Company Overview - STERIS plc, based in Mentor, Ohio, specializes in infection prevention, decontamination, microbial reduction, and surgical and gastrointestinal support products and services, founded in 1985 [1] - The company's current market capitalization is $24.5 billion, with the Q3 2026 earnings report expected to be released soon [1] Earnings Expectations - Analysts predict STERIS will generate earnings of $2.53 per share for Q3 2026, reflecting a 9.1% increase from $2.32 per share in the same quarter last year [2] - For fiscal 2025, the expected EPS is $10.23, indicating an 11% increase from $9.22 reported in fiscal 2024, with further growth anticipated to $11.11 in fiscal 2027, an 8.6% year-over-year increase [3] Stock Performance - Over the past 52 weeks, STERIS shares have increased by 25.5%, outperforming the S&P 500 Index's 17.1% rise and the State Street Health Care Select Sector SPDR ETF's 14.3% return [4] - Following the release of its Q2 2026 earnings, STERIS shares closed up by 6.9%, with quarterly revenue reported at $1.5 billion, exceeding Wall Street estimates, and an adjusted EPS of $2.47 also surpassing projections [5] Analyst Ratings - The consensus view among analysts is moderately bullish, with a "Moderate Buy" rating overall; six out of nine analysts recommend a "Strong Buy," while three suggest a "Hold" [6] - The mean price target for STERIS is $288.86, indicating an 11.4% potential upside from current price levels [6]

Core Insights - Zacks Premium provides various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - The Style Scores categorize stocks based on value, growth, and momentum characteristics, assigning ratings from A to F [3] - Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [4] - Growth Score emphasizes a company's financial health and future growth potential based on earnings and cash flow [5] - Momentum Score identifies trends in stock prices and earnings estimates to optimize entry points for investments [6] - VGM Score combines the three Style Scores to highlight stocks with the best overall characteristics [6] Zacks Rank and Style Scores Interaction - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in stock selection [7] - Stocks rated 1 (Strong Buy) have historically outperformed the S&P 500, achieving an average annual return of +23.75% since 1988 [7] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [9] - The direction of earnings estimate revisions is crucial; stocks with lower ranks but high Style Scores may still face downward price pressure [10] Company Spotlight: Steris plc - Steris plc specializes in infection prevention and surgical support products, having rebranded after acquiring Synergy Health plc in 2015 [11] - Currently rated 3 (Hold) with a VGM Score of A, Steris is positioned as a potential growth investment [11] - The company forecasts a year-over-year earnings growth of 9.8% for the current fiscal year, supported by positive earnings estimate revisions [12] - Steris has an average earnings surprise of +2%, indicating strong performance relative to expectations [12]