Cooper Companies (NASDAQ:COO) to Buyback $2.00 billion in Stock

Key Points

• Cooper Companies has announced a $2.00 billion share buyback program, allowing the company to repurchase up to 15.4% of its stock, indicating strong confidence in its valuation.
• Analysts have a consensus rating of Moderate Buy for Cooper Companies, with a target price averaging $86.64 per share from various brokerages.
• In recent insider trading, CEO Albert G. White III purchased 10,000 shares at an average price of $68.39, increasing his ownership stake by 4.63%.

Cooper Companies (NASDAQ:COO - Get Free Report) declared that its Board of Directors has approved a share buyback program on Wednesday, September 17th, RTT News reports. The company plans to repurchase $2.00 billion in shares. This repurchase authorization authorizes the medical device company to reacquire up to 15.4% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company's board believes its shares are undervalued.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on COO. UBS Group raised Cooper Companies to a "buy" rating in a report on Tuesday, June 17th. Needham & Company LLC restated a "buy" rating and issued a $94.00 target price on shares of Cooper Companies in a research note on Thursday, August 28th. JPMorgan Chase & Co. lowered their target price on Cooper Companies from $76.00 to $66.00 and set a "neutral" rating on the stock in a research note on Thursday, August 28th. BNP Paribas upgraded Cooper Companies from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, July 22nd. Finally, Robert W. Baird lowered their target price on Cooper Companies from $97.00 to $85.00 and set an "outperform" rating on the stock in a research note on Thursday, August 28th. One equities research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and two have given a Hold rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $86.64.

Cooper Companies Stock Performance

COO traded down $0.84 on Wednesday, hitting $64.32. 1,955,554 shares of the company traded hands, compared to its average volume of 3,378,045. The company has a 50 day moving average of $70.98 and a 200-day moving average of $75.48. The company has a quick ratio of 1.24, a current ratio of 2.12 and a debt-to-equity ratio of 0.29. The stock has a market capitalization of $12.79 billion, a PE ratio of 31.68, a PEG ratio of 1.71 and a beta of 0.97. Cooper Companies has a 12-month low of $61.78 and a 12-month high of $112.29.

Cooper Companies (NASDAQ:COO - Get Free Report) last announced its earnings results on Wednesday, August 27th. The medical device company reported $1.10 EPS for the quarter, beating analysts' consensus estimates of $1.07 by $0.03. Cooper Companies had a return on equity of 9.82% and a net margin of 10.08%.The firm had revenue of $1.06 billion for the quarter, compared to analysts' expectations of $1.06 billion. During the same quarter in the prior year, the firm earned $0.96 EPS. Cooper Companies's quarterly revenue was up 5.7% on a year-over-year basis. Cooper Companies has set its Q4 2025 guidance at 1.100-1.140 EPS. FY 2025 guidance at 4.080-4.120 EPS. Sell-side analysts anticipate that Cooper Companies will post 3.98 earnings per share for the current year.

Insider Activity

In other news, CEO Albert G. White III bought 10,000 shares of the business's stock in a transaction on Friday, September 5th. The stock was purchased at an average price of $68.39 per share, with a total value of $683,900.00. Following the transaction, the chief executive officer directly owned 226,151 shares in the company, valued at approximately $15,466,466.89. The trade was a 4.63% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, COO Gerard H. Warner III purchased 1,450 shares of the business's stock in a transaction on Friday, September 5th. The shares were acquired at an average price of $69.23 per share, with a total value of $100,383.50. Following the purchase, the chief operating officer owned 18,319 shares of the company's stock, valued at approximately $1,268,224.37. This trade represents a 8.60% increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last quarter, insiders have bought 15,975 shares of company stock valued at $1,079,566. 1.98% of the stock is currently owned by company insiders.

About Cooper Companies

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 provides spherical lense, including lenses that correct near and farsightedness; and toric and multifocal lenses comprising lenses correcting vision challenges, such as astigmatism, presbyopia, and myopia in the Americas, Europe, Middle East, Africa, and Asia Pacific.

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