Best Heal Care Stocks To Invest In 2019

tags:VMI,WST,CHKP,

ICICI Direct's research report on Cox and Kings

Cox and Kings' reported a mixed set of numbers. Revenues increased 15.8% YoY to Rs 817.3 crore (vs. I-direct estimate of Rs 813 crore) mainly led by 41.1% YoY growth in the Meininger segment & 22.6% YoY growth in Leisure - international However, EBITDA declined 20.2% YoY to Rs 297.9 crore (below I-direct estimate of Rs 380.8 crore) mainly led by forex loss of Rs 91 crore (vs. forex gain of Rs 35 crore in Q1FY18). Excluding the forex impact, the company reported EBITDA growth of 15% YoY to Rs 389 crore with strong rebound in operating margin of leisure international segment (i.e. up from 20.8% last year to 38.4%) The de-merger process of forex division (asset base: over Rs 200 crore as of FY17, RoA: 13% & RoE: 37%) has entered the last phase.

Outlook

We expect the company's domestic leisure revenues to grow at a CAGR of 11% in FY18-20E mainly led by improving domestic spend and higher growth in foreign tourist arrivals. Further, we expect international revenues to grow at a healthy pace mainly led by Meininger. The company plans to increase bed capacity at Meininger at a CAGR of 28% over FY18-22E. Further, de-merger of its forex segment will drive the value for its investors over the long term. Consequently, we remain positive on the stock from a long term perspective. However, increase in working capital requirement is expected to keep debt at elevated levels. Hence, we maintain our HOLD rating on the stock with a target price of Rs 225 (i.e. valuing at 13.5x FY20E EPS & 6x EV/EBITDA).

Best Heal Care Stocks To Invest In 2019: Valmont Industries, Inc.(VMI)

Advisors' Opinion:

• [By Ethan Ryder]

  Get a free copy of the Zacks research report on Valmont Industries (VMI)

  For more information about research offerings from Zacks Investment Research, visit Zacks.com

• [By Logan Wallace]

  Rhumbline Advisers reduced its stake in Valmont Industries, Inc. (NYSE:VMI) by 1.4% during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 41,597 shares of the industrial products company’s stock after selling 598 shares during the period. Rhumbline Advisers owned 0.19% of Valmont Industries worth $6,271,000 at the end of the most recent reporting period.

• [By Joseph Griffin]

  Schroder Investment Management Group cut its stake in Valmont Industries (NYSE:VMI) by 1.3% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 689,795 shares of the industrial products company’s stock after selling 9,086 shares during the period. Schroder Investment Management Group owned approximately 3.06% of Valmont Industries worth $100,917,000 as of its most recent SEC filing.

• [By Shane Hupp]

  HRT Financial LLC bought a new stake in Valmont Industries, Inc. (NYSE:VMI) in the second quarter, Holdings Channel reports. The firm bought 1,486 shares of the industrial products company’s stock, valued at approximately $224,000.

Best Heal Care Stocks To Invest In 2019: West Pharmaceutical Services, Inc.(WST)

Advisors' Opinion:

• [By Ethan Ryder]

  Get a free copy of the Zacks research report on West Pharmaceutical Services (WST)

  For more information about research offerings from Zacks Investment Research, visit Zacks.com

• [By Stephan Byrd]

  Bank of America Corp DE trimmed its stake in West Pharmaceutical Services Inc. (NYSE:WST) by 3.4% in the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 826,209 shares of the medical instruments supplier’s stock after selling 28,935 shares during the quarter. Bank of America Corp DE owned approximately 1.12% of West Pharmaceutical Services worth $82,035,000 at the end of the most recent reporting period.

• [By Ethan Ryder]

  Northern Trust Corp reduced its stake in shares of West Pharmaceutical Services Inc. (NYSE:WST) by 0.8% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 596,640 shares of the medical instruments supplier’s stock after selling 4,713 shares during the period. Northern Trust Corp owned about 0.81% of West Pharmaceutical Services worth $59,240,000 at the end of the most recent quarter.

Best Heal Care Stocks To Invest In 2019: Check Point Software Technologies Ltd.(CHKP)

Advisors' Opinion:

• [By Chris Lange]

  Check Point Software Technologies Ltd.'s (NASDAQ: CHKP) short interest increased to 10.59 million shares from the previous reading of 10.06 million. Shares were trading at $99.33, in a 52-week range of $93.76 to $119.20.

• [By Chris Lange]

  Check Point Software Technologies Ltd.'s (NASDAQ: CHKP) short interest decreased to 8.45 million shares from the previous 9.69 million. Shares were trading at $113.57, in a 52-week range of $93.76 to $120.81.

• [By Chris Lange]

  Check Point Software Technologies Ltd.'s (NASDAQ: CHKP) short interest increased to 10.06 million shares from the previous reading of 9.31 million. Shares were trading at $96.41, in a 52-week range of $93.76 to $119.20.

• [By Nicholas Rossolillo]

  For investors looking for a cybersecurity stock, I think a bigger security company like Palo Alto Networks or Check Point Software Technologies (NASDAQ:CHKP) would be a better option. At this juncture, I think FireEye's high expenditures and sluggish revenue growth outweigh the potential benefits of buying the stock.

• [By Logan Wallace]

  Check Point Software Technologies (NASDAQ:CHKP) last released its quarterly earnings results on Wednesday, January 30th. The technology company reported $1.68 earnings per share for the quarter, beating the Zacks’ consensus estimate of $1.63 by $0.05. Check Point Software Technologies had a return on equity of 22.77% and a net margin of 42.85%. The business had revenue of $526.00 million for the quarter, compared to the consensus estimate of $518.03 million. During the same quarter last year, the business posted $1.58 earnings per share. The company’s revenue for the quarter was up 4.0% on a year-over-year basis. Analysts expect that Check Point Software Technologies Ltd. will post 5.49 earnings per share for the current year.

• [By Chris Lange]

  Check Point Software Technologies Ltd.'s (NASDAQ: CHKP) short interest decreased to 9.57 million shares from the previous 10.10 million. Shares were trading at $117.93, in a 52-week range of $93.76 to $119.20.