Eyecare company Bausch + Lomb (NYSE:BLCO) will be announcing earnings results tomorrow morning. Here’s what to expect.
Bausch + Lomb beat analysts’ revenue expectations by 1.6% last quarter, reporting revenues of $1.20 billion, up 18.8% year on year. It was a satisfactory quarter for the company, with constant currency revenue in line with analysts’ estimates.
Is Bausch + Lomb a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Bausch + Lomb’s revenue to grow 7.2% year on year to $1.26 billion, slowing from the 17.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.23 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Bausch + Lomb has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 4% on average.
Looking at Bausch + Lomb’s peers in the healthcare equipment and supplies segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Inspire Medical Systems delivered year-on-year revenue growth of 24.5%, beating analysts’ expectations by 0.9%, and Haemonetics reported revenues up 3.7%, falling short of estimates by 1.3%. Inspire Medical Systems traded up 1.7% following the results while Haemonetics was down 16.7%.
Read our full analysis of Inspire Medical Systems’s results here and Haemonetics’s results here.
Stocks, especially growth stocks where cash flows further in the future are more important to the story, had a good 2024. An economic soft landing (so far), the start of the Fed's rate cutting campaign, and the election of Donald Trump were positives for the market, and while some of the healthcare equipment and supplies stocks have shown solid performance, the group has generally underperformed, with share prices down 2.4% on average over the last month. Bausch + Lomb is down 4.5% during the same time and is heading into earnings with an average analyst price target of $20.66 (compared to the current share price of $16.41).
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