SurModics (SRDX) Loses -6.29% in 4 Weeks, Here's Why a Trend Reversal May be Around the Corner
SurModics (SRDX) is technically in oversold territory now, so the heavy selling pressure might have exhausted. This along with strong agreement among Wall Street analysts in raising earnings estimates could lead to a trend reversal for the stock.
Here's What Key Metrics Tell Us About SurModics (SRDX) Q3 Earnings
Although the revenue and EPS for SurModics (SRDX) give a sense of how its business performed in the quarter ended June 2024, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
SurModics (SRDX) Reports Q3 Loss, Tops Revenue Estimates
SurModics (SRDX) came out with a quarterly loss of $0.27 per share versus the Zacks Consensus Estimate of a loss of $0.31. This compares to earnings of $0.52 per share a year ago.
Surmodics (SRDX) Inks Group Purchasing Agreement With Premier
Surmodics (SRDX) inks the group purchasing agreement for its thrombectomy products with Premier.
Why Is SurModics (SRDX) Up 21.9% Since Last Earnings Report?
SurModics (SRDX) reported earnings 30 days ago. What's next for the stock?
Surmodics (SRDX) Enters Deal to be Acquired by GTCR for $627M
Surmodics (SRDX) enters a definitive agreement to be acquired by renowned private equity company GTCR at an estimated total equity valuation of $627 million.
SURMODICS INVESTOR ALERT BY THE FORMER ATTORNEY GENERAL OF LOUISIANA: Kahn Swick & Foti, LLC Investigates Adequacy of Price and Process in Proposed Sale of Surmodics, Inc. - SRDX
NEW ORLEANS, LA / ACCESSWIRE / May 30, 2024 / Former Attorney General of Louisiana Charles C. Foti, Jr., Esq.
Surmodics Stock Rockets, But Merck Stock Little Moved, On Takeover Deals
Merck and Surmodics announced big takeover deals Wednesday, but Merck stock remained at a standstill as Surmodics stock rocketed.
Here's Why You Should Hold Surmodics (SRDX) Stock for Now
Surmodics, Inc. (SRDX Quick QuoteSRDX - Free Report) is well-poised for growth in the coming quarters, courtesy of its solid prospects in the thrombectomy business over the past few months. The optimism led by a solid second-quarter performance and consistent efforts to boost research and development (R&D) are expected to contribute further. Yet, concerns regarding regulatory headwinds and reliance on third parties persist.So far this year, this current Zacks Rank #3 (Hold) company has declined 4.8% against the industry’s 4.2% rise and the S&P 500’s 11.6% growth.The renowned medical device and in-vitro diagnostics technology provider has a market capitalization of $493.68 million. Surmodics projects 97.2% growth for fiscal 2025 and expects to maintain its strong performance. SRDX’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average earnings surprise being 165.93%. Image Source: Zacks Investment ResearchLet’s delve deeper.Consistent Efforts to Boost R&D: Surmodics’ solid efforts to improve its R&D stature have been a key growth driver, which raises our optimism. The company’s pipeline of vascular intervention medical device products under development and recently commercialized include primary platforms like DCBs, Mechanical thrombectomy devices and Radial access devices. In addition to these primary platforms, Surmodics’ device manufacturing operations include Specialty catheters.In the second quarter, Surmodics’ R&D expenses were 27.6% of total revenues. Medical Device R&D and other revenues increased 1.4% in the fiscal second quarter compared with the prior-year quarter, driven by increased volume of performance coating services.Thrombectomy Prospects Bright: Surmodics’ aim to leverage its proprietary Pounce thrombectomy platform technology to develop products raises our optimism. The company announced the completion of limited market evaluation and commercial launch of two new mechanical thrombectomy systems for the peripheral venous and arterial vasculatures, the Pounce Venous Thrombectomy System and the Pounce LP (Low Profile) Thrombectomy System during the fiscal second quarter.In January, Surmodics announced the successful early clinical use of the Pounce LP Thrombectomy System. Strong Q2 Results: Surmodics registered a solid uptick in the overall top and bottom lines in the second quarter. Product sales growth in the Medical Device segment was driven primarily by the fulfillment of the initial stocking order for the SurVeil DCB from Abbott and continued sales growth from the Pounce thrombectomy device platform.DownsidesRegulatory Headwinds: Surmodics’ facilities and procedures are subject to periodic inspections by the FDA to determine compliance with the latter’s requirements. On account of non-compliance with applicable laws or regulations, the FDA could ban such medical devices. Any adverse regulatory action can potentially hurt Surmodics' business practices and operations.Reliance on Third Parties: A principal element of Surmodics’ business strategy is to enter into licensing arrangements with medical devices and other companies that manufacture products incorporating its technologies. The company’s revenues from such arrangements depend upon its ability or its licensees’ ability to successfully develop, obtain regulatory approval for manufacture (if applicable), and market and sell products incorporating Surmodics’ technologies. Any failure to meet these requirements could have an adverse effect on its business.Estimate TrendSurmodics is witnessing a positive estimate revision trend for fiscal 2024. In the past 30 days, the Zacks Consensus Estimate for its loss per share has narrowed from 90 cents to 72 cents.The consensus estimate for the company’s third-quarter fiscal revenues is pegged at $30.3 million, suggesting a 42.2% decline from the year-ago reported number. Loss for the period is estimated to widen 157.7% year over year to 30 cents per share.Surmodics, Inc. Price Surmodics, Inc. price | Surmodics, Inc. QuoteKey PicksSome better-ranked stocks in the broader medical space are DaVita Inc. (DVA Quick QuoteDVA - Free Report) , Align Technology (ALGN Quick QuoteALGN - Free Report) and Medpace (MEDP Quick QuoteMEDP - Free Report) .DaVita, sporting a Zacks Rank #1 (Strong Buy) at present, has an estimated long-term growth rate of 13.6%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 29.4%. DaVita’s shares have risen 33.4% compared with the industry’s 11.2% growth year to date.Medpace, sporting a Zacks Rank of 1 at present, has an estimated long-term growth rate of 17.9%. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 12.8%.Medpace’s shares have risen 28.3% year to date compared with the industry’s 4.9% growth.Align Technology, carrying a Zacks Rank #2 (Buy) at present, has an estimated long-term growth rate of 6.9%. Its earnings surpassed estimates in three of the trailing four quarters and missed the same in one quarter, delivering an average surprise of 5.9%.ALGN’s shares have declined 0.9% year to date against the industry’s 2.8% growth. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time. This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>
