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.
Why You Should Retain PerkinElmer (PKI) in Your Portfolio
Read MoreHide Full Article
PerkinElmer, Inc. is well poised for growth on the back of solid international presence and robust product portfolio. However, foreign exchange volatility remains a concern.
The stock has gained 15.4% against the industry’s decline of 0.2% in a year’s time. Notably, the S&P 500 Index has risen 9.1% in the same time frame.
The company — with a market capitalization of $11.57 billion — provides scientific instruments, consumables, and services to pharmaceutical, biomedical, environmental testing, chemical, and general industrial markets worldwide. It anticipates earnings to improve 7.9% over the next five years. The company has a trailing four-quarter positive earnings surprise of 12.2%, on average.
Let’s take a closer look at the factors that are substantiating its Zacks Rank #3 (Hold).
What’s Deterring the Stock?
Increasing exposure to international markets enhances the risk of foreign exchange volatility. Fluctuations in currency exchange rates can adversely impact the company’s international sales. Per first-quarter earnings call, it anticipates 1% foreign exchange headwind to the bottom line for 2020.
Key Catalysts
PerkinElmer delivers a comprehensive suite of scientific informatics and software solutions to aggregate data into actionable insights in an automated and scalable way. The company’s products include the industry leading ChemDraw software, Electronic Lab Notebooks including cloud-based Elements SaaS Offering and enterprise E-Notebook Solutions, along with the TIBCO Spotfire platform for scientific data analytics.
During the first quarter, PerkinElmer announced that it has received Emergency Use Authorization from the FDA for New Coronavirus RT-PCR test. Clinical laboratories that are certified under Clinical Laboratory Improvement Amendments can start utilizing this test kit to detect SARS-CoV-2 (virus causing COVID-19) immediately. Notably, this test is marketed as an in-vitro diagnostic device by meeting the requirements of the European In Vitro Diagnostic Directive. The test kit is now available in more than 30 countries on a worldwide basis.
In addition to serving emerging economies, PerkinElmer enjoys strong global exposure. Per management, the major geographies witnessed a mixed first quarter, with mid-single digit organic revenue growth in the United States and double-digit organic revenue improvement in Europe.
Which Way are Estimates Headed?
For 2020, the Zacks Consensus Estimate for revenues is pegged at $2.88 billion, which indicates no change from the previous year. The same for adjusted earnings per share stands at $3.80, suggesting a decline of 7.3% from the year-ago reported figure.
Stocks to Consider
Some better-ranked stocks from the broader medical space include Aphria Inc. , HMS Holdings Corp. and West Pharmaceutical Services, Inc. (WST - Free Report) . While Aphria and HMS Holdings carry a Zacks Rank #2 (Buy), West Pharmaceutical sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Aphria has an estimated long-term earnings growth rate of 24.6%.
HMS Holdings has an estimated long-term earnings growth rate of 11%.
West Pharmaceutical has a projected long-term earnings growth rate of 9.2%.
These Stocks Are Poised to Soar Past the Pandemic
The COVID-19 outbreak has shifted consumer behavior dramatically, and a handful of high-tech companies have stepped up to keep America running. Right now, investors in these companies have a shot at serious profits. For example, Zoom jumped 108.5% in less than 4 months while most other stocks were sinking.
Our research shows that 5 cutting-edge stocks could skyrocket from the exponential increase in demand for “stay at home” technologies. This could be one of the biggest buying opportunities of this decade, especially for those who get in early.
Image: Bigstock
Why You Should Retain PerkinElmer (PKI) in Your Portfolio
PerkinElmer, Inc. is well poised for growth on the back of solid international presence and robust product portfolio. However, foreign exchange volatility remains a concern.
The stock has gained 15.4% against the industry’s decline of 0.2% in a year’s time. Notably, the S&P 500 Index has risen 9.1% in the same time frame.
The company — with a market capitalization of $11.57 billion — provides scientific instruments, consumables, and services to pharmaceutical, biomedical, environmental testing, chemical, and general industrial markets worldwide. It anticipates earnings to improve 7.9% over the next five years. The company has a trailing four-quarter positive earnings surprise of 12.2%, on average.
Let’s take a closer look at the factors that are substantiating its Zacks Rank #3 (Hold).
What’s Deterring the Stock?
Increasing exposure to international markets enhances the risk of foreign exchange volatility. Fluctuations in currency exchange rates can adversely impact the company’s international sales. Per first-quarter earnings call, it anticipates 1% foreign exchange headwind to the bottom line for 2020.
Key Catalysts
PerkinElmer delivers a comprehensive suite of scientific informatics and software solutions to aggregate data into actionable insights in an automated and scalable way. The company’s products include the industry leading ChemDraw software, Electronic Lab Notebooks including cloud-based Elements SaaS Offering and enterprise E-Notebook Solutions, along with the TIBCO Spotfire platform for scientific data analytics.
During the first quarter, PerkinElmer announced that it has received Emergency Use Authorization from the FDA for New Coronavirus RT-PCR test. Clinical laboratories that are certified under Clinical Laboratory Improvement Amendments can start utilizing this test kit to detect SARS-CoV-2 (virus causing COVID-19) immediately. Notably, this test is marketed as an in-vitro diagnostic device by meeting the requirements of the European In Vitro Diagnostic Directive. The test kit is now available in more than 30 countries on a worldwide basis.
In addition to serving emerging economies, PerkinElmer enjoys strong global exposure. Per management, the major geographies witnessed a mixed first quarter, with mid-single digit organic revenue growth in the United States and double-digit organic revenue improvement in Europe.
Which Way are Estimates Headed?
For 2020, the Zacks Consensus Estimate for revenues is pegged at $2.88 billion, which indicates no change from the previous year. The same for adjusted earnings per share stands at $3.80, suggesting a decline of 7.3% from the year-ago reported figure.
Stocks to Consider
Some better-ranked stocks from the broader medical space include Aphria Inc. , HMS Holdings Corp. and West Pharmaceutical Services, Inc. (WST - Free Report) . While Aphria and HMS Holdings carry a Zacks Rank #2 (Buy), West Pharmaceutical sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Aphria has an estimated long-term earnings growth rate of 24.6%.
HMS Holdings has an estimated long-term earnings growth rate of 11%.
West Pharmaceutical has a projected long-term earnings growth rate of 9.2%.
These Stocks Are Poised to Soar Past the Pandemic
The COVID-19 outbreak has shifted consumer behavior dramatically, and a handful of high-tech companies have stepped up to keep America running. Right now, investors in these companies have a shot at serious profits. For example, Zoom jumped 108.5% in less than 4 months while most other stocks were sinking.
Our research shows that 5 cutting-edge stocks could skyrocket from the exponential increase in demand for “stay at home” technologies. This could be one of the biggest buying opportunities of this decade, especially for those who get in early.
See the 5 high-tech stocks now>>