Haemonetics Stock Surges into Buy Zone with 17% EPS Growth

Haemonetics Corporation enters buy zone after surpassing 95.26 entry point, driven by 17% EPS growth and positive analyst ratings. The company reports strong earnings, beating consensus estimates with $0.90 EPS and 12.7% revenue growth.

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Bijay Laxmi
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Haemonetics Stock Surges into Buy Zone with 17% EPS Growth

Haemonetics Stock Surges into Buy Zone with 17% EPS Growth

Haemonetics Corporation (NYSE: HAE) has entered a buy zone after surpassing the 95.26 entry point, propelled by a robust 17% EPS growth. The medical instruments supplier, which ranks No. 4 in the Medical-Systems/Equipment industry group, has garnered a "Moderate Buy" rating from analysts, with a consensus price target of $108.67.

Why this matters: The growth of Haemonetics stock has significant implications for the healthcare industry, as it signals a rising demand for advanced medical equipment and solutions. This trend is likely to have a ripple effect on the broader economy, influencing investment decisions and shaping the future of healthcare technology.

Barrington Research analyst M. Petusky recently decreased the Q1 2025 earnings estimate for Haemonetics to $1.02 per share, down from $1.05. However, the research firm maintains an "Outperform" rating and a $107.00 price objective on the stock. Other analysts have also weighed in, with JMP Securities lifting its target price to $125.00 and reaffirming a "market outperform" rating, while TheStreet downgraded the stock from a "b-" to a "c+" rating.

Haemonetics reported impressive earnings results, with $0.90 EPS for the quarter, beating the consensus estimate of $0.88 by $0.02. The company's revenue surged 12.7% compared to the same quarter last year, reaching $343.00 million and exceeding analysts' expectations of $329.53 million. Haemonetics demonstrated strong profitability, with a return on equity of 22.25% and a net margin of 8.98%.

Insider activity has also caught investors' attention, with EVP Anila Lingamneni selling 2,305 shares of Haemonetics stock at an average price of $95.00, for a total transaction of $218,975.00. Following the transaction, Lingamneni now directly owns 12,295 shares in the company, valued at approximately $1,168,025. Corporate insiders own 1.79% of the company's stock, while hedge funds and other institutional investors hold a significant 99.67% stake.

Haemonetics Corporation, a healthcare company providing medical products and solutions in the United States and internationally, offers a diverse range of products, including automated plasma collection systems, donor management software, and supporting software solutions. The company's market capitalization stands at approximately $4.9 billion, with the stock trading at $95.86 as of Monday, May 13, 2024.

With its strong earnings growth, positive analyst ratings, and entry into the buy zone, Haemonetics stock presents an attractive opportunity for investors seeking exposure to the thriving medical equipment sector. As the company continues to innovate and expand its product offerings, it is well-positioned to capitalize on the growing demand for advanced healthcare solutions in the United States and globally.

Key Takeaways

  • Haemonetics stock enters buy zone after surpassing $95.26 entry point.
  • 17% EPS growth and "Moderate Buy" rating from analysts.
  • Consensus price target is $108.67, with some analysts targeting $125.00.
  • Strong earnings: $0.90 EPS, 12.7% revenue growth, and 22.25% return on equity.
  • Haemonetics well-positioned to capitalize on growing demand for advanced healthcare solutions.