We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Colfax (CFX) Arm's LiteCure Buyout to Boost Product Portfolio
Read MoreHide Full Article
Colfax Corporation’s business unit, DJO, LLC recently completed the buyout of LiteCure. However, the financial terms of the transactions were kept under wraps.
Notably, Colfax’s shares declined 1.8% on Friday to eventually close the trading session at $37.23.
Inside the Headlines
LiteCure is a leading provider of laser technology for treatment of human and animal health. The company’s advanced therapeutic laser technology facilitates the treatment of acute and chronic musculoskeletal conditions. Some of the company’s major brands are LightForce, Companion and Pegasus.
LiteCure is believed to be a strategic fit for DJO. The buyout will create strong growth opportunities for DJO in the physical therapy and rehabilitation market. The inclusion of LiteCure’s solid expertise in medical therapy laser technologies will enable DJO’s Chattanooga brand to provide a comprehensive therapeutic solutions based on laser to its medical customers.
The latest transaction is in sync with Colfax’s policy of acquiring businesses for expanding its business and product offerings. For instance, in November 2020, the company acquired some extremity product lines from Stryker Corporation (SYK - Free Report) . This buyout is likely to expand Colfax’s reconstructive product offerings through its entry into the foot and ankle market.
Zacks Rank, Price Performance and Estimate Revisions
Colfax, with approximately $4.4 billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company is poised to gain from its focus on product innovation, a healthy business system and a solid business portfolio, going forward. However, uncertainties related to the coronavirus pandemic and headwinds arising from its international operations might affect its performance.
The Zacks Consensus Estimate for the company’s earnings is pegged at $1.37 for 2020 and $2.04 for 2021, up 1.5% and 3% from the respective 60-day-ago figures.
The company’s shares have gained 10.1% compared with 13.4% growth recorded by the industry in the past three months.
Key Picks
A couple of better-ranked stocks from the same space are Altra Industrial Motion Corp. and Applied Industrial Technologies, Inc. (AIT - Free Report) . While Altra Industrial currently sports a Zacks Rank #1 (Strong Buy), Applied Industrial carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Altra Industrial delivered a positive earnings surprise of 50.07%, on average, in the trailing four quarters.
Applied Industrial delivered a positive earnings surprise of 14.68%, on average, in the trailing four quarters.
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
Image: Bigstock
Colfax (CFX) Arm's LiteCure Buyout to Boost Product Portfolio
Colfax Corporation’s business unit, DJO, LLC recently completed the buyout of LiteCure. However, the financial terms of the transactions were kept under wraps.
Notably, Colfax’s shares declined 1.8% on Friday to eventually close the trading session at $37.23.
Inside the Headlines
LiteCure is a leading provider of laser technology for treatment of human and animal health. The company’s advanced therapeutic laser technology facilitates the treatment of acute and chronic musculoskeletal conditions. Some of the company’s major brands are LightForce, Companion and Pegasus.
LiteCure is believed to be a strategic fit for DJO. The buyout will create strong growth opportunities for DJO in the physical therapy and rehabilitation market. The inclusion of LiteCure’s solid expertise in medical therapy laser technologies will enable DJO’s Chattanooga brand to provide a comprehensive therapeutic solutions based on laser to its medical customers.
The latest transaction is in sync with Colfax’s policy of acquiring businesses for expanding its business and product offerings. For instance, in November 2020, the company acquired some extremity product lines from Stryker Corporation (SYK - Free Report) . This buyout is likely to expand Colfax’s reconstructive product offerings through its entry into the foot and ankle market.
Zacks Rank, Price Performance and Estimate Revisions
Colfax, with approximately $4.4 billion market capitalization, currently carries a Zacks Rank #3 (Hold). The company is poised to gain from its focus on product innovation, a healthy business system and a solid business portfolio, going forward. However, uncertainties related to the coronavirus pandemic and headwinds arising from its international operations might affect its performance.
The Zacks Consensus Estimate for the company’s earnings is pegged at $1.37 for 2020 and $2.04 for 2021, up 1.5% and 3% from the respective 60-day-ago figures.
The company’s shares have gained 10.1% compared with 13.4% growth recorded by the industry in the past three months.
Key Picks
A couple of better-ranked stocks from the same space are Altra Industrial Motion Corp. and Applied Industrial Technologies, Inc. (AIT - Free Report) . While Altra Industrial currently sports a Zacks Rank #1 (Strong Buy), Applied Industrial carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Altra Industrial delivered a positive earnings surprise of 50.07%, on average, in the trailing four quarters.
Applied Industrial delivered a positive earnings surprise of 14.68%, on average, in the trailing four quarters.
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>