Is it Apt to Retain HAE Stock in Your Portfolio for Now?

Core Insights - Haemonetics Corporation's Hospital business recovery is expected to drive growth in upcoming quarters, supported by the strong uptake of the NexSys PCS system and overall financial stability [1][3][6] Financial Performance - In the past year, Haemonetics' shares have decreased by 14.5%, while the industry and S&P 500 have grown by 9% and 10%, respectively [2] - The company has a market capitalization of $3.26 billion and has beaten earnings estimates in three of the last four quarters, with an average surprise of 1.01% [2] - The Zacks Consensus Estimate for fiscal 2025 earnings has decreased by 0.2% to $4.54 per share, while the revenue estimate is $1.39 billion, indicating a 6.2% increase from the previous year [10] Business Segments - The Hospital business achieved a 24% increase in revenues in the third quarter of fiscal 2025, driven by strong market growth and share gains [4] - The Interventional Technologies business grew by 47% in the same quarter, with significant contributions from the Vascular Closure business and positive feedback for the Enzo ETM esophageal cooling device [5] Product Developments - The NexSys PCS system, which is FDA-cleared, aims to enhance plasma yield collections and improve productivity, with the proprietary Persona Technology increasing yield by 9% to 12% on average [6][7] - The rollout of the NexSys system is expected to drive meaningful improvements in 2025 as the transition from older devices continues [7] Market Challenges - Ongoing global geopolitical constraints and economic uncertainty are impacting operational results, with a 5.4% year-over-year increase in the cost of goods sold [8] - The competitive landscape poses challenges, particularly with slower-than-expected product adoption by key customers like the American Red Cross [9]