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Stryker Corporation (SYK) is scheduled to report its Q2 2012 results on July 18, 2012, after the bell. The street expects EPS and revenue of $0.99 and $2.13B, respectively.

In this article I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from SYK and the news from its closest competitors.

Stryker Corporation Revenue and Net Income History

Recent EPS Actuals vs. Estimates

The company has met or beaten analysts' estimates in the last four quarters. In the last quarter it reported $0.99 EPS, in-line with analyst estimates.

Stryker Corporation EPS Historical Results vs Estimates

The consensus EPS estimate is $0.99 based on 28 analysts' estimates, up from $0.90 a year ago and same as the last quarter. Revenue estimates are $2.13B, up from $2.05B a year ago. The median target price by analysts for the stock is $62.00.

Average recommendation: Overweight

Source: Marketwatch

Analyst Upgrades and Downgrades

  • On June 25, 2012, Cantor Fitzgerald initiated Hold rating for the company.
  • On January 25, 2012, Stifel Nicolaus reiterated Buy rating for the company.

Latest News

  • On April 17, 2012, Stryker Corporation announced that for fiscal 2012, it expects sales growth at 2% to 5%, excluding the impact from currency and acquisitions, and will deliver not less than double digit adjusted per share earnings growth.
  • On February 9, 2012, Theflyonthewall.com reported that Stryker Corporation's Stephen P. MacMillan has resigned as Chairman, President and Chief Executive Officer(CEO) for family reasons, effective immediately.
  • On January 24, 2012, Stryker Corporation announced that for fiscal 2012, it expects net sales growth (excluding impact of currency and acquisitions) to be 2%-5%. The Company reported revenues of $8.307 billion for fiscal 2012.

Competitors

ArthroCare Corporation (ARTC), NuVasive, Inc. (NUVA), Wright Medical Group Inc. (WMGI), and Zimmer Holdings, Inc. (ZMH) are considered major competitors for Stryker Corporation and the table below provides the key metrics for these companies and the industry.

Stryker Corporation key ratio comparison with direct competitors

The chart below compares the stock price changes as a percentage for the selected companies and S&P 500 index for the last one year period.

(click to enlarge)SYK Chart

SYK data by YCharts

Competitors' Latest Development

  • On June 19, 2012, Wright Medical Group, Inc. announced that it expects sales in the range of $480 million for fiscal 2012.
  • On June 15, 2012, Zimmer Holdings, Inc. announced that its Board of Directors has authorized a cash dividend to stockholders for the second quarter of 2012. The cash dividend of $0.18 per share will be paid on or about July 27, 2012, to stockholders of record as of the close of business on June 28, 2012.
  • On May 1, 2012, Wright Medical Group, Inc. announced that it continues to anticipate fiscal 2012 net sales to be in the range of $472 million to $489 million and as-adjusted earnings per share excluding stock-based compensation to be in the range of $0.26 to $0.36 per diluted share.
  • On April 30, 2012, NuVasive, Inc. announced that for fiscal 2012, it expects revenue of approximately $615 million, GAAP EPS of approximately $0.09 and Non-GAAP earnings per share (EPS) of approximately $0.93. According to I/B/E/S Estimates, analysts are expecting the Company to report revenue of $616 million and EPS of $0.94 for fiscal 2012.
  • On April 26, 2012, Zimmer Holdings, Inc. reaffirmed its constant currency revenue and adjusted EPS guidance for fiscal 2012. In addition, the Company updated its fiscal 2012 reported revenue and EPS guidance.
  • On February 23, 2012, Wright Medical Group, Inc. announced that for fiscal 2012, it expects net sales to be in the range of $472-$489 million and adjusted earnings per share excluding stock based compensation to be in the range of $0.26-$0.36 per diluted share.
  • On February 22, 2012, NuVasive, Inc. announced that for fiscal 2012, it expects revenue of approximately $615 million, GAAP EPS of approximately $0.09 and Non-GAAP EPS of approximately $0.93. According to I/B/E/S Estimates, analysts on an average were expecting the Company to report revenue of $615 million and Non-GAAP EPS of $1.01 for fiscal 2012.
  • On February 7, 2012, Wright Medical Group, Inc. announced the 510(k) clearance and limited launch of the PROPHECY INBONE Pre-Operative Navigation Alignment Guides for total ankle replacement.
  • On January 26, 2012, Zimmer Holdings, Inc. announced that it expects fiscal 2012 revenues to increase between 2%-4% and diluted earnings per share are projected to be in a range of $4.75-$4.95 on a reported basis and $5.20-$5.40 on an adjusted basis.

Technical Overview


The stock has a market capitalization of $20.08B and is currently trading at $53.00 with a 52 week range of $43.73 - $59.36. The stock's year-to-date performance has been 6.89%. It is currently trading above 50 and 200 SMA, but below 20 SMA.

Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.

Source: Earnings Preview: Stryker Corporation