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Headquartered in San Ramon, California, The Cooper Companies, Inc. (COO) is a global medical device company with a market cap of $18.79 billion. Specializing in contact lenses and surgical products, Cooper plays a critical role in advancing eye care and women's health worldwide. With a strong focus on innovation and quality, the company’s products support healthcare professionals in delivering enhanced patient outcomes, reinforcing its position as a trusted leader in the medical device industry.
Shares of COO have underperformed the broader market considerably over the past year. The stock has gained 1.3% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 26.1%. Also, in 2024, COO is down marginally, compared to the SPX’s 17.2% rise on a YTD basis.
Narrowing the focus, the COO's underperformance looks more pronounced when measured against the SPDR S&P Health Care Equipment ETF (XHE). The exchange-traded fund has gained 5.2% on a YTD basis.
On Aug. 28, COO gained marginally after reporting Q3 results. The company reported an 8% year-over-year increase in revenue, reaching $1,002.8 million. Non-GAAP diluted EPS improved by 14% to $0.96.
For the current fiscal year, ending in October, analysts expect COO’s EPS to grow 11.6% year over year to $3.57 on a diluted basis. The company's earnings surprise history is robust. It beat or matched the consensus estimate in all four quarters.
Among the 15 analysts covering COO stock, the consensus rating is a “Strong Buy.” That’s based on 11 “Strong Buy” ratings and four “Holds.”
This configuration is more bullish than a month ago, with ten analysts suggesting a “Strong Buy.”
On Aug. 20, Jason Bednar from Piper Sandler maintained a “Buy” rating on COO, with a price target of $115, which indicates a 21.6% upside from the current levels.
The mean price target of $112.75 represents a 19.3% premium compared to COO’s current price levels. The Street-high price target of $125 suggests an upside potential of 32.2%.
On the date of publication, Rashmi Kumari 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.
