Top Performing Stocks for the Week Ended Dec 5
The five best performing stocks on the Zacks #1 Rank List last week were: Cyberonics, Inc. (CYBX - Analyst Report), Shanda Interactive Entertainment Ltd. (SNDA - Snapshot Report), Deckers Outdoor Corporation (DECK - Analyst Report), Thoratec Corporation (THOR - Snapshot Report) and Zhongpin Inc. (HOGS).
CYBX announced a strong fiscal second-quarter performance last month, helped by growth from its core U.S. epilepsy business. Earnings per share of 14 cents easily surpassed the year-ago loss of 15 cents, while also eclipsing the consensus by as much as 133%. Net sales advanced 24% to $36 million. CYBX increased its sales guidance for fiscal 2009 to between $136 million and $140 million. The company believes that U.S. and international epilepsy markets represent opportunities for consistent growth in sales and earnings moving forward.
Shanda Interactive Entertainment Ltd. (SNDA - Snapshot Report), a Chinese interactive entertainment media company, fought off the global economic malaise and reported a strong third-quarter performance last week. Diluted earnings per ADS reached US68 cents, which topped the consensus by more than 23%. The result also improved upon the year-earlier performance. Consolidated net revenues reached US$137.3 million, marking a year-over-year jump of 42.7%.
SNDA made the Zacks #1 Rank Top Performers List for last week as shares increased 21.6%. The company was also recently featured as a Value Stock of the Day at Zacks.com. Earnings estimates for this year are up 4.1% over the past 2 months, including a gain of 2.7% in 7 days. Expectations for next year advanced 3.8% and 2.3%, respectively, in those timeframes. Analysts now expect 18.3% profit growth for next year over this year. The company is confident that the online entertainment industry will be more resilient in this economic cycle, and believes it is in a good position to take advantage.
Deckers Outdoor Corporation (DECK - Analyst Report) is holding up better than most retailers in this difficult environment. The footwear company, which markets the popular UGG brand of shoes, made the Zacks #1 Rank Top Performers List for last week as shares moved higher 15.5%. Analysts' earnings estimates are also on the rise, gaining 4.9% for this year and 2.8% for next year over the past 2 months. Next year's profit is expected to advance almost 17% from this year; a positive sign for the future.
DECK has an excellent record of beating Wall Street's quarterly earnings expectations. In the past 4 quarters, the company has put together an average surprise of approximately 26%. Most recently, it announced earnings per share of $1.97 for the third quarter, compared to $1.47 a year earlier. That result beat the consensus by about 8.2%. Net sales improved 52.5% year over year to $197.3 million from $129.4 million. Sales for the UGG brand jumped 57.1%. Thanks to the strong third-quarter report, DECK also raised its fourth-quarter and full-year outlook.
Thoratec Corporation (THOR - Snapshot Report) announced last Thursday that analysis from its HeartMate II pivotal trial showed that patients displayed statistically superior outcomes when implanted with the device, compared to a control group implanted with an existing device. The medical devices company was a top-performing Zacks #1 Rank company for the week ended Dec 5, as shares increased 12.6%. Over the past 2 months, earnings estimates for this year advanced approximately 21%.
THOR was featured as a Momentum Stock of the Day at Zacks.com on Dec 4. During its third-quarter report from late October, THOR announced earnings per share that easily eclipsed the consensus and year-ago result, while revenues jumped 44% year over year to $80.8 million from $56.1 million.
Zhongpin Inc. (HOGS) made the Zacks #1 Rank Top Performers List for last week as shares increased 9.8%. Over the past month, earnings estimates for this year and next are up approximately 5.3% and 3.5%, respectively. Analysts currently see next year's profit improving about 25% over this year's. On Dec 1, the company announced an agreement to lease a pork production facility in Shenzhou city, beginning from early December 2008. HOGS is a leading meat and food processing company in China.
The company's third-quarter results including earnings per share of 34 cents that beat the consensus by 13.3%. Revenues surged 116% to $153.8 million. HOGS attributed the quarter's results to strong demand for its products and the additional capacity added by the Luoyang plant. The company believes it is poised to capitalize from increased capacity, strong demand and its expanding retail distribution network.