank stocks also gained ground, mirroring the gains observed in their U.S. counterparts, with Concordia Financial Group Ltd and Resona Holdings Inc rising over +2%. Meanwhile, the Bank of Japan announced unscheduled bond purchases after the country’s 10-year yield reached a new decade-high. In corporate news, Keisei Electric Railway climbed more than +7% following a statement from shareholder Palliser Capital, which asserted that the company is trading at a substantial discount and has room to release value. The Nikkei Volatility, which takes into account the implied volatility of Nikkei 225 options, closed down -0.71% to 21.00.
Pre-Market U.S. Stock Movers
United Airlines Holdings Inc (UAL) slid over -4% in pre-market trading after the carrier provided weaker-than-expected Q4 EPS guidance.
Floor & Decor Holdings Inc (FND) climbed more than +7% in pre-market trading after entering the S&P MidCap 400 index.
NVIDIA Corporation (NVDA) fell over -1% in pre-market trading after Morgan Stanley lowered its price target on the stock to $600 from $630.
Viking Therapeutics Inc (VKTX) soared about +15% in pre-market trading after the biotech drug developer announced data from an early-stage clinical study showed its drug candidate reduced liver fat levels.
Elastic NV (ESTC) rose over +1% in pre-market trading after Jefferies upgraded the stock to Buy from Hold.
You can see more pre-market stock movers here
Today’s U.S. Earnings Spotlight: Wednesday - October 18th
Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI).
More Stock Market News from Barchart
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On the date of publication, Oleksandr Pylypenko did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). “Third-quarter GDP and September activity data, National Day Golden Week tourism revenue, as well as high-frequency trackers jointly point to more green shoots in the economy and indicate the sequential growth momentum continues to recover on the back of the ongoing policy easing, albeit at a gradual pace,” Goldman Sachs analysts said in a note. | Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). More Stock Market News from Barchart Stocks Mostly Lower as Strong U.S. Economic Reports Push Bond Yields Higher 1 Killer Stock to Buy Now for Long-Term Growth 3 Software Stocks Analysts Like Better Than Palantir Activist Jumps on the VF Bandwagon: Time to Buy? | You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). Japan’s Nikkei 225 Stock Index closed just above the flatline today as investors digested better-than-expected Chinese economic data, while anxieties about a more hawkish Federal Reserve and uncertainties related to the Gaza conflict continued to weigh on sentiment. | Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). In the bond markets, United States 10-year rates are at 4.854%, up +0.10%. |
30679.0 | 2023-10-18 00:00:00 UTC | Abbott Laboratories Q3 Profit Beats Estimates | ABT | https://www.nasdaq.com/articles/abbott-laboratories-q3-profit-beats-estimates | nan | nan | (RTTNews) - Abbott Laboratories (ABT) announced a profit for third quarter that beat the Street estimates.
The company's earnings totaled $1.44 billion, or $0.82 per share. This compares with $1.44 billion, or $0.81 per share, in last year's third quarter.
Excluding items, Abbott Laboratories reported adjusted earnings of $2.00 billion or $1.14 per share for the period.
Analysts on average had expected the company to earn $1.04 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.
The company's revenue for the quarter fell 2.6% to $10.14 billion from $10.41 billion last year.
Abbott Laboratories earnings at a glance (GAAP) :
-Earnings (Q3): $1.44 Bln. vs. $1.44 Bln. last year. -EPS (Q3): $0.82 vs. $0.81 last year. -Analyst Estimates: $1.04 -Revenue (Q3): $10.14 Bln vs. $10.41 Bln last year.
-Guidance: Full year EPS guidance: $4.42 to $4.46
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott Laboratories (ABT) announced a profit for third quarter that beat the Street estimates. Excluding items, Abbott Laboratories reported adjusted earnings of $2.00 billion or $1.14 per share for the period. Analysts on average had expected the company to earn $1.04 per share, according to figures compiled by Thomson Reuters. | (RTTNews) - Abbott Laboratories (ABT) announced a profit for third quarter that beat the Street estimates. Excluding items, Abbott Laboratories reported adjusted earnings of $2.00 billion or $1.14 per share for the period. Abbott Laboratories earnings at a glance (GAAP) : -Earnings (Q3): $1.44 Bln. | (RTTNews) - Abbott Laboratories (ABT) announced a profit for third quarter that beat the Street estimates. Excluding items, Abbott Laboratories reported adjusted earnings of $2.00 billion or $1.14 per share for the period. The company's revenue for the quarter fell 2.6% to $10.14 billion from $10.41 billion last year. | (RTTNews) - Abbott Laboratories (ABT) announced a profit for third quarter that beat the Street estimates. This compares with $1.44 billion, or $0.81 per share, in last year's third quarter. Excluding items, Abbott Laboratories reported adjusted earnings of $2.00 billion or $1.14 per share for the period. |
30680.0 | 2023-10-18 00:00:00 UTC | Markets Today: Stocks Slip on Set-Back in Diplomatic Efforts to Contain Israel-Hamas Conflict | ABT | https://www.nasdaq.com/articles/markets-today%3A-stocks-slip-on-set-back-in-diplomatic-efforts-to-contain-israel-hamas | nan | nan | Morning Markets
December E-Mini S&P 500 futures (ESZ23) are down -0.48%, and the Dec Nasdaq 100 E-Mini futures (NQZ23) are down -0.67%.
Stock index futures this morning are moderately lower on this morning’s weaker-than-expected U.S. housing starts report. Also, risks of an escalation in the Israeli-Hamas war weighed on stock index futures after an explosion at a Gaza hospital complicated diplomatic efforts to contain the conflict. After the bombing, the leaders of Jordan, Egypt and the Palestinian Authority canceled their scheduled summits with President Biden, who landed in Israel today. Hamas immediately blamed Israel for the explosion, but Israeli military authorities today offered evidence that the explosion was caused by an errant Hamas missile, not by Israeli aerial bombing. Also, crude oil prices surged more than +2% to a 2-week high after Iran’s foreign minister called for an oil embargo against Israel.
U.S. Sep housing starts rose by +7.0% to 1.358 million units, slightly weaker than expectations for an increase to 1.383 million. However, Sep building permits fell by -4.4% to 1.473 million units, which was slightly stronger than expectations for a larger decline to 1.453 million units.
The markets are discounting an 8% chance that the FOMC will raise the funds rate by +25 bp at the next FOMC meeting that ends on November 1, and a 38% chance for that +25 bp rate hike at the following meeting that ends on December 13. The markets are then expecting the FOMC to begin cutting rates in the second half of 2024 in response to an expected slowdown in the U.S. economy.
U.S. and European bond yields are higher. The 10-year T-note yield rose to a 1-1/2 week high of 4.866% and is up +0.7 bp at 4.841%. The 10-year German bund yield rose to a 1-1/2 week high of 2.921% and is up +1.5 bp at 2.896%. The 10-year UK gilt yield rise to a 1-1/2 week high of 4.592% and is up +7.4 bp at 4.586%.
Overseas stock markets are mixed. The Euro Stoxx 50 is down -0.59%. China’s Shanghai Composite Index closed down -0.80%. Japan’s Nikkei 225 today closed up +0.01%.
The Euro Stoxx 50 today is moderately lower as Middle East tensions ramped up after an explosion at a Gaza hospital killed hundreds. Crude prices surged to a 2-week high after the Iranian foreign minister called for an oil embargo against Israel. European technology stocks retreated, led by a -2% fall in ASML Holdings NV after it reported Q3 order bookings plunged -42% y/y amid a sector-wide slump in the semiconductor industry. Losses in the overall market were limited as Adidas AG jumped more than +5% after it boosted its guidance for the second time in three months. Also, government bond yields declined after ECB Governing Council member Stournaras said the turmoil in the Middle East has shifted the balance against any further tightening of ECB monetary policy.
China’s Shanghai Composite Stock Index today tumbled to a 1-3/4 month low and closed moderately lower. A selloff in property developers led the overall market lower today after distressed builder Country Garden Holdings said it is unlikely to honor all offshore debt payments on time and will default on $15.4 million of dollar bond interest due. The 30-day grace period for payment on the dollar bonds’ interest ends today. Also, Chinese stocks related to AI fell as the U.S. took steps to block China’s access to advanced semiconductor technology. Chinese stocks moved lower today despite better-than-expected economic news on China Q3 GDP, Sep industrial production and retail sales, and Sep employment.
China Q3 GDP rose +4.9% y/y, stronger than expectations of +4.5% y/y.
China Sep industrial production rose +4.5% y/y, stronger than expectations of +4.4% y/y.
China Sep retail sales rose +5.5% y/y, stronger than expectations of +4.9% y/y and the biggest increase in 4 months.
The China Sep surveyed jobless rate unexpectedly fell -0.2 to a nearly 2-year low of 5.0%, showing a stronger labor market than expectations of no change at 5.2%.
Japan’s Nikkei Stock Index today settled little changed. Strength in bank stocks led the overall market higher today after the 10-year Jan JGB bond yield climbed to a new 10-year high. Japanese chip stocks rose after Socionext jumped more than +15% after announcing plans for an advanced 2-nanometer chips in 2025 with its partnership with Arm Holdings Plc and Taiwan Semiconductor Manufacturing Co. Speculation the Japanese government is mulling tax cuts is also supportive for stocks after the Nikkei newspaper reported that Prime Minister Kishida in considering temporary tax reductions in a policy speech to parliament on Monday.
The yen found support today on comments from former BOJ member Sakurai, who said the BOJ may scrap its negative interest rate policy by the end of the year to adjust the currently excessive level of monetary easing.
Pre-Market U.S. Stock Movers
Nvidia (NVDA) slid nearly -2% in pre-market trading after it warned that new U.S. rules on chip exports to China could hinder product development and cause other difficulties.
Morgan Stanley (MS) fell more than -2% in pre-market trading after reporting Q3 wealth management net revenue of $6.40 billion, below the consensus of $6.58 billion.
Interactive Brokers (IBKR) dropped more than -4% in pre-market trading after it tempered its guidance for accounts growth in an earnings call.
Airline stocks are under pressure in pre-market trading after United Airlines flagged a sharp profit decline should flights to and from Israel remain grounded due to the Israel-Hamas conflict. As a result, United Airlines Holdings (UAL) is down more than -5%, and American Airlines Group (AAL), Delta Air Lines (DAL), and Alaska Air Group (ALK) are down more than -1%.
Sherwin-Williams (SHW) fell more than -2% in pre-market trading after Bank of America Global Research downgraded the stock to underperform from neutral.
Citizens Financial Group (CFG) slid more than -3% in pre-market trading after reporting Q3 revenue of $2.01 billion, weaker than the consensus of $2.04 billion.
Albemarle (ALB) dropped more than -3% in pre-market trading after Bank of America Global Research downgraded the stock to underperform from neutral.
Abbott Laboratories (ABT) climbed more than +2% in pre-market trading after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion.
Viking Therapeutics (VKTX) surged more than +15% in pre-market trading after reporting its GLP-1/GIP receptor significantly reduced liver fat and plasma lipid following 28 days of treatment in a Phase 1 trial.
Editas Medicine (EDIT) climbed more than +3% in pre-market trading after JPMorgan Chase upgraded the stock to neutral from underweight.
Energy stocks and energy service providers are moving higher in pre-market trading with the price of WTI crude up more than +2% to a 2-week high. As a result, Chevron (CVX), Devon Energy (DVN), Exxon Mobil (XOM), Haliburton (HAL), Occidental Petroleum (OXY), Marathon Oil (MRO), Schlumberger (SLB), and Valero Energy (VLO) up more than +1%.
Floor & Decor Holdings (FND) jumped more than +5% in pre-market trading after S&P Dow Jones Indices sad the company will replace Vicor Corp in the S&P MidCap 400, effective on Friday's open.
Travelers Cos (TRV) rose more than +1% in pre-market trading after reporting Q3 net premiums written of $10.49 billion, above the consensus of $10.36 billion.
Earnings Reports (10/18/2023)
Abbott Laboratories (ABT), Citizens Financial Group Inc (CFG), Crown Castle Inc (CCI), Discover Financial Services (DFS), Elevance Health Inc (ELV), Equifax Inc (EFX), Kinder Morgan Inc (KMI), Lam Research Corp (LRCX), Las Vegas Sands Corp (LVS), M&T Bank Corp (MTB), Morgan Stanley (MS), Nasdaq Inc (NDAQ), Netflix Inc (NFLX), Northern Trust Corp (NTRS), PPG Industries Inc (PPG), Procter & Gamble Co/The (PG), State Street Corp (STT), Steel Dynamics Inc (STLD), Tesla Inc (TSLA), Travelers Cos Inc/The (TRV), US Bancorp (USB), Zions Bancorp NA (ZION).
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On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT) climbed more than +2% in pre-market trading after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Earnings Reports (10/18/2023) Abbott Laboratories (ABT), Citizens Financial Group Inc (CFG), Crown Castle Inc (CCI), Discover Financial Services (DFS), Elevance Health Inc (ELV), Equifax Inc (EFX), Kinder Morgan Inc (KMI), Lam Research Corp (LRCX), Las Vegas Sands Corp (LVS), M&T Bank Corp (MTB), Morgan Stanley (MS), Nasdaq Inc (NDAQ), Netflix Inc (NFLX), Northern Trust Corp (NTRS), PPG Industries Inc (PPG), Procter & Gamble Co/The (PG), State Street Corp (STT), Steel Dynamics Inc (STLD), Tesla Inc (TSLA), Travelers Cos Inc/The (TRV), US Bancorp (USB), Zions Bancorp NA (ZION). A selloff in property developers led the overall market lower today after distressed builder Country Garden Holdings said it is unlikely to honor all offshore debt payments on time and will default on $15.4 million of dollar bond interest due. | Earnings Reports (10/18/2023) Abbott Laboratories (ABT), Citizens Financial Group Inc (CFG), Crown Castle Inc (CCI), Discover Financial Services (DFS), Elevance Health Inc (ELV), Equifax Inc (EFX), Kinder Morgan Inc (KMI), Lam Research Corp (LRCX), Las Vegas Sands Corp (LVS), M&T Bank Corp (MTB), Morgan Stanley (MS), Nasdaq Inc (NDAQ), Netflix Inc (NFLX), Northern Trust Corp (NTRS), PPG Industries Inc (PPG), Procter & Gamble Co/The (PG), State Street Corp (STT), Steel Dynamics Inc (STLD), Tesla Inc (TSLA), Travelers Cos Inc/The (TRV), US Bancorp (USB), Zions Bancorp NA (ZION). Abbott Laboratories (ABT) climbed more than +2% in pre-market trading after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Chinese stocks moved lower today despite better-than-expected economic news on China Q3 GDP, Sep industrial production and retail sales, and Sep employment. | Earnings Reports (10/18/2023) Abbott Laboratories (ABT), Citizens Financial Group Inc (CFG), Crown Castle Inc (CCI), Discover Financial Services (DFS), Elevance Health Inc (ELV), Equifax Inc (EFX), Kinder Morgan Inc (KMI), Lam Research Corp (LRCX), Las Vegas Sands Corp (LVS), M&T Bank Corp (MTB), Morgan Stanley (MS), Nasdaq Inc (NDAQ), Netflix Inc (NFLX), Northern Trust Corp (NTRS), PPG Industries Inc (PPG), Procter & Gamble Co/The (PG), State Street Corp (STT), Steel Dynamics Inc (STLD), Tesla Inc (TSLA), Travelers Cos Inc/The (TRV), US Bancorp (USB), Zions Bancorp NA (ZION). Abbott Laboratories (ABT) climbed more than +2% in pre-market trading after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Strength in bank stocks led the overall market higher today after the 10-year Jan JGB bond yield climbed to a new 10-year high. | Abbott Laboratories (ABT) climbed more than +2% in pre-market trading after reporting Q3 net sales of $10.14 billion, better than the consensus of $9.81 billion. Earnings Reports (10/18/2023) Abbott Laboratories (ABT), Citizens Financial Group Inc (CFG), Crown Castle Inc (CCI), Discover Financial Services (DFS), Elevance Health Inc (ELV), Equifax Inc (EFX), Kinder Morgan Inc (KMI), Lam Research Corp (LRCX), Las Vegas Sands Corp (LVS), M&T Bank Corp (MTB), Morgan Stanley (MS), Nasdaq Inc (NDAQ), Netflix Inc (NFLX), Northern Trust Corp (NTRS), PPG Industries Inc (PPG), Procter & Gamble Co/The (PG), State Street Corp (STT), Steel Dynamics Inc (STLD), Tesla Inc (TSLA), Travelers Cos Inc/The (TRV), US Bancorp (USB), Zions Bancorp NA (ZION). U.S. and European bond yields are higher. |
30681.0 | 2023-10-18 00:00:00 UTC | Abbott Laboratories Lifts Midpoint Of FY23 Earnings Outlook Range - Update | ABT | https://www.nasdaq.com/articles/abbott-laboratories-lifts-midpoint-of-fy23-earnings-outlook-range-update | nan | nan | (RTTNews) - Biopharmaceutical major Abbott Laboratories (ABT), while announcing flat earnings and weak revenues in its third quarter, on Wednesday raised the midpoint of its fiscal 2023 earnings guidance on a reported and adjusted basis.
For the year, the company now expects earnings per share of $3.14 to $3.18 and adjusted earnings per share of $4.42 to $4.46.
The company previously expected earnings per share of $3.02 to $3.22 and adjusted earnings per share of $4.30 to $4.50 for the full-year 2023.
On average, 19 analysts polled by Thomson Reuters expect earnings of $4.18 per share for the year. Analysts' estimates typically exclude special items.
In its third quarter, the company's earnings totaled $1.44 billion, or $0.82 per share, compared to $1.44 billion, or $0.81 per share, in last year's third quarter.
Abbott reported adjusted earnings of $2.00 billion or $1.14 per share for the period. Analysts had expected the company to earn $1.04 per share.
The company's revenue for the quarter fell 2.6% to $10.14 billion from $10.41 billion last year.
In pre-market activity, Abbott shares are trading at $94.20, up 2.24% on the New York Stock Exchange.
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Biopharmaceutical major Abbott Laboratories (ABT), while announcing flat earnings and weak revenues in its third quarter, on Wednesday raised the midpoint of its fiscal 2023 earnings guidance on a reported and adjusted basis. On average, 19 analysts polled by Thomson Reuters expect earnings of $4.18 per share for the year. In pre-market activity, Abbott shares are trading at $94.20, up 2.24% on the New York Stock Exchange. | (RTTNews) - Biopharmaceutical major Abbott Laboratories (ABT), while announcing flat earnings and weak revenues in its third quarter, on Wednesday raised the midpoint of its fiscal 2023 earnings guidance on a reported and adjusted basis. For the year, the company now expects earnings per share of $3.14 to $3.18 and adjusted earnings per share of $4.42 to $4.46. In its third quarter, the company's earnings totaled $1.44 billion, or $0.82 per share, compared to $1.44 billion, or $0.81 per share, in last year's third quarter. | (RTTNews) - Biopharmaceutical major Abbott Laboratories (ABT), while announcing flat earnings and weak revenues in its third quarter, on Wednesday raised the midpoint of its fiscal 2023 earnings guidance on a reported and adjusted basis. For the year, the company now expects earnings per share of $3.14 to $3.18 and adjusted earnings per share of $4.42 to $4.46. The company previously expected earnings per share of $3.02 to $3.22 and adjusted earnings per share of $4.30 to $4.50 for the full-year 2023. | (RTTNews) - Biopharmaceutical major Abbott Laboratories (ABT), while announcing flat earnings and weak revenues in its third quarter, on Wednesday raised the midpoint of its fiscal 2023 earnings guidance on a reported and adjusted basis. For the year, the company now expects earnings per share of $3.14 to $3.18 and adjusted earnings per share of $4.42 to $4.46. Abbott reported adjusted earnings of $2.00 billion or $1.14 per share for the period. |
30682.0 | 2023-10-18 00:00:00 UTC | Pre-Market Most Active for Oct 18, 2023 : ARDX, SQQQ, NKTX, TQQQ, QQQ, NVDA, ABT, PLTR, MS, NCLH, SPR, NIO | ABT | https://www.nasdaq.com/articles/pre-market-most-active-for-oct-18-2023-%3A-ardx-sqqq-nktx-tqqq-qqq-nvda-abt-pltr-ms-nclh-spr | nan | nan | The NASDAQ 100 Pre-Market Indicator is down -83.87 to 15,038.14. The total Pre-Market volume is currently 89,913,341 shares traded.
The following are the most active stocks for the pre-market session:
Ardelyx, Inc. (ARDX) is +0.55 at $4.00, with 8,064,188 shares traded. As reported by Zacks, the current mean recommendation for ARDX is in the "strong buy range".
ProShares UltraPro Short QQQ (SQQQ) is +0.28 at $19.11, with 3,387,490 shares traded. This represents a 16.67% increase from its 52 Week Low.
Nkarta, Inc. (NKTX) is -0.07 at $3.07, with 1,947,038 shares traded. As reported in the last short interest update the days to cover for NKTX is 8.724752; this calculation is based on the average trading volume of the stock.
ProShares UltraPro QQQ (TQQQ) is -0.56 at $37.74, with 1,873,236 shares traded. This represents a 134.41% increase from its 52 Week Low.
Invesco QQQ Trust, Series 1 (QQQ) is -1.65 at $366.55, with 766,966 shares traded. This represents a 41.48% increase from its 52 Week Low.
NVIDIA Corporation (NVDA) is -7.46 at $431.92, with 697,170 shares traded. As reported by Zacks, the current mean recommendation for NVDA is in the "buy range".
Abbott Laboratories (ABT) is +2.24 at $94.38, with 639,471 shares traded. Smarter Analyst Reports: Abbott Rewards Shareholders; Shares Record New All-Time High
Palantir Technologies Inc. (PLTR) is -0.11 at $17.73, with 568,517 shares traded. PLTR's current last sale is 118.2% of the target price of $15.
Morgan Stanley (MS) is -2.38 at $77.95, with 400,800 shares traded. Smarter Analyst Reports: Understanding Box’s Newly Added Risk Factors
Norwegian Cruise Line Holdings Ltd. (NCLH) is -0.19 at $14.95, with 297,166 shares traded. NCLH's current last sale is 74.75% of the target price of $20.
Spirit Aerosystems Holdings, Inc. (SPR) is +1.81 at $19.00, with 291,225 shares traded. SPR's current last sale is 69.09% of the target price of $27.5.
NIO Inc. (NIO) is -0.09 at $8.44, with 245,295 shares traded. NIO's current last sale is 71.83% of the target price of $11.75.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT) is +2.24 at $94.38, with 639,471 shares traded. As reported in the last short interest update the days to cover for NKTX is 8.724752; this calculation is based on the average trading volume of the stock. Smarter Analyst Reports: Abbott Rewards Shareholders; Shares Record New All-Time High | Abbott Laboratories (ABT) is +2.24 at $94.38, with 639,471 shares traded. The total Pre-Market volume is currently 89,913,341 shares traded. ProShares UltraPro Short QQQ (SQQQ) is +0.28 at $19.11, with 3,387,490 shares traded. | Abbott Laboratories (ABT) is +2.24 at $94.38, with 639,471 shares traded. The total Pre-Market volume is currently 89,913,341 shares traded. ProShares UltraPro Short QQQ (SQQQ) is +0.28 at $19.11, with 3,387,490 shares traded. | Abbott Laboratories (ABT) is +2.24 at $94.38, with 639,471 shares traded. As reported in the last short interest update the days to cover for NKTX is 8.724752; this calculation is based on the average trading volume of the stock. Smarter Analyst Reports: Abbott Rewards Shareholders; Shares Record New All-Time High |
30683.0 | 2023-10-18 00:00:00 UTC | Abbott profit beats on strong sales of medical devices, diagnostics | ABT | https://www.nasdaq.com/articles/abbott-profit-beats-on-strong-sales-of-medical-devices-diagnostics | nan | nan | Adds details on earnings throughout
Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings on strong demand for its medical devices and diagnostics products.
The company is seeing a recovery in sales of its medical devices such as heart valve devices and pacemakers as more older people opt for surgeries that were put off due to the pandemic.
Abbott posted a near 17% rise in quarterly sales of its medical devices to $4.25 billion, beating analysts' estimates of $4.16 billion.
Its continuous-glucose-monitoring (CGM) device, Freestyle Libre, brought in sales of about $1.4 billion, compared with $1.3 billion in the second quarter.
Sales of those devices are expected to come under pressure, with the growing popularity of new diabetes drugs such as Novo Nordisk's Ozempic and Eli Lilly's LLY.N Mounjaro.
Abbott, however, has tried to allay those concerns by saying it could be a "complementary relationship" between the two.
On an adjusted basis, the company now expects annual profit of $4.42 to $4.46 per share, compared with its previous forecast of $4.30-$4.50 per share.
Excluding items, Abbott earned $1.14 per share, above analysts' estimates of $1.10 per share, according to LSEG data.
(Reporting by Pratik Jain and Leroy Leo in Bengaluru; Editing by Anil D'Silva)
((Pratik.Jain@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details on earnings throughout Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings on strong demand for its medical devices and diagnostics products. Sales of those devices are expected to come under pressure, with the growing popularity of new diabetes drugs such as Novo Nordisk's Ozempic and Eli Lilly's LLY.N Mounjaro. (Reporting by Pratik Jain and Leroy Leo in Bengaluru; Editing by Anil D'Silva) ((Pratik.Jain@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details on earnings throughout Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings on strong demand for its medical devices and diagnostics products. Abbott posted a near 17% rise in quarterly sales of its medical devices to $4.25 billion, beating analysts' estimates of $4.16 billion. On an adjusted basis, the company now expects annual profit of $4.42 to $4.46 per share, compared with its previous forecast of $4.30-$4.50 per share. | Adds details on earnings throughout Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings on strong demand for its medical devices and diagnostics products. The company is seeing a recovery in sales of its medical devices such as heart valve devices and pacemakers as more older people opt for surgeries that were put off due to the pandemic. Abbott posted a near 17% rise in quarterly sales of its medical devices to $4.25 billion, beating analysts' estimates of $4.16 billion. | Adds details on earnings throughout Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings on strong demand for its medical devices and diagnostics products. The company is seeing a recovery in sales of its medical devices such as heart valve devices and pacemakers as more older people opt for surgeries that were put off due to the pandemic. Abbott posted a near 17% rise in quarterly sales of its medical devices to $4.25 billion, beating analysts' estimates of $4.16 billion. |
30684.0 | 2023-10-18 00:00:00 UTC | ABB matches Q3 earnings forecasts, dampens expectations for next quarter | ABT | https://www.nasdaq.com/articles/abb-matches-q3-earnings-forecasts-dampens-expectations-for-next-quarter | nan | nan | Adds details
ZURICH, Oct 18 (Reuters) - Swiss engineering group ABB ABBN.S matched forecasts with its third-quarter operating profit on Wednesday and dampened expectations for the fourth quarter while reporting continued decline in orders from China.
The maker of industrial drives and motors posted a 13% increase in its operational earnings before interest, tax and amortisation (EBITA) to $1.4 billion during the three months to Sept. 30, in line with a company-gathered consensus of forecasts.
Revenues at the company, which competes with Germany's Siemens SIEGn.DE and France's Schneider Electric SCHN.PA rose 8% on a comparable basis to $8 billion, slightly below analysts' forecast for $8.1 billion.
ABB reported net income of $882 million, below the $919 million consensus forecast.
ABB, a big supplier to industry, is seen as a bellwether for the broader global economy, with its products being used in ships, ports, factories and transport systems.
The group said its order intake fell 2% during the quarter with double-digit growth in the United States, its biggest market, partially helping to offset a decline in China, ABB's second-largest market.
"Orders in China declined at a low single-digit comparable growth rate particularly hampered by weakness in robotics and construction demand," Chief Executive Bjorn Rosengren said in a statement.
ABB said it anticipated low- to mid-single digit comparable revenue growth in the fourth quarter. For the full year 2023, the group said it expected comparable revenue growth to be in the low double-digit percentage range, and an operational margin to be in the range of 16.5% to 17.0%.
Previously it had said it expected revenue growth of at least 10% and an operational margin above 16%.
The company is due to unveil new mid-term targets at its investor day on Nov. 30.
(Reporting by Noele Illien and John Revill, Editing by Rachel More and Tomasz Janowski)
((Noele.Illien@thomsonreuters.com; +41 41 528 39 73;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Adds details ZURICH, Oct 18 (Reuters) - Swiss engineering group ABB ABBN.S matched forecasts with its third-quarter operating profit on Wednesday and dampened expectations for the fourth quarter while reporting continued decline in orders from China. The maker of industrial drives and motors posted a 13% increase in its operational earnings before interest, tax and amortisation (EBITA) to $1.4 billion during the three months to Sept. 30, in line with a company-gathered consensus of forecasts. "Orders in China declined at a low single-digit comparable growth rate particularly hampered by weakness in robotics and construction demand," Chief Executive Bjorn Rosengren said in a statement. | Adds details ZURICH, Oct 18 (Reuters) - Swiss engineering group ABB ABBN.S matched forecasts with its third-quarter operating profit on Wednesday and dampened expectations for the fourth quarter while reporting continued decline in orders from China. "Orders in China declined at a low single-digit comparable growth rate particularly hampered by weakness in robotics and construction demand," Chief Executive Bjorn Rosengren said in a statement. ABB said it anticipated low- to mid-single digit comparable revenue growth in the fourth quarter. | Adds details ZURICH, Oct 18 (Reuters) - Swiss engineering group ABB ABBN.S matched forecasts with its third-quarter operating profit on Wednesday and dampened expectations for the fourth quarter while reporting continued decline in orders from China. The group said its order intake fell 2% during the quarter with double-digit growth in the United States, its biggest market, partially helping to offset a decline in China, ABB's second-largest market. For the full year 2023, the group said it expected comparable revenue growth to be in the low double-digit percentage range, and an operational margin to be in the range of 16.5% to 17.0%. | Adds details ZURICH, Oct 18 (Reuters) - Swiss engineering group ABB ABBN.S matched forecasts with its third-quarter operating profit on Wednesday and dampened expectations for the fourth quarter while reporting continued decline in orders from China. The maker of industrial drives and motors posted a 13% increase in its operational earnings before interest, tax and amortisation (EBITA) to $1.4 billion during the three months to Sept. 30, in line with a company-gathered consensus of forecasts. Previously it had said it expected revenue growth of at least 10% and an operational margin above 16%. |
30685.0 | 2023-10-18 00:00:00 UTC | US STOCKS-Wall St set for lower open as Middle East tensions drive risk-off mood | ABT | https://www.nasdaq.com/articles/us-stocks-wall-st-set-for-lower-open-as-middle-east-tensions-drive-risk-off-mood | nan | nan | By Ankika Biswas and Shashwat Chauhan
Oct 18 (Reuters) - Wall Street's main indexes were set to open lower on Wednesday as growing tensions in the Middle East spurred safe-haven demand, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses.
U.S. President Joe Biden arrived in Israel, pledging solidarity in its war against Hamas and backing its account that a blast that killed huge numbers of Palestinians at a Gaza hospital appeared to have been caused not by Israel but by its foes.
Oil prices climbed nearly 2% on concerns about potential supply disruptions, steering a 0.5%-0.6% gain in energy firms Chevron CVX.N, Exxon Mobil XOM.N and Occidental Petroleum OXY.N in premarket trading.
Demand for safe-haven assets sent gold prices 1% higher while the dollar =USD also strengthened.
On the earnings front, Morgan Stanley's MS.N third-quarter profit dropped less than expected as a strong performance in its wealth management division offset a hit from a lull in dealmaking. The company's shares, however, fell 2.8%.
Abbott LaboratoriesABT.N advanced 2.4% after beating third-quarter profit estimates on strong sales of devices, diagnostics products.
Consumer goods maker Procter & GamblePG.N gained 1.8% after its quarterly sales topped market expectations.
EV maker Tesla TSLA.O and streaming services company Netflix NFLX.O are scheduled to report quarterly results after market close. Their shares were down 0.7% and 0.8%, respectively.
"Earnings are coming in better than expected. Guidance has been pretty good so far, but the problem with the market is that we have headwinds - rising yields and geopolitical concerns," said Peter Cardillo, chief market economist at Spartan Capital Securities.
"The fundamentals of the market are not that bad. So if we didn't have these headwinds, certainly we would probably be in a solid upward trend based on earnings that have been so far reported."
Data on Tuesday showed U.S. retail sales increased more than expected in September fueling fears of higher-for-longer rates, with the S&P 500 .SPX and the Dow .DJI ending flat.
Several Federal Reserve officials, including New York's John Williams and board governors Christopher Waller and Michelle Bowman will speak later in the day, ahead of Chair Jerome Powell's remarks on Thursday.
Philadelphia Fed president Patrick Harker said in an interview with the Wall Street Journal that the U.S. central bank should extend its pause on interest-rate increases.
Minneapolis Fed President Neel Kashkari said on Tuesday it had taken much longer than expected for inflation to come down, and it was "still too high".
At 8:39 a.m. ET, Dow e-minis 1YMcv1 were down 78 points, or 0.23%, S&P 500 e-minis EScv1 were down 19.25 points, or 0.44%, and Nasdaq 100 e-minis NQcv1 were down 91.5 points, or 0.60%.
Nvidia NVDA.O fell 2.0% following Tuesday's 4.7% drop on lingering concerns over the Biden administration's plans to halt shipments of more advanced AI chips designed by the company and others to China.
United Airlines HoldingsUAL.O lost 5.5% after forecasting weaker fourth-quarter profit due to higher costs. Rivals American Airlines AAL.O and Delta Air Lines DAL.N also shed 1.4% and 1.2%, respectively.
Interactive Brokers GroupIBKR.O fell 3.6% after reporting third-quarter results, with brokerages reducing their price targets on the online broker, citing the company's lowered account growth targets.
Card firms Visa V.N and Mastercard MA.N fell 1.3% and 0.8%, respectively, on a report that Fed will lower debit-card swipe fees.
(Reporting by Ankika Biswas and Shashwat Chauhan in Bengaluru; additional reporting by Sruthi Shankar; editing by Arun Koyyur and Vinay Dwivedi)
((Ankika.Biswas@thomsonreuters.com; Shashwat.Chauhan@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott LaboratoriesABT.N advanced 2.4% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes were set to open lower on Wednesday as growing tensions in the Middle East spurred safe-haven demand, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. Oil prices climbed nearly 2% on concerns about potential supply disruptions, steering a 0.5%-0.6% gain in energy firms Chevron CVX.N, Exxon Mobil XOM.N and Occidental Petroleum OXY.N in premarket trading. | Abbott LaboratoriesABT.N advanced 2.4% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes were set to open lower on Wednesday as growing tensions in the Middle East spurred safe-haven demand, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. Consumer goods maker Procter & GamblePG.N gained 1.8% after its quarterly sales topped market expectations. | Abbott LaboratoriesABT.N advanced 2.4% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes were set to open lower on Wednesday as growing tensions in the Middle East spurred safe-haven demand, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. Interactive Brokers GroupIBKR.O fell 3.6% after reporting third-quarter results, with brokerages reducing their price targets on the online broker, citing the company's lowered account growth targets. | Abbott LaboratoriesABT.N advanced 2.4% after beating third-quarter profit estimates on strong sales of devices, diagnostics products. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Wall Street's main indexes were set to open lower on Wednesday as growing tensions in the Middle East spurred safe-haven demand, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. The company's shares, however, fell 2.8%. |
30686.0 | 2023-10-18 00:00:00 UTC | Abbott beats profit estimates on strong sales of devices, diagnostics | ABT | https://www.nasdaq.com/articles/abbott-beats-profit-estimates-on-strong-sales-of-devices-diagnostics | nan | nan | Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings due to strong demand for its medical devices and diagnostics products.
The revised forecast comes at a time when demand for medical devices is seen recovering as more older people opt for non-urgent surgeries that had been put off due to the pandemic.
On an adjusted basis, the company now expects annual profit of $4.42 to $4.46 per share, compared with its previous forecast of $4.30-$4.50 per share.
Excluding items, Abbott earned $1.14 per share, above analysts' estimates of $1.10 per share, according to LSEG data.
(Reporting by Pratik Jain and Leroy Leo in Bengaluru; Editing by Anil D'Silva)
((Pratik.Jain@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings due to strong demand for its medical devices and diagnostics products. The revised forecast comes at a time when demand for medical devices is seen recovering as more older people opt for non-urgent surgeries that had been put off due to the pandemic. (Reporting by Pratik Jain and Leroy Leo in Bengaluru; Editing by Anil D'Silva) ((Pratik.Jain@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings due to strong demand for its medical devices and diagnostics products. The revised forecast comes at a time when demand for medical devices is seen recovering as more older people opt for non-urgent surgeries that had been put off due to the pandemic. Excluding items, Abbott earned $1.14 per share, above analysts' estimates of $1.10 per share, according to LSEG data. | Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings due to strong demand for its medical devices and diagnostics products. On an adjusted basis, the company now expects annual profit of $4.42 to $4.46 per share, compared with its previous forecast of $4.30-$4.50 per share. (Reporting by Pratik Jain and Leroy Leo in Bengaluru; Editing by Anil D'Silva) ((Pratik.Jain@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Oct 18 (Reuters) - Abbott Laboratories ABT.N on Wednesday tightened its profit forecast for the year after beating estimates for third-quarter earnings due to strong demand for its medical devices and diagnostics products. The revised forecast comes at a time when demand for medical devices is seen recovering as more older people opt for non-urgent surgeries that had been put off due to the pandemic. On an adjusted basis, the company now expects annual profit of $4.42 to $4.46 per share, compared with its previous forecast of $4.30-$4.50 per share. |
30687.0 | 2023-10-18 00:00:00 UTC | US STOCKS-Futures down on Middle East worries as earnings get into full swing | ABT | https://www.nasdaq.com/articles/us-stocks-futures-down-on-middle-east-worries-as-earnings-get-into-full-swing | nan | nan | By Ankika Biswas and Shashwat Chauhan
Oct 18 (Reuters) - Futures for Wall Street's main indexes dipped on Wednesday as growing tensions in the Middle East spurred demand for safe-haven assets, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses.
A huge explosion at a Gaza hospital killed hundreds of Palestinians, wrecking a diplomatic mission by U.S. President Joe Biden, who arrived in Israel on Wednesday but was snubbed by Arab leaders who called off an emergency summit.
Oil prices surged nearly 3% on concerns about potential supply disruptions, steering an around 1% gain each in energy firms Chevron CVX.N, Exxon Mobil XOM.N and Occidental Petroleum OXY.N in premarket trading.
A demand for safe-haven assets sent gold prices to near one-month highs, while the advance in U.S. Treasury yields stalled on Wednesday.
On the earnings front, consumer goods maker Procter & GamblePG.N edged up 0.2% after its quarterly sales topped market expectations.
Investors would lookout for quarterly updates from U.S. bank Morgan Stanley MS.N, custodian bank State Street STT.N and medical device maker Abbott Laboratories ABT.N before the opening bell.
EV maker Tesla TSLA.O and streaming services company Netflix NFLX.O are scheduled to report quarterly results after market close.
Data on Tuesday showed U.S. retail sales increased more than expected in September. Both the S&P 500 .SPX and the Dow .DJI ended flat on the day.
Several Federal Reserve officials, including New York's John Williams and Board Governors Christopher Waller and Michelle Bowman will speak later in the day, ahead of Chair Jerome Powell's remarks on Thursday.
"The debate whether higher rates are required appears to have been settled at least for the November meeting ... unless Powell springs a surprise tomorrow," Societe Generale strategists said in a note.
Philadelphia Fed president Patrick Harker said in an interview with the Wall Street Journal that the U.S. central bank should extend its pause on interest-rate increases.
Minneapolis Fed President Neel Kashkari said on Tuesday it had taken much longer than expected for inflation to come down, and it was "still too high".
At 7:02 a.m. ET, Dow e-minis 1YMcv1 were down 93 points, or 0.27%, S&P 500 e-minis EScv1 were down 18.5 points, or 0.42%, and Nasdaq 100 e-minis NQcv1 were down 88.25 points, or 0.58%.
Nvidia NVDA.O fell 1.3% following Tuesday's 4.7% drop on lingering concerns over the Biden administration's plans to halt shipments of more advanced AI chips designed by the company and others to China.
United Airlines HoldingsUAL.O lost 5.3% after forecasting weaker fourth-quarter profit due to higher costs. Rivals American Airlines AAL.O and Delta Air Lines DAL.N also shed 1.7% and 1.5%, respectively.
Interactive Brokers GroupIBKR.O fell 3.7% after reporting third-quarter results, with brokerages reducing their price targets on the online broker, citing the company's lowered account growth targets.
Travelers CompaniesTRV.N reported a 14% fall in quarterly profit. Shares of the insurance company were up 0.6%.
(Reporting by Ankika Biswas and Shashwat Chauhan in Bengaluru; Editing by Arun Koyyur and Vinay Dwivedi)
((Ankika.Biswas@thomsonreuters.com; Shashwat.Chauhan@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Investors would lookout for quarterly updates from U.S. bank Morgan Stanley MS.N, custodian bank State Street STT.N and medical device maker Abbott Laboratories ABT.N before the opening bell. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Futures for Wall Street's main indexes dipped on Wednesday as growing tensions in the Middle East spurred demand for safe-haven assets, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. A huge explosion at a Gaza hospital killed hundreds of Palestinians, wrecking a diplomatic mission by U.S. President Joe Biden, who arrived in Israel on Wednesday but was snubbed by Arab leaders who called off an emergency summit. | Investors would lookout for quarterly updates from U.S. bank Morgan Stanley MS.N, custodian bank State Street STT.N and medical device maker Abbott Laboratories ABT.N before the opening bell. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Futures for Wall Street's main indexes dipped on Wednesday as growing tensions in the Middle East spurred demand for safe-haven assets, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. ET, Dow e-minis 1YMcv1 were down 93 points, or 0.27%, S&P 500 e-minis EScv1 were down 18.5 points, or 0.42%, and Nasdaq 100 e-minis NQcv1 were down 88.25 points, or 0.58%. | Investors would lookout for quarterly updates from U.S. bank Morgan Stanley MS.N, custodian bank State Street STT.N and medical device maker Abbott Laboratories ABT.N before the opening bell. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Futures for Wall Street's main indexes dipped on Wednesday as growing tensions in the Middle East spurred demand for safe-haven assets, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. ET, Dow e-minis 1YMcv1 were down 93 points, or 0.27%, S&P 500 e-minis EScv1 were down 18.5 points, or 0.42%, and Nasdaq 100 e-minis NQcv1 were down 88.25 points, or 0.58%. | Investors would lookout for quarterly updates from U.S. bank Morgan Stanley MS.N, custodian bank State Street STT.N and medical device maker Abbott Laboratories ABT.N before the opening bell. By Ankika Biswas and Shashwat Chauhan Oct 18 (Reuters) - Futures for Wall Street's main indexes dipped on Wednesday as growing tensions in the Middle East spurred demand for safe-haven assets, with investors also focused on earnings to gauge the impact of inflation and high interest rates on businesses. EV maker Tesla TSLA.O and streaming services company Netflix NFLX.O are scheduled to report quarterly results after market close. |
30688.0 | 2023-10-18 00:00:00 UTC | S&P Futures Drop as Middle East Fears Weigh on Sentiment, Tesla and Netflix Earnings on Tap | ABT | https://www.nasdaq.com/articles/sp-futures-drop-as-middle-east-fears-weigh-on-sentiment-tesla-and-netflix-earnings-on-tap | nan | nan | December S&P 500 futures (ESZ23) are trending down -0.34% this morning as uncertainties lingered in the Middle East, and investors weighed the possibility of further rate hikes by the Federal Reserve while eagerly awaiting earnings results from U.S. heavyweights Tesla and Netflix.
In Tuesday’s trading session, Wall Street’s major indexes closed mixed. NVIDIA Corporation (NVDA) slumped over -4% following the United States’ imposition of curbs on the sale of chips produced by the company to China. Also, Goldman Sachs Group Inc (GS) fell more than -1% after the big bank reported a 33% decline in profit for the third quarter. In addition, NetScout Systems Inc (NTCT) plunged over -16% after the company cut its FY24 guidance. On the bullish side, Bank of America Corp (BAC) rose more than +2% after reporting better-than-expected Q3 results. Also, Dollar Tree Inc (DLTR) climbed over +4% after Goldman Sachs upgraded the stock to Buy from Neutral.
Economic data on Tuesday showed that U.S. September retail sales rose +0.7% m/m, stronger than expectations of +0.3% m/m. Also, U.S. industrial production stood at +0.3% m/m in September versus an expected figure of +0.1% m/m. In addition, U.S. September manufacturing production came in at +0.4% m/m, stronger than expectations of +0.1% m/m.
“The data so far is extremely robust, which keeps another rate hike in December on the table,” said Gargi Chaudhuri, head of iShares investment strategy at BlackRock.
Meanwhile, Richmond Fed President Thomas Barkin stated on Tuesday that policymakers “have time” to work out whether they can hold interest rates at their current levels or if there is a need to raise them further to achieve the policymakers’ 2% inflation target. “While the path for inflation isn’t yet clear, we have time to see if we have done enough or whether there’s more work to do,” Barkin said.
U.S. rate futures have priced in a 9.9% chance of a 25 basis point rate increase at the next central bank meeting in November and a 38.2% chance of a 25 basis point rate hike at the conclusion of the Fed’s December meeting.
Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS).
In other news, the planned summit between President Joe Biden and Arab leaders was called off following an explosion at a Gaza hospital that resulted in the loss of hundreds of lives. Israel attributed the explosion to a failed missile launch by the Palestinian Islamic Jihad, potentially marking one of the deadliest incidents since the Hamas attack on October 7th, which resulted in the deaths of 1,300 Israelis.
Today, all eyes are focused on the U.S. Building Permits preliminary data in a couple of hours. Economists, on average, forecast that September Building Permits will stand at 1.455M, compared to the previous value of 1.541M.
Also, investors are likely to focus on U.S. Housing Starts data, which was at 1.283M in August. Economists foresee the September figure to be 1.380M.
U.S. Crude Oil Inventories data will be reported today as well. Economists estimate this figure to be -0.300M, compared to last week’s value of +10.176M.
In addition, market participants will be looking toward a batch of speeches from Fed officials Waller, Williams, Bowman, Harker, and Cook.
In the bond markets, United States 10-year rates are at 4.854%, up +0.10%.
The Euro Stoxx 50 futures are down -0.22% this morning as investors digested fresh Eurozone and U.K. inflation data as well as disappointing results from Abb Ltd while concerns over an escalation in the Middle East conflict continued to weigh on sentiment. Industrial stocks lost ground on Wednesday, while energy and consumer product stocks outperformed. Data on Wednesday showed that U.K. prices maintained the same growth rate in September as in the prior month, ending the recent trend of declining inflation as services prices rose. Separately, data showed Wednesday that Eurozone headline inflation in September cooled to its lowest point since October 2021, confirming preliminary estimates. In corporate news, Adidas Ag (ADS.D.DX) climbed more than +4% after the sportswear maker lifted its guidance for a second time in three months. At the same time, Abb Ltd (ABBN.Z.IX) plunged over -5% after reporting weaker-than-expected earnings.
U.K.’s CPI, U.K.’s Core CPI, Eurozone’s CPI, and Eurozone’s Core CPI data were released today.
U.K. September CPI stood at +0.5% m/m and +6.7% y/y, compared to expectations of +0.5% m/m and +6.6% y/y.
U.K. September Core CPI arrived at +0.5% m/m and +6.1% y/y, compared to expectations of +0.5% m/m and +6.0% y/y.
Eurozone September CPI has been reported at +0.3% m/m and +4.3% y/y, in line with expectations.
Eurozone September Core CPI came in at +0.2% m/m and +4.5% y/y, in line with expectations.
Asian stock markets today closed mixed. China’s Shanghai Composite Index (SHCOMP) closed down -0.80%, and Japan’s Nikkei 225 Stock Index (NIK) closed up +0.01%.
China’s Shanghai Composite today closed lower as concerns over the country’s property sector overshadowed better-than-expected readings on China’s economy. Data showed on Wednesday that China’s economy expanded at a rate exceeding expectations in the third quarter, while domestic consumption also picked up pace last month, indicating that the recent recovery may have sufficient momentum to meet Beijing’s annual growth target. Meanwhile, JP Morgan and Nomura revised their forecasts for China’s 2023 GDP upward. Separately, data showed that the country’s industrial output grew more than expected in September from a year earlier, remaining consistent with the August growth rate, signifying that policy support measures are beginning to stabilize segments of the world’s second-largest economy. At the same time, data released Wednesday indicated that China’s home sales worsened in the first three quarters of the year, despite Beijing’s efforts to reverse a protracted real estate slump. In addition, market sentiment was negatively affected by the Biden administration’s latest imposition of additional restrictions on the export of more advanced artificial intelligence chips to China. As a result, 5G communications and AI stocks slumped on Wednesday. In other news, Country Garden’s $15 million coupon payment deadline has passed without a word of payment, heightening expectations that China’s largest private property developer has defaulted on its offshore debt. On the positive side, BYD climbed over +4% after the Chinese automaker said it expects third-quarter profit to rise at least 67% amid record electric vehicle sales.
The Chinese GDP has been reported at +1.3% q/q and +4.9% y/y in the third quarter, stronger than expectations of +1.0% q/q and +4.4% y/y.
The Chinese September Industrial Production stood at +4.5% y/y, stronger than expectations of +4.3% y/y.
The Chinese September Retail Sales came in at +5.5% y/y, stronger than expectations of +4.9% y/y.
The Chinese September Unemployment Rate was at 5.0%, stronger than expectations of 5.2%.
“Third-quarter GDP and September activity data, National Day Golden Week tourism revenue, as well as high-frequency trackers jointly point to more green shoots in the economy and indicate the sequential growth momentum continues to recover on the back of the ongoing policy easing, albeit at a gradual pace,” Goldman Sachs analysts said in a note.
Japan’s Nikkei 225 Stock Index closed just above the flatline as investors digested better-than-expected Chinese economic data, while anxieties about a more hawkish Federal Reserve and uncertainties related to the Gaza conflict continued to weigh on sentiment. Energy stocks outperformed on Wednesday due to a surge in crude oil prices. Bank stock also gained ground, mirroring the gains observed in their U.S. counterparts, with Concordia Financial Group Ltd and Resona Holdings Inc rising over +2%. Meanwhile, the Bank of Japan announced unscheduled bond purchases after the country’s 10-year yield reached a new decade-high. In corporate news, Keisei Electric Railway climbed more than +7% following a statement from shareholder Palliser Capital, which asserted that the company is trading at a substantial discount and has room to release value. The Nikkei Volatility, which takes into account the implied volatility of Nikkei 225 options, closed down -0.71% to 21.00.
Pre-Market U.S. Stock Movers
United Airlines Holdings Inc (UAL) slid over -4% in pre-market trading after the carrier provided weaker-than-expected Q4 EPS guidance.
Floor & Decor Holdings Inc (FND) climbed more than +7% in pre-market trading after entering the S&P MidCap 400 index.
NVIDIA Corporation (NVDA) fell over -1% in pre-market trading after Morgan Stanley lowered its price target on the stock to $600 from $630.
Viking Therapeutics Inc (VKTX) soared about +15% in pre-market trading after the biotech drug developer announced data from an early-stage clinical study showed its drug candidate reduced liver fat levels.
Elastic NV (ESTC) rose over +1% in pre-market trading after Jefferies upgraded the stock to Buy from Hold.
You can see more pre-market stock movers here
Today’s U.S. Earnings Spotlight: Wednesday - October 18th
Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI).
More Stock Market News from Barchart
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1 Killer Stock to Buy Now for Long-Term Growth
3 Software Stocks Analysts Like Better Than Palantir
Activist Jumps on the VF Bandwagon: Time to Buy?
On the date of publication, Oleksandr Pylypenko did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). “Third-quarter GDP and September activity data, National Day Golden Week tourism revenue, as well as high-frequency trackers jointly point to more green shoots in the economy and indicate the sequential growth momentum continues to recover on the back of the ongoing policy easing, albeit at a gradual pace,” Goldman Sachs analysts said in a note. | Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). More Stock Market News from Barchart Stocks Mostly Lower as Strong U.S. Economic Reports Push Bond Yields Higher 1 Killer Stock to Buy Now for Long-Term Growth 3 Software Stocks Analysts Like Better Than Palantir Activist Jumps on the VF Bandwagon: Time to Buy? | You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). Separately, data showed that the country’s industrial output grew more than expected in September from a year earlier, remaining consistent with the August growth rate, signifying that policy support measures are beginning to stabilize segments of the world’s second-largest economy. | Third-quarter earnings season picks up steam, with investors awaiting fresh reports from major global companies today, including Tesla (TSLA), Netflix (NFLX), Procter & Gamble (PG), Abbott Labs (ABT), and Morgan Stanley (MS). You can see more pre-market stock movers here Today’s U.S. Earnings Spotlight: Wednesday - October 18th Tesla (TSLA), Procter & Gamble (PG), Abbott Labs (ABT), Netflix (NFLX), Morgan Stanley (MS), Elevance Health (ELV), Lam Research (LRCX), U.S. Bancorp (USB), Crown Castle (CCI), Travelers (TRV), Kinder Morgan (KMI), Las Vegas Sands (LVS), PPG Industries (PPG), Nasdaq Inc (NDAQ), Discover (DFS), Equifax (EFX), State Street (STT), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Rexford Inl Rty (REXR), Ally Financial Inc (ALLY), First Industrial RT (FR), Commerce Bancshares (CBSH), First Horizon National (FHN), Zions (ZION), Alcoa (AA), Columbia Banking (COLB), Synovus (SNV), FNB (FNB), Liberty Oilfield (LBRT), United Community Banks (UCBI), Unifirst (UNF), SL Green (SLG), Winnebago Industries (WGO), Marten Transport (MRTN), Stepan (SCL), Banner (BANR), Monarch (MCRI). In the bond markets, United States 10-year rates are at 4.854%, up +0.10%. |
30689.0 | 2023-10-18 00:00:00 UTC | Abbott Laboratories Q3 23 Earnings Conference Call At 9:00 AM ET | ABT | https://www.nasdaq.com/articles/abbott-laboratories-q3-23-earnings-conference-call-at-9%3A00-am-et | nan | nan | (RTTNews) - Abbott Laboratories (ABT) will host a conference call at 9:00 AM ET on Oct. 18, 2023, to discuss Q3 23 earnings results.
To access the live webcast, log on to https://www.abbottinvestor.com/news-and-events?c=94004&p=irol-calall
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott Laboratories (ABT) will host a conference call at 9:00 AM ET on Oct. 18, 2023, to discuss Q3 23 earnings results. To access the live webcast, log on to https://www.abbottinvestor.com/news-and-events?c=94004&p=irol-calall The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott Laboratories (ABT) will host a conference call at 9:00 AM ET on Oct. 18, 2023, to discuss Q3 23 earnings results. To access the live webcast, log on to https://www.abbottinvestor.com/news-and-events?c=94004&p=irol-calall The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott Laboratories (ABT) will host a conference call at 9:00 AM ET on Oct. 18, 2023, to discuss Q3 23 earnings results. To access the live webcast, log on to https://www.abbottinvestor.com/news-and-events?c=94004&p=irol-calall The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | (RTTNews) - Abbott Laboratories (ABT) will host a conference call at 9:00 AM ET on Oct. 18, 2023, to discuss Q3 23 earnings results. To access the live webcast, log on to https://www.abbottinvestor.com/news-and-events?c=94004&p=irol-calall The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. |
30690.0 | 2023-10-17 00:00:00 UTC | Pre-Market Earnings Report for October 18, 2023 : PG, ASML, ABT, MS, ELV, USB, TRV, NDAQ, STT, MTB, NTRS, CFG | ABT | https://www.nasdaq.com/articles/pre-market-earnings-report-for-october-18-2023-%3A-pg-asml-abt-ms-elv-usb-trv-ndaq-stt-mtb | nan | nan | The following companies are expected to report earnings prior to market open on 10/18/2023. Visit our Earnings Calendar for a full list of expected earnings releases.
Procter & Gamble Company (PG)is reporting for the quarter ending September 30, 2023. The cleaning company's consensus earnings per share forecast from the 9 analysts that follow the stock is $1.71. This value represents a 8.92% increase compared to the same quarter last year. In the past year PG has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 3.79%. Zacks Investment Research reports that the 2024 Price to Earnings ratio for PG is 22.86 vs. an industry ratio of 21.70, implying that they will have a higher earnings growth than their competitors in the same industry.
ASML Holding N.V. (ASML)is reporting for the quarter ending September 30, 2023. The capital goods company's consensus earnings per share forecast from the 4 analysts that follow the stock is $5.00. This value represents a 15.74% increase compared to the same quarter last year. In the past year ASML and beat the expectations the other three quarters. Zacks Investment Research reports that the 2023 Price to Earnings ratio for ASML is 28.60 vs. an industry ratio of 23.50, implying that they will have a higher earnings growth than their competitors in the same industry.
Abbott Laboratories (ABT)is reporting for the quarter ending September 30, 2023. The medical products company's consensus earnings per share forecast from the 9 analysts that follow the stock is $1.10. This value represents a 4.35% decrease compared to the same quarter last year. In the past year ABT has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 3.85%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for ABT is 20.95 vs. an industry ratio of -2.00, implying that they will have a higher earnings growth than their competitors in the same industry.
Morgan Stanley (MS)is reporting for the quarter ending September 30, 2023. The investment bankers company's consensus earnings per share forecast from the 6 analysts that follow the stock is $1.27. This value represents a 16.99% decrease compared to the same quarter last year. In the past year MS has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 8.77%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for MS is 14.06 vs. an industry ratio of 27.10.
Elevance Health, Inc. (ELV)is reporting for the quarter ending September 30, 2023. The medical services company's consensus earnings per share forecast from the 18 analysts that follow the stock is $8.45. This value represents a 12.22% increase compared to the same quarter last year. In the past year ELV has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 2.49%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for ELV is 14.06 vs. an industry ratio of 14.30.
U.S. Bancorp (USB)is reporting for the quarter ending September 30, 2023. The bank company's consensus earnings per share forecast from the 8 analysts that follow the stock is $1.04. This value represents a 11.86% decrease compared to the same quarter last year. USB missed the consensus earnings per share in the 2nd calendar quarter of 2023 by -0.88%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for USB is 7.48 vs. an industry ratio of 8.20.
The Travelers Companies, Inc. (TRV)is reporting for the quarter ending September 30, 2023. The insurance (property & casualty) company's consensus earnings per share forecast from the 10 analysts that follow the stock is $2.93. This value represents a 33.18% increase compared to the same quarter last year. TRV missed the consensus earnings per share in the 2nd calendar quarter of 2023 by -97.36%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for TRV is 13.94 vs. an industry ratio of 17.60.
Nasdaq, Inc. (NDAQ)is reporting for the quarter ending September 30, 2023. The securities exchange company's consensus earnings per share forecast from the 8 analysts that follow the stock is $0.67. This value represents a 1.47% decrease compared to the same quarter last year. NDAQ missed the consensus earnings per share in the 4th calendar quarter of 2022 by -1.54%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for NDAQ is 18.29 vs. an industry ratio of 13.70, implying that they will have a higher earnings growth than their competitors in the same industry.
State Street Corporation (STT)is reporting for the quarter ending September 30, 2023. The bank company's consensus earnings per share forecast from the 7 analysts that follow the stock is $1.77. This value represents a 2.75% decrease compared to the same quarter last year. STT missed the consensus earnings per share in the 1st calendar quarter of 2023 by -6.17%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for STT is 9.12 vs. an industry ratio of 8.20, implying that they will have a higher earnings growth than their competitors in the same industry.
M&T Bank Corporation (MTB)is reporting for the quarter ending September 30, 2023. The bank company's consensus earnings per share forecast from the 9 analysts that follow the stock is $3.94. This value represents a 2.87% increase compared to the same quarter last year. MTB missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -9.03%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for MTB is 7.30 vs. an industry ratio of 8.20.
Northern Trust Corporation (NTRS)is reporting for the quarter ending September 30, 2023. The bank company's consensus earnings per share forecast from the 6 analysts that follow the stock is $1.50. This value represents a 16.67% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2023 Price to Earnings ratio for NTRS is 10.98 vs. an industry ratio of 8.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Citizens Financial Group, Inc. (CFG)is reporting for the quarter ending September 30, 2023. The savings & loan company's consensus earnings per share forecast from the 7 analysts that follow the stock is $0.92. This value represents a 29.23% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2023 Price to Earnings ratio for CFG is 7.15 vs. an industry ratio of 10.10.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories (ABT)is reporting for the quarter ending September 30, 2023. In the past year ABT has beat the expectations every quarter. Zacks Investment Research reports that the 2023 Price to Earnings ratio for ABT is 20.95 vs. an industry ratio of -2.00, implying that they will have a higher earnings growth than their competitors in the same industry. | Zacks Investment Research reports that the 2023 Price to Earnings ratio for ABT is 20.95 vs. an industry ratio of -2.00, implying that they will have a higher earnings growth than their competitors in the same industry. Abbott Laboratories (ABT)is reporting for the quarter ending September 30, 2023. In the past year ABT has beat the expectations every quarter. | Zacks Investment Research reports that the 2023 Price to Earnings ratio for ABT is 20.95 vs. an industry ratio of -2.00, implying that they will have a higher earnings growth than their competitors in the same industry. Abbott Laboratories (ABT)is reporting for the quarter ending September 30, 2023. In the past year ABT has beat the expectations every quarter. | In the past year ABT has beat the expectations every quarter. Abbott Laboratories (ABT)is reporting for the quarter ending September 30, 2023. Zacks Investment Research reports that the 2023 Price to Earnings ratio for ABT is 20.95 vs. an industry ratio of -2.00, implying that they will have a higher earnings growth than their competitors in the same industry. |
30691.0 | 2023-10-17 00:00:00 UTC | Intuitive Surgical (ISRG) to Post Q3 Earnings: What's in Store? | ABT | https://www.nasdaq.com/articles/intuitive-surgical-isrg-to-post-q3-earnings%3A-whats-in-store | nan | nan | Intuitive Surgical, Inc. ISRG is scheduled to release third-quarter 2023 results on Oct 19, after the closing bell.
The company’s shares have risen 3.3% year to date against the industry’s 11% decline. The S&P 500 Index gained 14% in the same time frame.
In the last reported quarter, ISRG delivered an earnings surprise of 7.58%. Its earnings beat estimates in three of the trailing four quarters and missed the same in one, delivering an average surprise of 2.38%.
Image Source: Zacks Investment Research
Q3 Estimates
The Zacks Consensus Estimate for ISRG’s revenues is currently pegged at $1.77 billion, indicating a 13.6% improvement from the year-ago quarter’s reported figure. The consensus mark for earnings is pinned at $1.41 per share, indicating an 18.5% year-over-year increase.
Factors to Note
The Instruments & Accessories segment is likely to have witnessed a strong third-quarter performance on the back of rising da Vinci procedure volume as seen in the past few quarters. However, an unfavorable currency movement is expected to have partially offset the gains from recovering demand in procedures. Meanwhile, a rise in the proportion of recurring revenues buoys well for ISRG.
Moreover, the recovery in China on the back of strong procedure growth following COVID-related setbacks in the past year is likely to have boosted sales in the soon-to-be-reported quarter.
The Zacks Consensus Estimate for Instruments & Accessories’ revenues is pegged at $1.07 billion, indicating a 14.7% improvement year over year.
Intuitive Surgical’s da Vinci capital placements are likely to be on the lower side due to continued supply-chain challenges impacting the availability of semiconductor components and growing capital spending pressure on hospitals amid rising inflationary pressure.
The FDA’s approval for the use of the da Vinci SP surgical system for simple prostatectomy as a representative procedure in April might have expanded its application in urologic surgical procedures. The impact of this new approval is likely to be reflected in the third-quarter results. Moreover, the continued launch of the da Vinci single-port in Japan should have brought additional revenues during the quarter.
The Zacks Consensus Estimate for the da Vinci system’s salesin the United States is pegged at 158 units.
However, Intuitive Surgical’s da Vinci capital placements are likely to have benefited from rising demand outside the country. The company placed 174 systems in the second quarter of 2023 compared with 129 in the prior-year quarter in ex-U.S. markets. The trend is likely to have continued in the to-be-reported quarter.
The single port platform’s growth is expected to have been driven by additional clinical indications and clearances in markets beyond the United States and Korea. The Zacks Consensus Estimate for the da Vinci system’s sales outside the United States is pinned at 147 units, indicating a 15.7% year-over-year improvement.
During the first quarter, Intuitive Surgical received the CE-Mark for its Ion catheters followed by their launch during the second quarter, beginning with the United Kingdom. The availability of Ion catheters in Europe is likely to have brought additional revenues during the third quarter.
The company may also provide a view on the uptake in the region. ISRG’s digital products like the Intuitive Hub and the recently launched Case Insights are likely to have shown rising adoption.
However, government policy changes in China, higher logistics costs amid supply-chain challenges and rising inflationary pressure are likely to have hurt sales and increased expenses.
What the Zacks Model Unveils
Per our proven model, the combination of a positive Earnings ESPand a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is not the case here, as you will see below.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($1.42 per share) and the Zacks Consensus Estimate ($1.32 per share), is +7.58%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.
Zacks Rank: Intuitive Surgical currently has a Zacks Rank #4 (Sell).
Intuitive Surgical, Inc. Price and Consensus
Intuitive Surgical, Inc. price-consensus-chart | Intuitive Surgical, Inc. Quote
Stocks Worth a Look
Here are some medical stocks worth considering as these have the right combination of elements to post an earnings beat this reporting cycle.
Insulet PODD has an Earnings ESP of +5.00% and a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company’s shares have lost 53.8% year to date. PODD’s earnings beat estimates in the last reported quarter. It has a four-quarter average earnings surprise of 126.94%.
IQVIA IQV has an Earnings ESP of +0.51% and a Zacks Rank of 3.
The stock has lost 2.9% year to date. IQV’s earnings beat estimates in the last reported quarter. IQVIA has a training four-quarter average earnings surprise of 2.26%.
Abbott Laboratories ABT has an Earnings ESP of +1.62% and a Zacks Rank of 3.
The stock has lost 16% year to date. ABT’s earnings beat estimates in the last reported quarter. Abbott Laboratories has a four-quarter average earnings surprise of 12.44%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott Laboratories ABT has an Earnings ESP of +1.62% and a Zacks Rank of 3. ABT’s earnings beat estimates in the last reported quarter. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report IQVIA Holdings Inc. (IQV) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report IQVIA Holdings Inc. (IQV) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT has an Earnings ESP of +1.62% and a Zacks Rank of 3. ABT’s earnings beat estimates in the last reported quarter. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report IQVIA Holdings Inc. (IQV) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott Laboratories ABT has an Earnings ESP of +1.62% and a Zacks Rank of 3. ABT’s earnings beat estimates in the last reported quarter. | Abbott Laboratories ABT has an Earnings ESP of +1.62% and a Zacks Rank of 3. ABT’s earnings beat estimates in the last reported quarter. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Insulet Corporation (PODD) : Free Stock Analysis Report IQVIA Holdings Inc. (IQV) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30692.0 | 2023-10-17 00:00:00 UTC | Notable ETF Outflow Detected - SPY, XOM, ABT, DIS | ABT | https://www.nasdaq.com/articles/notable-etf-outflow-detected-spy-xom-abt-dis | nan | nan | Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR S&P 500 ETF Trust (Symbol: SPY) where we have detected an approximate $4.9 billion dollar outflow -- that's a 1.2% decrease week over week (from 932,180,000 to 921,030,000). Among the largest underlying components of SPY, in trading today Exxon Mobil Corp (Symbol: XOM) is up about 1%, Abbott Laboratories (Symbol: ABT) is up about 0.2%, and Walt Disney Co. (Symbol: DIS) is lower by about 0.1%. For a complete list of holdings, visit the SPY Holdings page » The chart below shows the one year price performance of SPY, versus its 200 day moving average:
Looking at the chart above, SPY's low point in its 52 week range is $363.54 per share, with $459.44 as the 52 week high point — that compares with a last trade of $434.69. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Click here to find out which 9 other ETFs experienced notable outflows »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Among the largest underlying components of SPY, in trading today Exxon Mobil Corp (Symbol: XOM) is up about 1%, Abbott Laboratories (Symbol: ABT) is up about 0.2%, and Walt Disney Co. (Symbol: DIS) is lower by about 0.1%. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. | Among the largest underlying components of SPY, in trading today Exxon Mobil Corp (Symbol: XOM) is up about 1%, Abbott Laboratories (Symbol: ABT) is up about 0.2%, and Walt Disney Co. (Symbol: DIS) is lower by about 0.1%. For a complete list of holdings, visit the SPY Holdings page » The chart below shows the one year price performance of SPY, versus its 200 day moving average: Looking at the chart above, SPY's low point in its 52 week range is $363.54 per share, with $459.44 as the 52 week high point — that compares with a last trade of $434.69. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). | Among the largest underlying components of SPY, in trading today Exxon Mobil Corp (Symbol: XOM) is up about 1%, Abbott Laboratories (Symbol: ABT) is up about 0.2%, and Walt Disney Co. (Symbol: DIS) is lower by about 0.1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR S&P 500 ETF Trust (Symbol: SPY) where we have detected an approximate $4.9 billion dollar outflow -- that's a 1.2% decrease week over week (from 932,180,000 to 921,030,000). For a complete list of holdings, visit the SPY Holdings page » The chart below shows the one year price performance of SPY, versus its 200 day moving average: Looking at the chart above, SPY's low point in its 52 week range is $363.54 per share, with $459.44 as the 52 week high point — that compares with a last trade of $434.69. | Among the largest underlying components of SPY, in trading today Exxon Mobil Corp (Symbol: XOM) is up about 1%, Abbott Laboratories (Symbol: ABT) is up about 0.2%, and Walt Disney Co. (Symbol: DIS) is lower by about 0.1%. Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR S&P 500 ETF Trust (Symbol: SPY) where we have detected an approximate $4.9 billion dollar outflow -- that's a 1.2% decrease week over week (from 932,180,000 to 921,030,000). For a complete list of holdings, visit the SPY Holdings page » The chart below shows the one year price performance of SPY, versus its 200 day moving average: Looking at the chart above, SPY's low point in its 52 week range is $363.54 per share, with $459.44 as the 52 week high point — that compares with a last trade of $434.69. |
30693.0 | 2023-10-17 00:00:00 UTC | Which Is A Better Pick – Abbott Stock Or Amgen? | ABT | https://www.nasdaq.com/articles/which-is-a-better-pick-abbott-stock-or-amgen | nan | nan | Given its better prospects, we believe Abbott stock (NYSE: ABT) is a better healthcare pick than Amgen stock (NASDAQ: AMGN). Both stocks have a similar market capitalization of $150 billion to $160 billion. AMGN trades at a higher valuation multiple of 5.7x revenues vs. 3.9x for ABT due to its superior profitability. There is more to the comparison, and in the sections below, we discuss why we believe ABT will offer better returns than AMGN in the next three years. We compare a slew of factors, such as historical revenue growth, returns, and valuation, in an interactive dashboard analysis of Abbott vs. Amgen: Which Stock Is A Better Bet? Parts of the analysis are summarized below.
ABT stock has seen a decline of 20% from levels of $110 in early January 2021 to around $90 now, vs. an increase of about 15% for the S&P 500 over this roughly 3-year period. However, the decrease in ABT stock has been far from consistent. Returns for the stock were 29% in 2021, -22% in 2022, and -18% in 2023 (YTD). In comparison, returns for the S&P 500 have been 27% in 2021, -19% in 2022, and 13% in 2023 (YTD) – indicating an underperformance for the ticker in 2022 and 2023.
In fact, consistently beating the S&P 500 – in good times and bad – has been difficult over recent years for individual stocks; for heavyweights in the healthcare sector, including LLY, UNH, and JNJ, and even for the mega-cap stars GOOG, TSLA, and MSFT.
In contrast, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has outperformed the S&P 500 each year over the same period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index, less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could ABT face a similar situation as it did in 2022 and 2023 and lose value over the next 12 months – or will it see a recovery?
1. Abbott’s Revenue Growth Is Better
Abbott’s revenue growth has been better, with an 11% average annual growth rate in the last three years, compared to 4% for Amgen.
A high demand for Covid-19 testing drove Abbott’s sales growth in recent years.
Amgen’s expansion of some of its drugs, including Prolia, Otezla, Tezspire, and Repatha, is driving its revenue growth, while some of the older drugs, such as Enbrel and Neulasta, are seeing a y-o-y decline in sales.
If we look at the last twelve-month period, Amgen fares better with sales growth of 1% vs. -12% for Abbott.
With the worst of Covid-19 behind us, the demand for testing has been declining, weighing on Abbott’s diagnostics business in recent quarters.
Our Abbott Revenue Comparison and Amgen Revenue Comparison dashboards provide more insight into the companies’ sales.
Looking forward, Abbott’s revenue is expected to grow faster than Amgen’s over the next three years.
Abbott will see a dip in sales in 2023 owing to its diagnostics business. For perspective, Abbott expects total Covid-19-related sales of $1.3 billion in 2023, compared to $8.4 billion last year. However, it should return to growth next year, and its other businesses, including Medical Devices and Established Pharmaceuticals, should continue to grow steadily. Amgen will likely see a balance with new drugs more than offsetting the decline in sales of its relatively older drugs.
However, Amgen announced last week that it completed the acquisition of Horizon Therapeutics, giving Amgen access to Tepezza – a thyroid eye disease treatment with potential peak sales of over $4 billion.
Abbott’s revenue is expected to grow at a 3% CAGR to $44 billion in the next three years. In comparison, Amgen’s revenue will likely rise at a CAGR of 2% to $28 billion, based on Trefis Machine Learning analysis.
2. Amgen Is More Profitable
Abbott’s operating margin has risen from 16% in 2019 to 20% in 2022, while Amgen’s operating margin has contracted from 45% to 33% over this period.
Looking at the last twelve-month period, Amgen’s operating margin of 36% fares better than 15% for Abbott.
Our Abbott Operating Income Comparison and Amgen Operating Income Comparison dashboards have more details.
Looking at financial risk, both are comparable. Abbott’s 11% debt as a percentage of equity is lower than 40% for Amgen, but its 11% cash as a percentage of assets is lower than 38% for the latter, implying that Abbott has a better debt position and Amgen has more cash cushion.
3. The Net of It All
We see that Abbott has demonstrated better revenue growth and has a better debt position. On the other hand, Amgen is more profitable and has more cash cushion.
Now, looking at prospects, using P/S as a base, due to high fluctuations in P/E and P/EBIT, we believe Abbott is the better choice of the two despite its higher valuation.
If we compare the current valuation multiples to the historical averages, Abbott fares much better, with its stock currently trading at 3.9x revenues vs. the last five-year average of 5.9x. In contrast, Amgen stock trades at 5.7x trailing revenues vs. the last five-year average of 5.1x.
Our Abbott (ABT) Valuation Ratios Comparison and Amgen (AMGN) Valuation Ratios Comparison have more details.
While ABT may outperform AMGN over the next three years, it is helpful to see how Abbott’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Returns Oct 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
ABT Return -7% -18% 135%
AMGN Return 6% 9% 95%
S&P 500 Return 1% 13% 94%
Trefis Reinforced Value Portfolio 0% 23% 534%
[1] Month-to-date and year-to-date as of 10/13/2023
[2] Cumulative total returns since the end of 2016
Invest with Trefis Market-Beating Portfolios
See all Trefis Price Estimates
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could ABT face a similar situation as it did in 2022 and 2023 and lose value over the next 12 months – or will it see a recovery? Given its better prospects, we believe Abbott stock (NYSE: ABT) is a better healthcare pick than Amgen stock (NASDAQ: AMGN). AMGN trades at a higher valuation multiple of 5.7x revenues vs. 3.9x for ABT due to its superior profitability. | Our Abbott (ABT) Valuation Ratios Comparison and Amgen (AMGN) Valuation Ratios Comparison have more details. Given its better prospects, we believe Abbott stock (NYSE: ABT) is a better healthcare pick than Amgen stock (NASDAQ: AMGN). AMGN trades at a higher valuation multiple of 5.7x revenues vs. 3.9x for ABT due to its superior profitability. | Given its better prospects, we believe Abbott stock (NYSE: ABT) is a better healthcare pick than Amgen stock (NASDAQ: AMGN). AMGN trades at a higher valuation multiple of 5.7x revenues vs. 3.9x for ABT due to its superior profitability. There is more to the comparison, and in the sections below, we discuss why we believe ABT will offer better returns than AMGN in the next three years. | Given its better prospects, we believe Abbott stock (NYSE: ABT) is a better healthcare pick than Amgen stock (NASDAQ: AMGN). AMGN trades at a higher valuation multiple of 5.7x revenues vs. 3.9x for ABT due to its superior profitability. There is more to the comparison, and in the sections below, we discuss why we believe ABT will offer better returns than AMGN in the next three years. |
30694.0 | 2023-10-17 00:00:00 UTC | Should You Pick MGM Resorts Over Boston Scientific Stock For Better Returns? | ABT | https://www.nasdaq.com/articles/should-you-pick-mgm-resorts-over-boston-scientific-stock-for-better-returns | nan | nan | Given its better prospects, we believe MGM Resorts stock (NYSE: MGM) is a better pick than Boston Scientific stock (NYSE: BSX). That said, both stocks have the potential for robust gains in the next three years. Although these companies are from different sectors, we compare them because they have a similar revenue base of around $13 billion. The decision to invest often comes down to finding the best stocks within the parameters of certain characteristics that suit an investment style. The size of profits can matter, as larger profits can imply greater market power. Since these stocks are from different sectors, comparing P/S against one another may not be helpful. We compare their current multiples with the historical ones in the sections below to better gauge their valuations. We also compare a slew of other factors, such as historical revenue growth and operating margins, in an interactive dashboard analysis of Boston Scientific vs. MGM Resorts: Which Stock Is A Better Bet? Parts of the analysis are summarized below.
BSX stock has seen solid gains of 45% from levels of $35 in early January 2021 to around $50 now, vs. an increase of about 15% for the S&P 500 over this roughly 3-year period. BSX is one of a handful of stocks that have increased their value in each of the last three years, but that still wasn’t enough for it to consistently beat the market. Returns for the stock were 18% in 2021, 9% in 2022, and 5% in 2023 (YTD). In comparison, returns for the S&P 500 have been 27% in 2021, -19% in 2022, and 13% in 2023 (YTD) – indicating an underperformance for the ticker in 2021 and 2023.
In fact, consistently beating the S&P 500 – in good times and bad – has been difficult over recent years for individual stocks; for heavyweights in the healthcare sector, including LLY, UNH, and JNJ, and even for the mega-cap stars GOOG, TSLA, and MSFT.
In contrast, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has outperformed the S&P 500 each year over the same period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index, less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could BSX face a similar situation as it did in 2021 and 2023 and lose value over the next 12 months – or will it see a strong jump?
1. MGM Resorts’ Revenue Growth Is Better
MGM Resorts’ revenue growth has been better, with a 21.1% average annual growth rate in the last three years, compared to 6.3% for Boston Scientific.
After a decline during the pandemic, an uptick in total procedures has driven Boston Scientific’s top-line growth in recent years. It has also benefited from new product launches, including POLARx (Japan), Vercise, and XL valves.
This trend is expected to continue going forward. Its recent acquisitions, including Baylis, will further bolster its top-line growth. The company has acquired a majority stake in Acotec, which will aid its future sales growth in China.
MGM is seeing a recovery in Macau as pandemic restrictions in China have eased, with tourist footfalls into Macau and overall spending now on the upswing.
Tourist inflows into the Las Vegas strip have also been improving. Customers have also been spending more on average at casinos, with average hotel room rates also trending higher.
Looking at the last twelve months, MGM Resorts’ 24.7% sales growth has fared better than 8.7% for Boston Scientific.
Our Boston Scientific Revenue Comparison and MGM Resorts Revenue Comparison dashboards provide more insight into the companies’ sales.
Looking forward, Boston Scientific’s revenue is expected to grow at a CAGR of 6.3% to $16 billion in three years, aided by its new products. In comparison, MGM Resorts’ revenue will likely rise at a CAGR of 6.5% to $18 billion, driven by a recovery in Macau, based on Trefis Machine Learning analysis.
2. Boston Scientific Is More Profitable
MGM Resorts’ reported operating margin contracted from 30% in 2019 to 11% in 2022. In comparison, Boston Scientific’s operating margin slid slightly from 14% in 2019 to 13% in 2022.
Our Boston Scientific Operating Income Comparison and MGM Resorts Operating Income Comparison dashboards have more details.
Looking at financial risk, both are comparable. MGM Resorts’ 51% debt as a percentage of equity is higher than 13% for Boston Scientific, but its 9% cash as a percentage of assets is higher than 1% for the latter, implying that Boston Scientific has a better debt position and MGM Resorts has more cash cushion.
3. The Net of It All
We see that MGM Resorts has seen superior revenue growth and has more cash cushion. On the other hand, Boston Scientific is more profitable and has a better debt position.
Now, looking at prospects using P/S as a base, due to high fluctuations in P/E and P/EBIT, we believe MGM Resorts will offer better returns compared to Boston Scientific over the next three years.
Even if we compare the current valuation multiples to the historical averages, MGM fares slightly better. MGM Resorts stock trades at 0.9x trailing sales compared to its last five-year average of 1.4x, and Boston Scientific stock trades at 5.3x vs. the last five-year average of 5.9x.
Our Boston Scientific (BSX) Valuation Ratios Comparison and MGM Resorts (MG) Valuation Ratios Comparison have more details.
The table below summarizes our revenue and return expectations for both companies over the next three years and points to an expected return of 20% for Boston Scientific over this period vs. a 24% expected return for MGM Resorts stock, implying that investors will likely be better off picking MGM over BSX, based on Trefis Machine Learning analysis – Boston Scientific vs. MGM Resort – which also provides more details on how we arrive at these numbers.
While MGM may outperform BSX in the next three years, it is helpful to see how Boston Scientific’s Peers fare on metrics that matter. You will find other valuable comparisons for companies across industries at Peer Comparisons.
Returns Oct 2023
MTD [1] 2023
YTD [1] 2017-23
Total [2]
BSX Return -8% 5% 125%
MGM Return 1% 11% 29%
S&P 500 Return 1% 13% 94%
Trefis Reinforced Value Portfolio 0% 23% 534%
[1] Month-to-date and year-to-date as of 10/13/2023
[2] Cumulative total returns since the end of 2016
Invest with Trefis Market-Beating Portfolios
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | We also compare a slew of other factors, such as historical revenue growth and operating margins, in an interactive dashboard analysis of Boston Scientific vs. MGM Resorts: Which Stock Is A Better Bet? In fact, consistently beating the S&P 500 – in good times and bad – has been difficult over recent years for individual stocks; for heavyweights in the healthcare sector, including LLY, UNH, and JNJ, and even for the mega-cap stars GOOG, TSLA, and MSFT. Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could BSX face a similar situation as it did in 2021 and 2023 and lose value over the next 12 months – or will it see a strong jump? | Our Boston Scientific Revenue Comparison and MGM Resorts Revenue Comparison dashboards provide more insight into the companies’ sales. Our Boston Scientific Operating Income Comparison and MGM Resorts Operating Income Comparison dashboards have more details. The table below summarizes our revenue and return expectations for both companies over the next three years and points to an expected return of 20% for Boston Scientific over this period vs. a 24% expected return for MGM Resorts stock, implying that investors will likely be better off picking MGM over BSX, based on Trefis Machine Learning analysis – Boston Scientific vs. MGM Resort – which also provides more details on how we arrive at these numbers. | MGM Resorts’ Revenue Growth Is Better MGM Resorts’ revenue growth has been better, with a 21.1% average annual growth rate in the last three years, compared to 6.3% for Boston Scientific. MGM Resorts’ 51% debt as a percentage of equity is higher than 13% for Boston Scientific, but its 9% cash as a percentage of assets is higher than 1% for the latter, implying that Boston Scientific has a better debt position and MGM Resorts has more cash cushion. The table below summarizes our revenue and return expectations for both companies over the next three years and points to an expected return of 20% for Boston Scientific over this period vs. a 24% expected return for MGM Resorts stock, implying that investors will likely be better off picking MGM over BSX, based on Trefis Machine Learning analysis – Boston Scientific vs. MGM Resort – which also provides more details on how we arrive at these numbers. | MGM Resorts’ Revenue Growth Is Better MGM Resorts’ revenue growth has been better, with a 21.1% average annual growth rate in the last three years, compared to 6.3% for Boston Scientific. Looking at the last twelve months, MGM Resorts’ 24.7% sales growth has fared better than 8.7% for Boston Scientific. The table below summarizes our revenue and return expectations for both companies over the next three years and points to an expected return of 20% for Boston Scientific over this period vs. a 24% expected return for MGM Resorts stock, implying that investors will likely be better off picking MGM over BSX, based on Trefis Machine Learning analysis – Boston Scientific vs. MGM Resort – which also provides more details on how we arrive at these numbers. |
30695.0 | 2023-10-17 00:00:00 UTC | Is ProShares S&P 500 Dividend Aristocrats ETF (NOBL) a Strong ETF Right Now? | ABT | https://www.nasdaq.com/articles/is-proshares-sp-500-dividend-aristocrats-etf-nobl-a-strong-etf-right-now-8 | nan | nan | Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market.
What Are Smart Beta ETFs?
Products that are based on market cap weighted indexes, which are strategies designed to reflect a specific market segment or the market as a whole, have traditionally dominated the ETF industry.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
This kind of index follows this same mindset, as it attempts to pick stocks that have better chances of risk-return performance; non-cap weighted strategies base selection on certain fundamental characteristics, or a mix of such characteristics.
The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.
Fund Sponsor & Index
NOBL is managed by Proshares, and this fund has amassed over $10.89 billion, which makes it one of the larger ETFs in the Style Box - Large Cap Value. NOBL seeks to match the performance of the S&P 500 DividendAristocrats Index before fees and expenses.
The S&P 500 Dividend Aristocrats Index targets companies that are currently members of the S&P 500, have increased dividend payments each year for at least 25 years & meet certain market capitalization & liquidity requirements.
Cost & Other Expenses
When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.
Annual operating expenses for NOBL are 0.35%, which makes it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 2.20%.
Performance and Risk
Year-to-date, the ProShares S&P 500 Dividend Aristocrats ETF has lost about -0.64% so far, and it's up approximately 11.20% over the last 12 months (as of 10/17/2023). NOBL has traded between $81.87 and $97.15 in this past 52-week period.
The fund has a beta of 0.90 and standard deviation of 15.79% for the trailing three-year period, which makes NOBL a medium risk choice in this particular space. With about 67 holdings, it effectively diversifies company-specific risk.
Alternatives
ProShares S&P 500 Dividend Aristocrats ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. There are other ETFs in the space which investors could consider as well.
IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $23.02 billion in assets, Vanguard Dividend Appreciation ETF has $67.01 billion. DGRO has an expense ratio of 0.08% and VIG charges 0.06%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value.
Bottom Line
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. IShares Core Dividend Growth ETF has $23.02 billion in assets, Vanguard Dividend Appreciation ETF has $67.01 billion. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. | Click to get this free report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Abbott Laboratories (ABT) : Free Stock Analysis Report Aflac Incorporated (AFL) : Free Stock Analysis Report AbbVie Inc. (ABBV) : Free Stock Analysis Report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports iShares Core Dividend Growth ETF (DGRO): ETF Research Reports To read this article on Zacks.com click here. Launched on 10/09/2013, the ProShares S&P 500 Dividend Aristocrats ETF (NOBL) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. IShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. |
30696.0 | 2023-10-16 00:00:00 UTC | Should You Buy Abbott (ABT) Ahead of Earnings? | ABT | https://www.nasdaq.com/articles/should-you-buy-abbott-abt-ahead-of-earnings | nan | nan | Investors are always looking for stocks that are poised to beat at earnings season and Abbott Laboratories ABT, may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.
That is because Abbott is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good indicator of some favorable trends underneath the surface for ABT in this report.
In fact, the Most Accurate Estimate for the current quarter is currently at $1.12 per share for ABT, compared to a broader Zacks Consensus Estimate of $1.10 per share. This suggests that analysts have very recently bumped up their estimates for ABT, giving the stock a Zacks Earnings ESP of 1.62% heading into earnings season.
Abbott Laboratories Price and EPS Surprise
Abbott Laboratories price-eps-surprise | Abbott Laboratories Quote
Why is this Important?
A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10-year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here).
Given that ABT has a Zacks Rank #3 and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today’s Zacks #1(Strong Buy) Rank stocks here.
Clearly, recent earnings estimate revisions suggest that good things are ahead for Abbott, and that a beat might be in the cards for the upcoming report.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good indicator of some favorable trends underneath the surface for ABT in this report. Investors are always looking for stocks that are poised to beat at earnings season and Abbott Laboratories ABT, may be one such company. In fact, the Most Accurate Estimate for the current quarter is currently at $1.12 per share for ABT, compared to a broader Zacks Consensus Estimate of $1.10 per share. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors are always looking for stocks that are poised to beat at earnings season and Abbott Laboratories ABT, may be one such company. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good indicator of some favorable trends underneath the surface for ABT in this report. | This suggests that analysts have very recently bumped up their estimates for ABT, giving the stock a Zacks Earnings ESP of 1.62% heading into earnings season. Given that ABT has a Zacks Rank #3 and an ESP in positive territory, investors might want to consider this stock ahead of earnings. Investors are always looking for stocks that are poised to beat at earnings season and Abbott Laboratories ABT, may be one such company. | Investors are always looking for stocks that are poised to beat at earnings season and Abbott Laboratories ABT, may be one such company. Given that ABT has a Zacks Rank #3 and an ESP in positive territory, investors might want to consider this stock ahead of earnings. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good indicator of some favorable trends underneath the surface for ABT in this report. |
30697.0 | 2023-10-14 00:00:00 UTC | 3 Dividend Growth Stocks You Can Buy and Hold Forever | ABT | https://www.nasdaq.com/articles/3-dividend-growth-stocks-you-can-buy-and-hold-forever | nan | nan | What's better than a stock that pays dividends? A stock with growing dividends and a business that's built for long-term success.
Three Motley Fool contributors identified stocks they think fit the bill. Here's why they believe that AbbVie (NYSE: ABBV), Eli Lilly (NYSE: LLY), and Johnson & Johnson (NYSE: JNJ) are dividend growth stocks that you can buy and hold forever.
A stellar dividend track record
Keith Speights (AbbVie): You'll have a hard time finding many stocks with a stellar dividend track record like AbbVie's. The big biopharmaceutical company has increased its dividend for 51 consecutive years, including the time that it was part of Abbott Labs. That puts AbbVie in the prestigious group of stocks known as Dividend Kings.
But where AbbVie really shines is in the amount of dividend growth. Since its spin-off from Abbott in 2013, the company's dividend has increased by 270%. AbbVie's dividend yield currently stands at 4%, making it a high-yield dividend stock by nearly any definition of the term.
Some investors might be skeptical that AbbVie is a "forever" stock to own. After all, its top-selling drug, Humira, now faces biosimilar competition in the U.S. and in other countries. Its sales are sinking, dragging down AbbVie's total revenue and profits. As a result, AbbVie's share price has fallen year to date while the overall market has risen.
My response to this view is that AbbVie's strategy for Humira's twilight years underscores what a great long-term business model the company actually has built. Sure, 2023 and 2024 will be bumpy. However, AbbVie expects to return to growth by 2025. How? For one thing, the drugmaker already has two successors to Humira on the market (Rinvoq and Skyrizi) that should together surpass Humira's peak annual sales within the next few years.
In addition, AbbVie's product lineup features other drugs that are rising stars. Antipsychotic drug Vralyar and migraine drugs Qulipta and Ubrelvy rank high on the list. The company's pipeline includes more than 90 programs in development as well, with over 50 of them in mid- or late-stage testing.
Don't let this low yield trick you, Eli Lilly is a great dividend stock
David Jagielski (Eli Lilly): Not many stocks can say that they have been paying dividends since the 1800s, but Eli Lilly can. It hasn't increased dividend payments for 50 years in a row, but it could have if not for the Great Recession. Lilly's streak was sitting at 40+ years before the company had to break it in 2010.
But that's arguably also a good sign of smart management, focusing on economics and what makes sense for the business rather than increasing the dividend for the sole purpose of keeping a streak going. Eli Lilly also returned to raising its payouts again. This year, the company raised its dividend by 15% -- the fifth consecutive year that it has increased its payouts by that much. That more than makes up not making dividend increases every year, in my view.
The other knock on the stock may be that it offers a low yield. At 0.8%, Lilly's yield is well below the S&P 500 average of 1.6%. Investors may scoff at that type of yield. However, it's the result of the stock's amazing success. This year, Eli Lilly's shares are up over 50%. If the stock were trading around $360, which is where it started the year, the yield would be around 1.3%. Investors have a wonderful problem in that the fast-growing dividend can't keep up with the even faster-growing stock price.
For long-term investors, this is an easy stock to justify buying. Eli Lilly has a broad pharmaceutical business with not one but two exciting drugs. Mounjaro is a diabetes medication that has shown it can also be a highly effective weight-loss drug. At its peak, it could generate tens of billions of dollars in revenue for the business. Donanemab is an Alzheimer's treatment that could be another multibillion-dollar drug for Lilly.
If the company's top and bottom lines continue soaring (as they appear likely to do), the dividend should rise as well. Eli Lilly is a great dividend growth stock for investors to buy and hold for decades.
Dividend hikes for 61 years and counting
Prosper Junior Bakiny (Johnson & Johnson): In terms of dividend growth, it is difficult to beat Johnson & Johnson's track record. The company increased its payouts for 61 years in a row. Yes, that makes Johnson & Johnson a Dividend King, the most exclusive group of dividend payers on the market, composed of companies that have hiked their payouts for at least 50 years.
Here's what that says about Johnson & Johnson. First, the healthcare giant is an innovative company. Although medical care is always in demand, the industry changes and evolves rapidly. Johnson & Johnson has remained a leader for decades by breaking new ground within its pharmaceutical and medical devices segments.
Second, Johnson & Johnson's financial results and fundamentals have been solid and consistent, even amid economic and market challenges, recessions, depressions, pandemics, etc. Third, and perhaps most importantly, Johnson & Johnson's track record says a lot about the quality of the leaders it has had. A corporation's leadership is arguably the single most important determinant of its success.
In its 126-year history, Johnson & Johnson has had just seven CEOs. The culture the company has built, centered around innovation and strong leadership, should allow the company to reproduce its past success despite the legal troubles it is facing. That goes for Johnson & Johnson's dividend growth potential, too.
Failing to increase its payouts would mean starting over and hopefully joining the clique of Dividend Kings again in another 50 years. Johnson & Johnson won't risk doing that outside of some borderline catastrophic turn of events for the company. That's why investors can add this dividend stock to their portfolios for good.
10 stocks we like better than Johnson & Johnson
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David Jagielski has no position in any of the stocks mentioned. Keith Speights has positions in AbbVie. Prosper Junior Bakiny has positions in Johnson & Johnson. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | The big biopharmaceutical company has increased its dividend for 51 consecutive years, including the time that it was part of Abbott Labs. My response to this view is that AbbVie's strategy for Humira's twilight years underscores what a great long-term business model the company actually has built. But that's arguably also a good sign of smart management, focusing on economics and what makes sense for the business rather than increasing the dividend for the sole purpose of keeping a streak going. | Here's why they believe that AbbVie (NYSE: ABBV), Eli Lilly (NYSE: LLY), and Johnson & Johnson (NYSE: JNJ) are dividend growth stocks that you can buy and hold forever. Don't let this low yield trick you, Eli Lilly is a great dividend stock David Jagielski (Eli Lilly): Not many stocks can say that they have been paying dividends since the 1800s, but Eli Lilly can. Dividend hikes for 61 years and counting Prosper Junior Bakiny (Johnson & Johnson): In terms of dividend growth, it is difficult to beat Johnson & Johnson's track record. | Here's why they believe that AbbVie (NYSE: ABBV), Eli Lilly (NYSE: LLY), and Johnson & Johnson (NYSE: JNJ) are dividend growth stocks that you can buy and hold forever. Don't let this low yield trick you, Eli Lilly is a great dividend stock David Jagielski (Eli Lilly): Not many stocks can say that they have been paying dividends since the 1800s, but Eli Lilly can. Dividend hikes for 61 years and counting Prosper Junior Bakiny (Johnson & Johnson): In terms of dividend growth, it is difficult to beat Johnson & Johnson's track record. | Eli Lilly is a great dividend growth stock for investors to buy and hold for decades. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Johnson & Johnson wasn't one of them! The Motley Fool recommends Johnson & Johnson. |
30698.0 | 2023-10-13 00:00:00 UTC | Abbott (ABT) Gains As Market Dips: What You Should Know | ABT | https://www.nasdaq.com/articles/abbott-abt-gains-as-market-dips%3A-what-you-should-know-11 | nan | nan | Abbott (ABT) ended the recent trading session at $90.87, demonstrating a +0.75% swing from the preceding day's closing price. This change outpaced the S&P 500's 0.5% loss on the day. At the same time, the Dow added 0.12%, and the tech-heavy Nasdaq lost 1.23%.
Coming into today, shares of the maker of infant formula, medical devices and drugs had lost 12.14% in the past month. In that same time, the Medical sector lost 4.84%, while the S&P 500 lost 2.4%.
The investment community will be paying close attention to the earnings performance of Abbott in its upcoming release. The company is slated to reveal its earnings on October 18, 2023. The company is predicted to post an EPS of $1.10, indicating a 4.35% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $9.79 billion, indicating a 5.95% downward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.40 per share and revenue of $39.78 billion, indicating changes of -17.6% and -8.88%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Abbott. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.05% rise in the Zacks Consensus EPS estimate. Abbott presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Abbott is presently being traded at a Forward P/E ratio of 20.49. For comparison, its industry has an average Forward P/E of 17.94, which means Abbott is trading at a premium to the group.
Meanwhile, ABT's PEG ratio is currently 4.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Medical - Products industry was having an average PEG ratio of 2.28.
The Medical - Products industry is part of the Medical sector. With its current Zacks Industry Rank of 147, this industry ranks in the bottom 42% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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Abbott Laboratories (ABT) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | Abbott (ABT) ended the recent trading session at $90.87, demonstrating a +0.75% swing from the preceding day's closing price. Meanwhile, ABT's PEG ratio is currently 4.03. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Abbott (ABT) ended the recent trading session at $90.87, demonstrating a +0.75% swing from the preceding day's closing price. Meanwhile, ABT's PEG ratio is currently 4.03. | Abbott (ABT) ended the recent trading session at $90.87, demonstrating a +0.75% swing from the preceding day's closing price. Meanwhile, ABT's PEG ratio is currently 4.03. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. | Abbott (ABT) ended the recent trading session at $90.87, demonstrating a +0.75% swing from the preceding day's closing price. Meanwhile, ABT's PEG ratio is currently 4.03. Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. |
30699.0 | 2023-10-13 00:00:00 UTC | Will Abbott (ABT) Beat Estimates Again in Its Next Earnings Report? | ABT | https://www.nasdaq.com/articles/will-abbott-abt-beat-estimates-again-in-its-next-earnings-report-0 | nan | nan | If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Abbott (ABT). This company, which is in the Zacks Medical - Products industry, shows potential for another earnings beat.
When looking at the last two reports, this maker of infant formula, medical devices and drugs has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 4.47%, on average, in the last two quarters.
For the most recent quarter, Abbott was expected to post earnings of $1.04 per share, but it reported $1.08 per share instead, representing a surprise of 3.85%. For the previous quarter, the consensus estimate was $0.98 per share, while it actually produced $1.03 per share, a surprise of 5.10%.
With this earnings history in mind, recent estimates have been moving higher for Abbott. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the company is positive, which is a great sign of an earnings beat, especially when you combine this metric with its nice Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Abbott has an Earnings ESP of +1.62% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #3 (Hold), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on October 18, 2023.
When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss.
Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Abbott Laboratories (ABT) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. | If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Abbott (ABT). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. When looking at the last two reports, this maker of infant formula, medical devices and drugs has recorded a strong streak of surpassing earnings estimates. | If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Abbott (ABT). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. | If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Abbott (ABT). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the company is positive, which is a great sign of an earnings beat, especially when you combine this metric with its nice Zacks Rank. | If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Abbott (ABT). Click to get this free report Abbott Laboratories (ABT) : Free Stock Analysis Report To read this article on Zacks.com click here. This company, which is in the Zacks Medical - Products industry, shows potential for another earnings beat. |
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