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Bruker (BRKR) Hits a 52-Week High on Solid Growth Drivers

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On Jun 24, shares of Bruker Corporation (BRKR - Free Report) scaled a new 52-week high of $49.88, closing the session a tad bit lower at $48.60. The upside followed after the impressive first-quarter 2019 results.

Bruker had a great run on the bourses in the past year. The stock has gained 63.7% compared with the S&P 500 index’s increase of 7%. The return is also higher than the broader industry’s growth of 26%.

Considering the above factor, one may expect the company, to scale new highs in the upcoming quarters. Further, it delivered average positive earnings surprise of 10% in the trailing four quarters.

Factors Driving the Stock

New Product Launches: Market seems to be upbeat about a gamut of product launches Bruker has been investing in recently. In June, the company announced the launch of the innovative mass spectrometry (MS) and Nuclear Magnetic Resonance (NMR) systems and high-value solutions for molecular phenomics and clinical metabolomics research. This apart, the company launched the MALDI Biotyper sirius system for all previously FDA-cleared and all research-use-only (RUO) MALDI Biotyper (MBT) reference libraries, which are used for near-universal, fast and cost-effective microbial identification from cultures in microbiology. Bruker also launched the novel timsTOF fleX mass spectrometer, which includes a software-switchable MALDI source adapted to the ESI timsTOF Pro platform. 

Key AcquisitionsInvestors are optimistic about Bruker’s growth prospects since its announcement of the acquisition of the semiconductor mask repair and cleaning business of RAVE LLC, a leading provider of nanomachining and laser photomask repair equipment. The company has also acquired Arxspan LLC, a provider of cloud-based scientific software and workflow solutions, based in Southborough, MA.

Zacks Rank & Other Key Picks

Bruker currently sports a Zacks Rank #1 (Strong Buy).

Some other top-ranked stocks in the broader medical space are Cerner Corporation (CERN - Free Report) , Penumbra  (PEN - Free Report) and The Cooper Companies (COO - Free Report) . Each of these stocks carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Cerner’s long-term earnings growth rate is expected to be 13.5%.

Penumbra’s long-term earnings growth rate is projected at 21.5%.

Cooper Companies’ long-term earnings growth rate is estimated at 10.8%.

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