Back to top

Image: Bigstock

Here's Why You Should Invest in Baxter (BAX) Stock Right Now

Read MoreHide Full Article

Baxter International (BAX - Free Report) is currently one of the top-performing stocks in the MedTech space. The company’s raised guidance for 2018 and global expansion are major tailwinds.

Shares Up

In the past year, Baxter’s shares have rallied 20.4%, compared with the industry’s growth of 10.3%.

 

The Zacks Rank #2 (Buy) stock currently has a Growth Score of A. This reflects possibilities of outperformance over the long haul. Our research shows that stocks with a Growth Score of A or B, when combined with a Zacks Rank #1 (Strong Buy) or #2, are better picks than most.

In the last 90 days, the Zacks Consensus Estimate for Baxter’s current-quarter earnings per share rose 1.4% to 71 cents.

What Makes It an Attractive Pick?

Raised Guidance

Baxter has raised its guidance for 2018.

The company expects sales growth of 5% at cc. It expects adjusted earnings per share from continuing operations in the range of $2.85-$2.93 for the full year. The Zacks Consensus Estimate is pegged at $2.89, within the guided range.

For the second quarter of 2018, the company expects sales growth of approximately 5% at cc. Baxter expects adjusted earnings from continuing operations of 69-71 cents. The Zacks Consensus Estimate is pinned at 71 cents, at the high end of the guided range.

Acquisitions & Collaborations

Baxter recently completed the acquisition of two hemostat and sealant products from Mallinckrodt plc to widen its surgical portfolio. The company bought RECOTHROM Thrombin topical and PREVELEAK Surgical Sealant product lines from Mallinckrodt.

Baxter also recently collaborated with the International Society of Nephrology (ISN) to spread awareness on chronic kidney diseases.

International Launches

Baxter aims to accelerate growth by offering its services overseas.

The company’s advanced surgery team recently began the rollout of TISSEEL Prima in Europe. In Japan, Baxter’s renal team has initiated the launch of the KAGUYA peritoneal dialysis technology.

Want More from the Industry?

Some other top-ranked stocks in the Medical Products space are Stryker Corp. (SYK - Free Report) , Bio-Rad Laboratories (BIO - Free Report) and Boston Scientific Corp. (BSX - Free Report) .

Stryker’s long-term expected earnings growth is 9.7%. The stock carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Bio-Rad’s long-term projected earnings growth is 15%. The stock carries a Zacks Rank #2.

Boston Scientific has an expected long-term earnings growth of 10.1%. The stock carries a Zacks Rank #2.

Today's Stocks from Zacks' Hottest Strategies

It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.

And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.

See Them Free>>


Zacks' 7 Best Strong Buy Stocks (New Research Report)


Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.


Click Here, It's Really Free

Published in