SurModics, Inc. (SRDX) – Bull of the Day
SurModics, Inc. ( SRDX ) second quarter fiscal 2012 adjusted earnings of $0.14 per share beat the Zacks Consensus Estimate by $0.02. The company also topped the Zacks Consensus revenue estimate. Given SurModic’s strong product portfolio, we expect it to achieve fiscal 2012 guidance of $47-$51 million.
We are also pleased with the sale of the SurModics Pharmaceuticals unit, as this has allowed the company to focus on its core businesses. Performance of the company has been steadily improving since a disappointing fiscal 2010. The company took a number of corrective measures, including a change at its helm. We believe SurModics will continue performing well going forward, and have raised our earnings estimates for fiscal 2012 and 2013. In view of these positives, we upgrade SurModics to Outperform. Our target price is $17.00.
SURMODICS (SRDX): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.
