Back to top

Image: Bigstock

Hanger (HNGR) to Report Q1 Earnings: What's in the Cards?

Read MoreHide Full Article

Hanger, Inc. (HNGR - Free Report) is slated to report first-quarter 2020 results on May 7, after the closing bell.

Q1 Estimates    

The Zacks Consensus Estimate for first-quarter revenues is pegged at $242 million, suggesting growth of 2.5% from the prior-year quarter.

The same for earnings per share stands at a loss of 34 cents. Notably, the company had reported a loss of 16 cents per share in the year-ago quarter.

Key Factors to Note

Hanger’s first-quarter performance is likely to reflect strong performance of its Patient Care segment, which might have benefited from growth in same clinic revenues. The company’s buyouts of orthotic and prosthetic (O&P) clinics during 2019 and late 2018 are likely to have contributed to the segment’s top line.

Within the patient care segment, prosthetics and orthotics revenues are likely to have aided Hanger’s performance in the to-be-reported quarter. However, orthotics’ strong revenues might be offset owing to dampened growth in shoes and inserts.

Moreover, revenues of the company’s Products & Services segment are likely to have suffered a setback in the to-be-reported quarter. This can be attributed to Hanger’s decision to stop distributing certain orthotics products of lower margins to podiatrists. Decline in revenues from therapeutic solutions may to have dented segmental revenues in the to-be-reported quarter.

Furthermore, higher corporate expenses and technology-related costs are likely to have adversely impacted Hanger’s performance in the to-be-reported quarter. The first quarter being the lowest one for top line growth, seasonality is likely to have kept the company’s revenues under pressure in the to-be-reported quarter.

Hanger, Inc. Price and EPS Surprise

Hanger Inc. Price and EPS Surprise

Hanger, Inc. price-eps-surprise | Hanger, Inc. Quote

Earnings Surprise History

The company has a trailing four-quarter negative earnings surprise of 34.76%, on average.

What Our Quantitative Model Predicts

Our proven model does not conclusively predict an earnings beat for Hanger this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.

Earnings ESP: Hanger has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Hanger carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stocks to Consider

Some stocks worth considering from the medical sector with a perfect combination of elements to surpass estimates in the upcoming quarterly releases are as follows:

Immunomedics, Inc. has an Earnings ESP of +2.82% and a Zacks Rank #2. The company is slated to announce first-quarter 2020 earnings on May 6.

Magellan Health, Inc. (MGLN - Free Report) has a Zacks Rank of 3 and an Earnings ESP of +39.26%. The company is slated to announce first-quarter 2020 earnings on May 11.

Horizon Pharma Public Limited Company (HZNP - Free Report) has an Earnings ESP of +2.90% and a Zacks Rank #3. The company is slated to announce first-quarter 2020 earnings on May 6.

Breakout Biotech Stocks with Triple-Digit Profit Potential

The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.

Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.

See these 7 breakthrough stocks now>>


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


Horizon Therapeutics Public Limited Company (HZNP) - free report >>

Magellan Health, Inc. (MGLN) - free report >>

Hanger Inc. (HNGR) - free report >>