We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
PetMed Express Focuses on Advertising, Competition Rife
Read MoreHide Full Article
On Aug 28, we issued an updated research report on PetMed Express, Inc. (PETS - Free Report) . Operating as 1-800-PetMeds, the company is a leading nationwide pet pharmacy. PetMed currently sports a Zacks Rank #1 (Strong Buy).
Over the last six months, PetMed has been trading above the broader industry. Per the last trading price, the company has gained a stupendous 69.3% when compared to the 27.6% gain of the broader industry.
PetMed posted better-than-expected results in the first quarter, marking a solid start to fiscal 2018. We are encouraged by the significant increase in reorder sales and new order sales in the quarter as well.
We expect the company’s impressive first-quarter performance to maintain the momentum. PetMed is striving to implement several strategies to revitalize its top line. These include focusing on advertising efficiency to boost new order sales and shifting sales to higher margin items, while also expanding product offerings. However, we are apprehensive about the escalating advertising expenses incurred in the quarter.
The company markets its products primarily under well-known brands of medication such as Frontline Plus, K9 Advantix, Advantage, Heartgard Plus, Sentinel and Interceptor, among others.
On the flip side, PetMed operates in a highly competitive and fragmented pet medications market. The competitors include veterinarians, traditional retailers, other mail-order and online retailers of pet medications and other health products. Also, the acquisition of Novartis’ animal health division by Eli Lilly and Company has given rise to more challenges for PetMed.
Other Key Picks
A few other top-ranked medical stocks are IDEXX Laboratories, Inc. (IDXX - Free Report) , Lantheus Holdings, Inc. and Edwards Lifesciences Corporation (EW - Free Report) . Edwards Lifesciences sports a Zacks Rank #1, while Lantheus Holdings and IDEXX Laboratories carry a Zacks Rank #2 (Buy). You cansee the complete list of today’s Zacks #1 Rank stocks here.
Edwards Lifesciences has a long-term expected earnings growth rate of 15.2%. The stock has rallied roughly 20.4% over the last six months.
Lantheus Holdings has a long-term expected earnings growth rate of 12.5%. The stock has gained 26.9% over the last six months.
IDEXX Laboratories has a long-term expected earnings growth rate of 19.8%. The stock has gained around 2.3% over the last six months.
Zacks' 10-Minute Stock-Picking Secret
Since 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing, and exclusive of fees, it can turn thousands into millions of dollars.
But here's something even more remarkable: You can master this proven system without going to a single class or seminar. And then you can apply it to your portfolio in as little as 10 minutes a month.
Image: Bigstock
PetMed Express Focuses on Advertising, Competition Rife
On Aug 28, we issued an updated research report on PetMed Express, Inc. (PETS - Free Report) . Operating as 1-800-PetMeds, the company is a leading nationwide pet pharmacy. PetMed currently sports a Zacks Rank #1 (Strong Buy).
Over the last six months, PetMed has been trading above the broader industry. Per the last trading price, the company has gained a stupendous 69.3% when compared to the 27.6% gain of the broader industry.
PetMed posted better-than-expected results in the first quarter, marking a solid start to fiscal 2018. We are encouraged by the significant increase in reorder sales and new order sales in the quarter as well.
We expect the company’s impressive first-quarter performance to maintain the momentum. PetMed is striving to implement several strategies to revitalize its top line. These include focusing on advertising efficiency to boost new order sales and shifting sales to higher margin items, while also expanding product offerings. However, we are apprehensive about the escalating advertising expenses incurred in the quarter.
The company markets its products primarily under well-known brands of medication such as Frontline Plus, K9 Advantix, Advantage, Heartgard Plus, Sentinel and Interceptor, among others.
On the flip side, PetMed operates in a highly competitive and fragmented pet medications market. The competitors include veterinarians, traditional retailers, other mail-order and online retailers of pet medications and other health products. Also, the acquisition of Novartis’ animal health division by Eli Lilly and Company has given rise to more challenges for PetMed.
Other Key Picks
A few other top-ranked medical stocks are IDEXX Laboratories, Inc. (IDXX - Free Report) , Lantheus Holdings, Inc. and Edwards Lifesciences Corporation (EW - Free Report) . Edwards Lifesciences sports a Zacks Rank #1, while Lantheus Holdings and IDEXX Laboratories carry a Zacks Rank #2 (Buy). You cansee the complete list of today’s Zacks #1 Rank stocks here.
Edwards Lifesciences has a long-term expected earnings growth rate of 15.2%. The stock has rallied roughly 20.4% over the last six months.
Lantheus Holdings has a long-term expected earnings growth rate of 12.5%. The stock has gained 26.9% over the last six months.
IDEXX Laboratories has a long-term expected earnings growth rate of 19.8%. The stock has gained around 2.3% over the last six months.
Zacks' 10-Minute Stock-Picking Secret
Since 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing, and exclusive of fees, it can turn thousands into millions of dollars.
But here's something even more remarkable: You can master this proven system without going to a single class or seminar. And then you can apply it to your portfolio in as little as 10 minutes a month.
Learn the secret >>