Conmed (CNMD) Exceeds Q3 Earnings Expectations

Conmed (CNMD) recently announced its quarterly earnings, reporting a figure of $1.05 per share. This result notably exceeded the Zacks Consensus Estimate, which was $0.99 per share. In comparison, the company earned $0.90 per share in the same quarter last year. These numbers have been adjusted to exclude non-recurring items.

This announcement represents an earnings surprise of 6.06%. In the previous quarter, analysts had predicted earnings of $0.92 per share, but Conmed surprised the market by delivering $0.98 per share, leading to a notable earnings surprise of 6.52%.

Over the past four quarters, Conmed has managed to surpass consensus earnings estimates on three occasions.

Classified under the Zacks Medical - Dental Supplies industry, Conmed reported revenues of $316.7 million for the quarter ending September 2024. Unfortunately, this figure fell short of the Zacks Consensus Estimate by 0.55%. When compared to the same period last year, revenues have shown an increase from $304.58 million. The company has only exceeded revenue estimates once in the last four quarters.

The future movement of the stock price, based on these recent figures and earnings expectations, will largely hinge on the insights shared during the management's earnings call.

Since the start of this year, Conmed shares have experienced a decline of approximately 40.9%, contrasting sharply with a 22.3% gain in the S&P 500.

What’s Next for Conmed?

Despite its underperformance in the market this year, investors are eager to know what lies ahead for Conmed's stock.

Determining the future direction is not straightforward, but the company's earnings outlook is a crucial factor. This outlook not only reflects current consensus earnings expectations for upcoming quarters but also includes any recent changes to these expectations.

Research has shown a strong link between short-term stock movements and earnings estimate revisions. Investors can closely monitor these revisions themselves or utilize the Zacks Rank, known for its effectiveness in leveraging earnings estimate changes.

Before this earnings announcement, the trend for estimate revisions for Conmed was mixed. While the specifics may shift following the latest earnings report, the present scenario has positioned the stock with a Zacks Rank of #3 (Hold). This suggests that the shares are expected to perform in line with the broader market in the near term. For a complete list of stocks rated #1 (Strong Buy), one can look up relevant resources.

It will be intriguing to observe how estimates for upcoming quarters and the current fiscal year may adjust in the days following this report. The existing consensus estimates point to an EPS of $1.22 on projected revenues of $346.37 million for the next quarter and $3.99 on revenues of $1.31 billion for the current fiscal year.

Investors should be aware that the industry's general outlook can significantly influence stock performance. Currently, the Medical - Dental Supplies sector ranks in the top 41% of over 250 Zacks industries. Historical data indicates that industries in the top 50% tend to outperform those in the bottom 50% by more than two to one.

Additionally, another company within the same industry, Dentsply International (XRAY), has yet to report its quarter ending September 2024. This report is set for release on November 7.

Dentsply is anticipated to report quarterly earnings of $0.48 per share, reflecting a -2% change year-over-year. Over the past month, the consensus EPS estimate for this quarter has decreased by 0.2%.

The expected revenue for Dentsply stands at $940.61 million, indicating a -0.7% decline from the previous year.

Conmed, Earnings, Revenue