On Jun 17, Zacks Investment Research raised IRadimed Corp. (IRMD Quick QuoteIRMD - Free Report) to a Zacks Rank #1 (Strong Buy).

Why this upgrade?

The upgrade was driven by impressive first-quarter 2016 results. Adjusted earnings of 9 cents outpaced the Zacks Consensus Estimate by a penny (5.56%). Notably, the company has outperformed the Zacks Consensus Estimate in the last four quarters, with an average beat of 7.64%.

Revenues surged 28.2% from the year-ago quarter to $9 million and was in line with the Zacks Consensus Estimate. The growth was driven by strong demand for IV pumps. The company sold 263 IV pumps as compared to 217 pumps in the year-ago quarter.
 

Key Growth Factors

We believe that sales force expansion and increasing production output will drive results in the rest of 2016. Additionally, the anticipated launch of the patient monitoring system (third quarter-international; fourth quarter-the U.S.) is a key catalyst.

Based on these bullish factors, IRadimed raised its full-year 2016 earnings guidance. The company now forecasts adjusted earnings in the range of 88 cents to 90 cents, up from the earlier guided range of 83–85 cents. Revenues forecast remained unchanged at $39–$40 million.

Estimate Revision

The Zacks Consensus Estimate for the second quarter is currently pegged at 21 cents, up a penny over the last 60 days.

Over the same time frame, the Zacks Consensus Estimate for full-year 2016 moved up by a nickel to 88 cents per share.

Other Stocks to Consider

One may also consider other favorably ranked stocks like Cryolife Inc , Masimo Corporation (MASI Quick QuoteMASI - Free Report) and Mesa Labs Inc (MLAB Quick QuoteMLAB - Free Report) in the same space. All the three stocks sport a Zacks Rank #1.

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