Warner Chilcott plc (WCRX) profits are up sharply after a recent acquisition. Analysts are projecting nice growth and the stock is still trading at a nice value.

Company Description

Warner Chilcott makes pharmaceuticals for gastroenterology, women’s healthcare, dermatology and urology. The company distributes is products Western Europe and North America.

Revenues Nearly Triple

Warner Chilcott reported earnings results on Mar 1 that showed revenues of $686 million, up 183% from one year ago. The majority of the increase is due to the acquisition of a Procter & Gamble business unit.

Earnings per shares came in at 70 cents, 13 cents ahead of expectations.

Estimate Revisions

Over the past 2 months, the full-year Zacks Consensus Estimate is up 27 cents to $3.40. This represents a growth rate of nearly 80%.

Analysts are expecting the Zacks #1 Rank stock to earn $3.79 in 2011, which is up 20 cents over the same period of time.

A Good Value

Even with solid growth projections, shares of WCRX are trading at less than 8 times forward earnings. The PEG ratio is a 0.6 times.

The Chart

Shares of WCRX rose just after the earnings report, but have since retreated. The stochastic is nearing over-sold territory, which could make for a good entry point. Take a look at the chart below. Look to see if the stock tests its recent low, which could show signs of support.

Warner Chilcott plc - ticker WCRX > <P ALIGN=

Bill Wilton is the Growth Stock Strategist for Zacks.com. He is also the Editor in charge of the market-beating Zacks Growth Trader service Zacks Investment Research