The Cooper Companies, Inc. (COO) is on a roll. Shares are surging but thanks to the influx of upward earnings estimate revisions, the valuations are still in check. If you are looking to get into a company ahead of its earnings report, this Zacks #2 Rank (Buy) is worth a look.
Company Description
The Cooper Companies is a global medical products maker focusing on specialty healthcare. The company operates through its subsidiaries, CooperVision and CooperSurgical.
Estimates Climbing
Over the past 3 months the Zacks Consensus Estimate for fiscal 2011 is up 33 cents, to $3.53. Next year’s forecasts are up 36 cents to an average of $3.92. If Cooper Companies can hit these marks the annual growth rates will be 16% and 11%, respectively.
Earnings Surprises Continue
Much of those increases are due to the fourth quarter earnings surprise on Dec 7. Revenue was up 11% year-over-year to a better than expected $314 million. Earnings per share came in at $1.04, 18 cents higher that the Zacks Consensus Estimate.
Additionally, the company guided higher for 2011, which spurred the rush of upward estimate revisions. The company will look to extend its earnings surprise streak when it reports after the bell on Mar 3.
New Product
On Jan 18 Cooper Companies said it will nationally release its Avaira Toric contact lenses for astigmatic patients. The original product launch was back in Jun but demand was so high the launch had to be restricted to a few thousand people.
The Chart
Shares of COO have been rising just as rapidly as they earnings estimates. The stock is still trading within its historic norms as far, as valuations go, so if we have another good report in March there is no reason for the bullish trend to stop any time soon.
This Week’s Aggressive Growth Zacks Rank Buy Stocks
Don’t let the chart scare you away, all signs point to VSEA heading even higher.


