As the medical sector gears up for quarterly results on Tuesday, May 14, two standout stocks – Alcon ALC and Prestige Consumer Healthcare PBH – are gaining attention for their growth potential.
The Alcon Advantage
Alcon is a key player in the eye care market, offering a diverse range of products for various eye surgeries, including contact lenses. With a robust portfolio catering to ocular health issues like dry eye and allergies, Alcon is set to witness a 5% rise in first-quarter sales, projected to reach $2.46 billion. Expectations are also high for a 3% increase in Q1 earnings to $0.72 per share. Having exceeded Zacks EPS Consensus in three of its last four quarters, Alcon is on a positive trajectory.
Insights into Prestige Consumer Healthcare
Prestige Consumer Healthcare boasts a diverse portfolio of over-the-counter (OTC) products, including popular brands like BC/Goody’s analgesic powders and Clear Eyes eye care products. Anticipated to report a slight increase in Q4 sales to $286.91 million, Prestige is also expected to see a 6% growth in Q4 EPS to $1.14. Similar to Alcon, Prestige has outperformed earnings expectations in three of its last four quarters, showcasing strong performance.
Charting Growth Trajectories
Looking ahead, Alcon is on track to achieve a 6% increase in total sales for fiscal year 2024, with further growth expected in FY25, reaching $10.56 billion. Earnings are forecasted to surge by 11% this year to $3.05 per share, followed by a projected 14% growth in FY25. Meanwhile, Prestige is eyeing a 2% rise in sales for FY25, reaching $1.16 billion, with annual earnings set to increase by 6% to $4.61 per share.
Final Thoughts
Amidst significant growth projections, both Alcon and Prestige Consumer Healthcare present compelling investment opportunities. With a Zacks Rank #2 (Buy) and earnings reports around the corner, these stocks are worth considering by discerning investors.