Coming into today, shares of the medical device maker had gained 8.27% in the past month. In that same time, the Medical sector gained 0.71%, while the S&P 500 gained 3.82%. Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Hologic. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability. Looking at its ...

It's also important to note that HOLX currently trades at a PEG ratio of 2.47. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Medical - Instruments was holding an average PEG ratio of 2.47 at yesterday's closing price. Hologic (HOLX) closed the latest trading day at $74.53, indicating a +0.58% change from the previous session's end. The stock outperformed the S&P 500, which registered a daily gain of 0 ...

However, a deteriorating geopolitical situation, supply chain bottlenecks leading to a tough situation related to raw material and labor costs, freight charges, as well as healthcare staffing shortages, have put the industry in a tight spot again. Meanwhile, industry players like Hologic, Inc. (HOLX) , Masimo Corporation (MASI) and Veracyte, Inc. (VCYT) have adapted well to changing consumer preferences and are still witnessing an uptrend in their stock prices. The Zacks Medical - Instruments industry is hi ...

Core Viewpoint - Stephens initiated coverage on Hologic Inc, highlighting its strong position in women's health and potential for growth in the molecular diagnostics sector post-COVID [1] Company Overview - Hologic is recognized as a leader in women's health with a portfolio of products that are considered the gold standard for care [1] - The company has demonstrated consistent revenue growth, strong free cash flow, and attractive profit margins [1] Growth Potential - Hologic emerged from the pandemic with new growth drivers, a scaled installed base, and a stronger balance sheet [1] - Near-term growth of 5%-7% is deemed achievable, while long-term growth will heavily rely on mergers and acquisitions (M&A) [6] M&A Strategy - Management has prioritized M&A for capital allocation, indicating a willingness to pursue both smaller tuck-in deals and larger acquisitions over $1 billion if suitable opportunities arise [3][7] - The focus on M&A is expected to present significant opportunities for multiple expansion and drive stock performance over the next year [6][7] Market Reaction - Hologic's shares have seen a 2.05% increase, reaching $73.76 [8]

Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits. Investors interested in stocks from the Medical - Instruments sector have probably already heard of Hologic (HOLX) and Edwards Lifesciences (EW) . But which of these two sto ...

The most recent trading session ended with Hologic (HOLX) standing at $71.65, reflecting a -1.15% shift from the previouse trading day's closing. The stock's change was less than the S&P 500's daily gain of 0.09%. At the same time, the Dow lost 0.1%, and the tech-heavy Nasdaq gained 0.16%. The investment community will be paying close attention to the earnings performance of Hologic in its upcoming release. The company is forecasted to report an EPS of $1.02, showcasing a 9.68% upward movement from the corr ...

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sellside) analysts often affect a stock's price, do they really matter? Hologic currently has an average brokerage recommendation (ABR) of 2.00, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 14 brokerage firms. An ABR of 2. ...

Core Insights - Hologic (HOLX) has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision compared to Edwards Lifesciences (EW), which has a Zacks Rank of 3 (Hold) [1] - Value investors may find HOLX to be a better investment option due to its superior performance in both Zacks Rank and Style Scores models [3] Valuation Metrics - HOLX has a forward P/E ratio of 18.26, significantly lower than EW's forward P/E of 31.82, suggesting that HOLX may be undervalued [2] - The PEG ratio for HOLX is 2.48, while EW's PEG ratio is higher at 3.22, indicating that HOLX has a more favorable earnings growth expectation relative to its price [2] - HOLX's P/B ratio stands at 3.59, compared to EW's P/B of 7.39, further supporting the notion that HOLX is undervalued relative to its book value [9] Value Assessment - The Value category of the Style Scores system evaluates companies based on key metrics such as P/E ratio, P/S ratio, earnings yield, and cash flow per share to determine fair value [5] - HOLX has a Value grade of B, while EW has a Value grade of D, highlighting HOLX's stronger position in terms of value metrics [6]

Market Overview - Investors' optimism has driven the market to record highs following the U.S. Federal Reserve's policy update, which confirmed rate cut expectations in 2024, but a bearish outlook is maintained by some strategists warning of a potential downturn [1][11] - Geopolitical turmoil, including the Israel-Hamas conflict, the Russia-Ukraine war, and tensions between China and Taiwan, has led to rising raw material costs and supply-chain disruptions, causing margin pressure for many companies [2] Company Analysis Option Care Health (OPCH) - Option Care Health has a Zacks Rank of 2 (Buy) and a Value Score of B, with a forward 12-month Price/Sales ratio of 1.02, lower than its median of 1.14 and significantly discounted compared to the S&P 500's 3.99 [6][10] - The company has shown resilience post-cybersecurity incident, maintaining a patient satisfaction rate of 93% and a Net Promoter Score of 76.2, while focusing on operational excellence and growth [5][14] - OPCH's earnings yield is 4.01%, with projected earnings growth of 15.71% for 2025 [16] Lantheus (LNTH) - Lantheus holds a Zacks Rank of 2 and a Value Score of A, with a forward 12-month Price/Sales ratio of 3.72, compared to its median of 3.42 and discounted against the S&P 500's 3.99 [18] - The company is focused on operational excellence and innovation, particularly with its PYLARIFY imaging agent for prostate cancer, which is projected to generate sales of nearly $1 billion this year [7][8] - Lantheus has an earnings yield of 8.72% and anticipates earnings growth of 14.13% for 2024 [8] Hologic (HOLX) - Hologic also has a Zacks Rank of 2 and a Value Score of B, with a forward 12-month Price/Sales ratio of 4.18, lower than its median of 4.31 and discounted compared to the S&P 500's 3.99 [10] - The company has expanded its product offerings significantly, with a 40% growth in its international business since 2019, and has over $2 billion in cash to fund initiatives and acquisitions [9][19] - Hologic's earnings yield is 5.47%, with projected earnings growth of 3.03% for fiscal 2024 [20]

Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Hologic (HOLX), and emphasizes the importance of validating these recommendations with other indicators like the Zacks Rank. Group 1: Brokerage Recommendations - Hologic has an average brokerage recommendation (ABR) of 2.00, indicating a Buy, based on recommendations from 14 brokerage firms, with 42.9% as Strong Buy and 14.3% as Buy [2] - Brokerage analysts tend to exhibit a strong positive bias in their ratings, often issuing five "Strong Buy" recommendations for every "Strong Sell" [5] - The ABR is calculated solely from brokerage recommendations and is typically displayed in decimals, while the Zacks Rank is a quantitative model based on earnings estimate revisions [8] Group 2: Zacks Rank - The Zacks Rank for Hologic is 2 (Buy), reflecting a 1.4% increase in the Zacks Consensus Estimate for the current year to $4.08, indicating positive earnings prospects [12][13] - The Zacks Rank is timely and reflects the latest earnings estimate revisions, which are strongly correlated with near-term stock price movements [10][11] - The Zacks Rank maintains a balance among the five ranks it assigns, unlike the ABR, which may not always be up-to-date [11]