Shares of AngioDynamics Inc. (NASDAQ:ANGO) reached a 52-week high of $17.32 on Sep 7, 2016, eventually closing slightly lower at $17.26. This represents strong year-to-date returns of about 42.2%. The S&P 500 has returned only about 7.0% during the same period.
Headquartered in Latham, NY, AngioDynamics designs, manufactures and sells a wide range of medical, surgical and diagnostic devices. In July, this Zacks Rank #3 (Hold) stock reported earnings per share of 19 cents for the fourth quarter of fiscal 2016, beating the Zacks Consensus Estimate of 16 cents.
Key Growth Catalysts
The bullish run reflects a positive long-term outlook, an expanding product portfolio, an innovative pipeline and improving operating efficiency. We believe that an expanding portfolio, which includes products like Asclera, AngioVac, BioFlo and NanoKnife, significantly enhances AngioDynamics’ market opportunities. The company continues to enjoy healthy demand for the NanoKnife system and received clearance in China during the quarter. Japan also holds huge prospect for the product in the long haul.
AngioDynamics forecasts first-quarter fiscal 2017 sales in the range of $84 million to $87 million. Adjusted earnings are projected in the band of $0.11 to $0.14 per share.
For full fiscal 2017, AngioDynamics expects sales in the range of $355 million to $360 million. At the mid-point, this range reflects year-over-year growth of 1%. Adjusted earnings are forecast in the range 62 cents to 65 cents per share, reflecting almost 9.5% growth from fiscal 2016.
AngioDynamics expects gross margin of 51% for fiscal 2017, which is slightly better than the fiscal 2016 figure. The company also anticipates an excess of $30 million in cash.
Stocks to Consider
Some better-ranked stocks in the broader medical sector are GW Pharmaceuticals plc (NASDAQ:GWPH) , NuVasive, Inc. (NASDAQ:NUVA) and Quidel Corp. (NASDAQ:QDEL) . Each of these stocks sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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ANGIODYNAMICS (ANGO): Free Stock Analysis Report
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