Categories Earnings, Health Care, Technology

Edwards Lifesciences stock surges on Q2 earnings beat, raises 2019 outlook

Edwards Lifesciences (NYSE: EW) stock price increased 10% in the after-market trading as the second-quarter results surpassed estimates. In addition, the company has raised its full-year outlook. However, the Q3 adjusted earnings guidance range fell short of consensus by 2 cents.

Post the positive PARTNER 3 Trial results, the stock touched a new 52-week high eclipsing $197 mark in March. The stock momentum continued due to the solid Q1 results with the share price up about 28% in 2019.

Thanks to solid product sales across the board, sales increased 15% to $1.1 billion while adjusted EPS grew 11% to $1.38. Last quarter, Edwards projected Q2 sales of $1.02-1.08 billion and adjusted EPS of $1.27-1.37.

Edwards Lifesciences Q2 2019 earnings

On the flip side, analysts were expecting sales to grow about 8% to $1.04 billion and adjusted EPS of $1.33 compared to $1.24 reported last year. Edwards reported better-than-expected results on both the top and bottom-line numbers.

CEO Michael A. Mussallem when commenting on the firm’s potential stated: “As patients and clinicians increasingly understand the significant benefits of transcatheter-based technologies, supported by the substantial body of compelling evidence, we remain as optimistic as ever about the long-term growth opportunity.”

On the products’ front, Edwards expects the Food and Drug Administration (FDA) to give the nod for SAPIEN 3 valve and SAPIEN 3 Ultra devices in the third quarter for treating patients with low surgical risk.

Outlook Update

Edwards has revised upwards its 2019 guidance. It expects sales in the range of $4-4.3 billion and adjusted EPS of $5.20-5.40. The street is anticipating revenues of $4.16 billion and adjusted earnings of $5.29 per share.

For the Q3 period, the company is expecting the top line to be between $1.02-1.06 billion and adjusted EPS of $1.13-1.23. However, analysts are expecting sales to improve 10.6% to $1.02 billion and adjusted earnings of $1.25 per share, which is 2 cents more than the high-end EPS forecast provided by the firm.

Get access to timely and accurate verbatim transcripts that are published within hours of the event

Most Popular

Does Unity Software (U) stock has more room to run?

Last month, the IPO market was in a full swing. IPOs of Snowflake (NYSE: SNOW) and JFROG (NASDAQ: FROG) had an impressive opening day in September, the former creating a

PepsiCo (PEP): Steady snacking habits amid pandemic drive strong quarter for beverage giant

PepsiCo Inc. (NASDAQ: PEP) beat market expectations on both revenue and earnings for the third quarter of 2020. The company saw the momentum continue in its snacks business while the

Does the virus-driven boom make Electronic Arts (EA) a good investment?

With more and more people turning to virtual entertainment sources, amid the virus-related movement restrictions, video game publishers like Electronic Arts (NASDAQ: EA) are witnessing unusually high demand. Not surprisingly,

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top