Canaccord Genuity Reiterates a 'Buy' on Vascular Solutions (VASC); Margin Leverage Continues; Attractive GARP Idea
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Price: $56.00 --0%
Rating Summary:
0 Buy, 5 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
0 Buy, 5 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
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Canaccord Genuity reiterates a 'Buy' on Vascular Solutions (NASDAQ: VASC), PT $15.50.
Canaccord analyst says, "Q1 top and bottom line results were strong – up 17% and 35%, respectively – and above our expectations. The company maintained 2011 guidance calling for 15%+ revenue growth and 35%+ earnings growth. Top-line growth was again led by GuideLiner, which is now annualizing at nearly $10M in revenue and could be a $30M product in a few years, in our estimation. Pronto catheter sales also grew over 15%, with new sizes in the new V4 line coming later this year. OM of 13% expanded from 11% Y/Y and VASC expects OM to hit 18-20% by year-end, with 20%+ OM at a revenue run rate over $100M (which we model in 2012E)."
"In sum, we think this model is primed for continued OM leverage on solid double-digit topline growth; consequently, we think VASC represents a very attractive small-cap GARP idea at current levels...We maintain our 2011 estimates at $90.5M (+15% Y/Y) and $0.52 (+38% Y/Y)."
For more ratings news on Vascular Solutions click here and for the rating history of Vascular Solutions click here.
Shares of Vascular Solutions closed at $11.30 yesterday.
Canaccord analyst says, "Q1 top and bottom line results were strong – up 17% and 35%, respectively – and above our expectations. The company maintained 2011 guidance calling for 15%+ revenue growth and 35%+ earnings growth. Top-line growth was again led by GuideLiner, which is now annualizing at nearly $10M in revenue and could be a $30M product in a few years, in our estimation. Pronto catheter sales also grew over 15%, with new sizes in the new V4 line coming later this year. OM of 13% expanded from 11% Y/Y and VASC expects OM to hit 18-20% by year-end, with 20%+ OM at a revenue run rate over $100M (which we model in 2012E)."
"In sum, we think this model is primed for continued OM leverage on solid double-digit topline growth; consequently, we think VASC represents a very attractive small-cap GARP idea at current levels...We maintain our 2011 estimates at $90.5M (+15% Y/Y) and $0.52 (+38% Y/Y)."
For more ratings news on Vascular Solutions click here and for the rating history of Vascular Solutions click here.
Shares of Vascular Solutions closed at $11.30 yesterday.
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