Company Overview - Pro-Dex, Inc. (PDEX) shares increased by 8.2% to $53.5 in the last trading session, with a notable trading volume that exceeded the average [1] - The stock has gained 10.1% over the past four weeks, indicating a positive trend [1] Institutional Interest - The recent surge in PDEX shares is attributed to growing institutional interest, with significant investors like Navellier & Associates and Northern Trust either initiating or expanding their positions [2] - This accumulation reflects increasing confidence in the company's fundamentals, supporting the stock's upward momentum that began in August 2024 [2] Earnings Expectations - Pro-Dex is projected to report quarterly earnings of $0.47 per share, representing a year-over-year increase of 2.2% [3] - Expected revenues for the upcoming report are $17.9 million, which is a 19.2% increase compared to the same quarter last year [3] Earnings Estimate Trends - The consensus EPS estimate for Pro-Dex has remained unchanged over the last 30 days, suggesting that the stock's price movement may not sustain without trends in earnings estimate revisions [4] - Monitoring PDEX is advised to determine if the recent price increase can lead to further strength in the future [4] Industry Context - Pro-Dex operates within the Zacks Medical - Dental Supplies industry, where McKesson (MCK) is another key player [5] - McKesson's consensus EPS estimate has changed by 1.1% over the past month to $8.23, reflecting a year-over-year change of 4.4% [6]

Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying strong candidates can be challenging due to associated risks and volatility. Pro-Dex, Inc. (PDEX) is highlighted as a promising growth stock based on its favorable growth metrics and Zacks Rank [1][2]. Group 1: Earnings Growth - Pro-Dex has a historical EPS growth rate of 9.1%, but the projected EPS growth for this year is expected to be 368.3%, significantly surpassing the industry average of 8.2% [4]. - Double-digit earnings growth is preferred by growth investors, indicating strong prospects for stock price gains [3]. Group 2: Asset Utilization - Pro-Dex has an asset utilization ratio (sales-to-total-assets ratio) of 1.11, indicating that the company generates $1.11 in sales for every dollar in assets, compared to the industry average of 0.8, showcasing higher efficiency [5]. Group 3: Sales Growth - The company's sales are projected to grow by 24.4% this year, which is substantially higher than the industry average of 2.5% [6]. Group 4: Earnings Estimate Revisions - There has been a positive trend in earnings estimate revisions for Pro-Dex, with the Zacks Consensus Estimate for the current year increasing by 22.2% over the past month, indicating favorable market sentiment [8][7]. Group 5: Overall Positioning - Pro-Dex has achieved a Growth Score of B and a Zacks Rank of 2 due to positive earnings estimate revisions, positioning it well for potential outperformance in the growth stock category [10].

Pro-Dex, Inc. (PDEX) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.Since a ...

Company Overview - Pro-Dex, Inc. (PDEX) is a contract manufacturer focused on designing, developing, and manufacturing surgical devices for the medical device industry [1] - The stock has experienced significant volatility over the past year, trading between a high of $70 and a low of $16 [1] Performance Insights - The company has achieved record performance, although specific metrics or figures are not provided in the text [1]

Core Insights - Pro-Dex, Inc. (PDEX) reported quarterly earnings of $0.98 per share, significantly exceeding the Zacks Consensus Estimate of $0.47 per share, and up from $0.19 per share a year ago, representing an earnings surprise of 108.51% [1] - The company posted revenues of $17.41 million for the quarter ended March 2025, slightly missing the Zacks Consensus Estimate by 1.62%, but up from $14.29 million year-over-year [2] - Pro-Dex shares have increased approximately 40.5% since the beginning of the year, contrasting with a -5.3% decline in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.48 on revenues of $18.5 million, and for the current fiscal year, it is $2.30 on revenues of $67.9 million [7] - The estimate revisions trend for Pro-Dex is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Medical - Dental Supplies industry, to which Pro-Dex belongs, is currently ranked in the bottom 40% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Another company in the same industry, Dentsply International (XRAY), is expected to report a year-over-year earnings decline of 31% for the quarter ended March 2025, with revenues anticipated to drop by 10.7% [9][10]

Financial Performance - Net sales for Q3 2025 increased by $3.1 million, or 22%, to $17.4 million compared to $14.3 million in Q3 2024, driven by $6.2 million shipments of the next generation orthopedic handpiece [3] - Gross profit for Q3 2025 rose by $1.8 million, or 45%, to $5.8 million from $4.0 million in Q3 2024, reflecting a favorable product mix [4] - Operating income for Q3 2025 increased by $1.4 million, or 65%, to $3.6 million compared to $2.2 million in Q3 2024 [6] - Net income for Q3 2025 was $3.3 million, or $0.98 per diluted share, compared to $655,000, or $0.19 per diluted share, in Q3 2024 [7] - For the nine months ended March 31, 2025, net sales increased by $10.3 million, or 27%, to $49.1 million from $38.8 million in the same period of 2024 [8] - Gross profit for the nine months ended March 31, 2025, increased by $5.6 million, or 53%, compared to the same period in fiscal 2024 [9] - Operating income for the nine months ended March 31, 2025, rose by $4.5 million, or 94%, to $9.3 million compared to $4.8 million in the prior year [11] - Net income for the nine months ended March 31, 2025, was $7.8 million, or $2.31 per diluted share, compared to $540,000, or $0.15 per diluted share, for the same period in fiscal 2024 [12] Assets and Liabilities - Total current assets as of March 31, 2025, were $49.9 million, up from $36.6 million as of June 30, 2024 [17] - Total liabilities as of March 31, 2025, were $29.0 million, compared to $21.6 million as of June 30, 2024 [17]

Sales Performance - Medical device product sales increased by $2.1 million, or 22%, for the three months ended March 31, 2025, and by $7.5 million, or 28%, for the nine months ended March 31, 2025, compared to the prior fiscal year [92]. - The largest customer’s revenue contribution from orthopedic sales increased by $1.8 million and $7.5 million for the three and nine months ended March 31, 2025, respectively, due to the launch of a next-generation handpiece [92]. - Repair revenue rose by $666,000, or 15%, for the three months ended March 31, 2025, and by $3.3 million, or 29%, for the nine months ended March 31, 2025, primarily due to an increased number of repairs of orthopedic handpieces [95]. - Medical device products accounted for 68% of total net sales for the three months ended March 31, 2025, and 69% for the nine months ended March 31, 2025 [92]. - Orthopedic sales represented 72% of total medical device sales for the three months ended March 31, 2025, and 72% for the nine months ended March 31, 2025 [92]. - Sales of compact pneumatic air motors increased by $54,000, or 26%, for the three months ended March 31, 2025, but decreased by $15,000, or 3%, for the nine months ended March 31, 2025 [93]. - Dental products and components sales decreased by $17,000, or 27%, for the three months ended March 31, 2025, and by $28,000, or 19%, for the nine months ended March 31, 2025 [94]. Financial Performance - Cost of sales for the three months ended March 31, 2025, increased by $1.3 million, or 13%, compared to the same period in the prior fiscal year, consistent with a 22% increase in revenue [97]. - Gross profit for the three months ended March 31, 2025, increased by approximately $1.8 million, or 45%, primarily due to increased medical device and repair revenue [98]. - Gross margin as a percentage of sales increased by approximately 5 percentage points for the three months ended March 31, 2025, compared to the prior fiscal year [98]. - Operating expenses for the three months ended March 31, 2025, totaled $2.2 million, representing 12% of net sales, an increase of 21% year-over-year [102]. - Research and development costs for the three months ended March 31, 2025, increased by $187,000, or 25%, compared to the prior fiscal year [104]. Cash Flow and Working Capital - Cash and cash equivalents increased by $1.9 million to $4.5 million as of March 31, 2025, compared to $2.6 million at June 30, 2024 [111]. - Net cash used in operating activities was $1.5 million for the nine months ended March 31, 2025, primarily due to an $8.2 million increase in inventory [113]. - Net cash provided by financing activities for the nine months ended March 31, 2025, totaled $2.6 million, primarily from an increase in borrowings of $6.4 million [117]. - Working capital as of March 31, 2025, was $31.6 million, indicating sufficient funds to meet cash requirements for at least the next 12 months [119]. Strategic Focus - The company continues to focus on expanding manufacturing capacity and investing in research and development for new medical devices [90]. - The company plans to continue investing in development programs that are expected to contribute to profitability while monitoring expenses [120]. Backlog - The backlog at March 31, 2025, was approximately $49.5 million, with $12.8 million scheduled for delivery in the fourth quarter of fiscal 2025 [96].

Group 1 - Pro-Dex, Inc. (PDEX) shares increased by 5.1% to $66.92 in the last trading session, continuing an upward trend since March, with a total gain of 28.9% over the past four weeks [1] - The company is expected to report quarterly earnings of $0.47 per share, reflecting a year-over-year increase of 147.4%, with revenues projected at $17.7 million, up 23.9% from the previous year [2] - The consensus EPS estimate for Pro-Dex has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [3] Group 2 - Pro-Dex operates within the Zacks Medical - Dental Supplies industry, where Dentsply International (XRAY) also belongs, with XRAY closing 3.2% higher at $13.71, but showing a -14.9% return over the past month [3] - Dentsply's consensus EPS estimate has decreased by 1% over the past month to $0.30, representing a decline of 28.6% compared to the previous year [4]

Company Overview - Pro-Dex, Inc. (PDEX) shares increased by 7.4% to close at $55.19, with trading volume significantly higher than usual, reflecting strong investor interest [1] - The stock has experienced a substantial 49.8% gain over the past four weeks, indicating positive market sentiment [1] Financial Performance - Pro-Dex reported a 33% year-over-year increase in quarterly revenue and a 247% rise in operating income for the second quarter [2] - The upcoming third-quarter fiscal 2025 results are expected to show a 23.8% growth in revenues, reaching $17.7 million, and a 147.4% increase in earnings per share to $0.47 [3] Earnings Estimates - The consensus EPS estimate for the upcoming quarter has remained unchanged over the last 30 days, suggesting stability in earnings expectations [4] - Trends in earnings estimate revisions are correlated with near-term stock price movements, indicating that monitoring these trends is crucial for future stock performance [3][4] Industry Context - Pro-Dex is part of the Zacks Medical - Dental Supplies industry, which includes other companies like West Pharmaceutical Services (WST) [4] - West Pharmaceutical's consensus EPS estimate has decreased by 5% over the past month, reflecting a negative trend in comparison to Pro-Dex's strong performance [5]

Core Viewpoint - Pro-Dex, Inc. (PDEX) has been upgraded to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Revisions - The Zacks Consensus Estimate for Pro-Dex for the fiscal year ending June 2025 is projected at $2.30 per share, reflecting a substantial increase of 283.3% compared to the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for Pro-Dex has risen by 15%, indicating a positive trend in earnings expectations [8]. Zacks Rating System - The Zacks rating system is based solely on a company's earnings picture, tracking changes in earnings estimates from sell-side analysts [2]. - The system classifies stocks into five groups, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of Pro-Dex to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting a strong potential for price appreciation in the near term [10].