Cooper Co (COO) AI Stock Analysis

• Market Cap: $14.50B
• Dividend Yield: N/A
• Average Volume (3M): 2.53M
• Price to Earnings (P/E): 34.6
• Beta (1Y): 0.86
• Revenue Growth: 6.88%
• EPS Growth: 21.11%
• Country: US
• Employees: 16,000
• Sector: Healthcare
• Sector Strength: 55
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.96
• Shares Outstanding: 199,512,500
• 10 Day Avg. Volume: 4,080,638
• 30 Day Avg. Volume: 2,527,160
• PEG Ratio: -0.40
• Price to Book (P/B): 1.88
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 29.93
• Enterprise Value/Market Cap: 1.11
• Enterprise Value/Revenue: 1.03
• Enterprise Value/Gross Profit: 6.37
• Enterprise Value/Ebitda: 3.70
• 1Y Price Target: $95.80
• Price Target Upside: 35.16% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 69 Neutral
• Price Target: $79.00 ▲(11.46%Upside)

Cooper Co's strong financial performance is the primary driver of its score, supported by solid profitability and cash flow metrics. However, the stock is facing technical challenges, with bearish momentum and valuation concerns due to a high P/E ratio. Recent earnings call highlights strong growth but also points out market challenges. A positive corporate event adds to governance strength but does not significantly alter the overall score.

Positive Factors

Earnings

A 10 cent increase in earnings per share guidance for the year, driven by constant-currency operating income improvements.

Financial Performance

Second-quarter total sales of $1 billion beat estimates by $15 million (1.5%).

Market Position

This type of stock profile—one with strong fundamentals, leading market positions in key growth areas, a defensive end-market, and the ability to drive operating margin expansion—should be attractive to investors.

Negative Factors

Market Growth

The overall contacts market growth will be slower due to a softer consumer backdrop.

Product Strategy

The company is actively phasing out traditional hydrogel lenses, which might add a degree of risk to short term growth.

Revenue Guidance

COO lowered FY25 revenue organic growth guidance due to softening in contact lenses and fertility markets.

Cooper Co Business Overview & Revenue Model

Company Description

The Cooper Companies, Inc., together with its subsidiaries, develops, manufactures, and markets contact lens wearers. The company operates in two segments, CooperVision and CooperSurgical. The CooperVision segment offers spherical lense, including lenses that correct near and farsightedness; and toric and multifocal lenses comprising lenses correcting vision challenges, such as astigmatism, presbyopia, myopia, ocular dryness and eye fatigues in the Americas, Europe, Middle East, Africa, and Asia Pacific. The CooperSurgical segment focuses on family and women's health care, which provides medical devices, fertility, genomics, diagnostics, and contraception to health care professionals and patients worldwide. It offers surgical and office products, including PARAGARD, uterine manipulators, retractors, closure products, point of care products, LEEP products, endosee, and illuminate and fetal pillows; fertility products and services, such as fertility consumables and equipment, and embryo options and preimplantation genetic testing. The Cooper Companies, Inc. was founded in 1958 and is headquartered in San Ramon, California.

How the Company Makes Money

Cooper Co makes money primarily through the sale of its medical devices, particularly contact lenses and diagnostic equipment. The company generates revenue from direct sales to healthcare providers, clinics, and optical retailers. Additionally, Cooper Co benefits from long-term contracts and partnerships with hospitals and healthcare systems, which provide a steady stream of income. The company also invests in research and development to innovate and expand its product offerings, creating new revenue opportunities. Cooper Co's global distribution network and strong brand reputation further enhance its ability to capture market share and drive sales growth.

Cooper Co Financial Statement Overview

Summary

Cooper Co demonstrates strong financial performance with robust revenue growth, profitability, and cash flow management. The company maintains a stable balance sheet with a conservative leverage structure, though revenue growth has slightly moderated.

Income Statement

Cooper Co has demonstrated strong revenue growth and profitability. The TTM revenue grew by 2.38% over the previous year. Gross profit margin is robust at 63.44%, and the net profit margin is healthy at 10.39%. EBIT and EBITDA margins are solid, reflecting strong operational efficiency. However, the revenue growth rate has slowed compared to previous periods.

Balance Sheet

The company's balance sheet shows a strong equity position with an equity ratio of 66.76%. The debt-to-equity ratio is manageable at 0.31, indicating prudent leverage. Return on equity has increased to 5.00%, suggesting improved profitability on equity investments. The overall balance sheet reflects stability and financial health, with a focus on maintaining a conservative leverage approach.

Cash Flow

Cooper Co's cash flow from operations is strong, with a stable operating cash flow to net income ratio of 1.84. Free cash flow has grown by 27.01% TTM, indicating effective cash management and the ability to fund operations and investments without relying heavily on external financing. The free cash flow to net income ratio is solid, showcasing efficient conversion of income to cash.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.99B	3.90B	3.59B	3.31B	2.92B	2.43B
	Gross Profit
2.53B	2.60B	2.36B	2.14B	1.96B	1.53B
	EBIT
757.70M	705.70M	533.10M	507.60M	505.80M	311.80M
	EBITDA
1.11B	1.07B	885.90M	908.60M	863.70M	622.90M
	Net Income Common Stockholders
414.20M	392.30M	294.20M	385.80M	2.94B	238.40M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
116.20M	107.60M	120.90M	138.20M	95.90M	115.90M
	Total Assets
12.41B	12.32B	11.66B	11.49B	9.61B	6.74B
	Total Debt
2.59B	2.58B	2.57B	2.76B	1.71B	2.03B
	Net Debt
2.47B	2.48B	2.45B	2.63B	1.61B	1.91B
	Total Liabilities
4.13B	4.23B	4.11B	4.32B	2.66B	2.91B
	Stockholders Equity
8.29B	8.08B	7.55B	7.17B	6.94B	3.82B
Cash Flow		Free Cash Flow
365.90M	288.10M	215.00M	450.40M	524.20M	176.20M
	Operating Cash Flow
762.40M	709.30M	607.50M	692.40M	738.60M	486.60M
	Investing Cash Flow
-541.70M	-764.60M	-449.00M	-1.83B	-450.30M	-364.50M
	Financing Cash Flow
-221.20M	39.20M	-173.90M	1.19B	-311.40M	-95.50M

Cooper Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 70.88
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For COO, the sentiment is Negative. The current price of 70.88 is below the 20-day moving average (MA) of 75.30, below the 50-day MA of 77.93, and below the 200-day MA of 92.74, indicating a bearish trend. The MACD of -2.65 indicates Positive momentum. The RSI at 38.22 is Neutral, neither overbought nor oversold. The STOCH value of 64.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for COO.

Cooper Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ATR	77 Outperform	$10.03B	27.78	15.15%	1.18%	0.34%	17.27%
WST	72 Outperform	$16.36B	35.76	17.42%	0.37%	-1.14%	-16.35%
HOLX	70 Outperform	$14.52B	27.27	11.77%	―	1.66%	21.95%
COO	69 Neutral	$14.50B	34.64	5.15%	―	6.88%	21.11%
BAX	60 Neutral	$16.11B	136.07	-8.96%	2.17%	-20.17%	-138.32%
MASI	57 Neutral	$9.11B	116.65	-23.93%	―	-0.12%	-713.82%
Sector *	54 Neutral	$5.38B	3.31	-45.11%	3.29%	16.82%	0.04%

Cooper Co Corporate Events

Cooper Co Appoints Barbara Carbone to Board

CooperCompanies announced the appointment of Barbara Carbone as an independent director to its Board of Directors, effective May 1, 2025. Ms. Carbone, who brings nearly four decades of experience, primarily from her tenure at KPMG LLP, will also join the Audit Committee. Her extensive expertise in financial and accounting matters, along with leadership skills, is expected to contribute significantly to the company’s governance and strategic direction.