ZELTIQ Aesthetics Hits A 52-Week High On Solid Prospects

Share price of Burlington, CA-based ZELTIQ Aesthetics, Inc. (NASDAQ:ZLTQ) reached a new 52-week high of $39.65 on Sep 14, eventually closing a tad lower at $39.39. The company gained 38.1% year to date, much better than the S&P 500’s 4% over the same time frame. It has added roughly 6.6% over the past one year. Average volume of shares traded over the last three months was approximately 754.05K.

Meanwhile, we note that ZELTIQ carries a Zacks Rank #3 (Hold). The stock has a market cap of $1.56 billion.

The company has an impressive long-term expected earnings growth rate of 30%, more than double the industry’s average of 14.8%.

Over the last three to five years, revenues have been exceptionally strong at 41.8% as compared to the industry average of 15.6%.

Accordingly, the company has an impressive Growth Style Score B. Our Growth Style Score highlights all the vital metrics of the company’s financials to obtain a true picture of the quality and sustainability of its growth. Our research shows that stocks with Style Scores of ‘A’ or‘B’ when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (HOLD) offer the best investment opportunities.

Growth Factors

ZELTIQ’s steady global expansion is a significant catalyst in our view. The company’s CoolSculpting product has received Chinese FDA approval for fat reduction this July. It will help ZELTIQ strengthen its foothold in a highly populated and emergent economy. Earlier, the company had received the U.S. FDA approval to treat substantial fat with coolsculpting (R) procedure.

The company’s other key product launches include 3-in-1 CoolAdvantage applicator for the CoolSculpting System, all of which have contributed to the company’s market expansion.

In the last reported second quarter, ZELTIQ recorded strong North American system sales, which were up 37% year over year. Overall, sales surged 19% year over year which can be attributed to the company’s product development and global foothold.

Zacks Rank & Key Picks

Bruker currently has a Zacks Rank #3 (Hold). Better-ranked stocks in the medical product sector are GW Pharmaceuticals plc (NASDAQ:GWPH) , NuVasive, Inc. (NASDAQ:NUVA) and Quidel Corp. (NASDAQ:QDEL) . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

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