#Waters #Stock #Leads #Gains #Friday #Earnings #Top #Estimates
Key takeaways
- Shares of Waters Corp., which supplies laboratory instruments and software, were the top performers in the S&P 500 on Friday.
- The life sciences company topped third-quarter sales and earnings estimates, supported by growth across all its regions and end markets.
- Dr. Udit Batra, CEO of Waters, said adoption of new products and improving customer spending trends contributed to the strong results.
Waters Corp. (WAT) shares rose nearly 20% on Friday, setting the highest daily performance in the S&P 500 after the company reported third-quarter sales and earnings that beat analysts’ expectations.
The provider of analytical laboratory instruments and software reported third-quarter earnings per share (EPS) of $2.71, up more than 19% from a year ago, while revenue rose 4% to $740 million. Both numbers exceeded analyst estimates compiled by Visible Alpha.
Waters raises forecasts as sales rise across regions
Waters has recorded sales growth in all regions and end markets in which it operates. Notable revenue gains came from the industrial market, where sales jumped 9%, and the pharmaceutical market, which saw 2% growth. Sales to academic and government markets also increased by 2%.
Waters CEO Dr. Udit Batra said adoption of new products and “improving customer spending trends” contributed to the strong quarter.
The company said it expects sales to grow by 5% to 7% in the fourth quarter, and raised its forecast for the full year. Waters expects full-year sales to decline between 0.2% and 0.8%, compared to a decline of 0.7% to 2.2% previously, with adjusted earnings per share from $11.67 to $11.87, up from $2.60 to $2.70.
Waters shares finished 19.8% higher at $387.21 on Friday after the release, bringing their year-to-date gains closer to 18%.
#Waters #Stock #Leads #Gains #Friday #Earnings #Top #Estimates
