Cooper Co (COO) AI Stock Analysis

• Market Cap: $13.40B
• Dividend Yield: N/A
• Average Volume (3M): 2.34M
• Price to Earnings (P/E): 33.2
• Beta (1Y): 0.86
• Revenue Growth: 6.35%
• EPS Growth: 12.94%
• Country: US
• Employees: 16,000
• Sector: Healthcare
• Sector Strength: 54
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 1.10
• Shares Outstanding: 199,512,500
• 10 Day Avg. Volume: 3,683,520
• 30 Day Avg. Volume: 2,335,763
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.23
• Enterprise Value/Revenue: 4.14
• Enterprise Value/Gross Profit: 6.39
• Enterprise Value/Ebitda: 14.88
• 1Y Price Target: $82.82
• Price Target Upside: 22.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 65 Neutral
• Price Target: $69.00 ▲(2.37% Upside)

Cooper Co's strong financial performance and robust free cash flow are significant strengths, providing a solid foundation for future growth. However, the stock's bearish technical indicators and overvaluation present notable risks. The mixed sentiment from the earnings call, with challenges in revenue expectations, further tempers the overall score.

Positive Factors

Growth Potential

Investor meetings with company executives have increased confidence in the company's growth outlook and future earnings potential.

Market Outlook

Investor concerns over the health of the contact lens market appear overblown, with new fittings remaining strong and no evidence of wearers trading down.

Valuation

A perceived gap between the company's valuation and its strong fundamentals presents an attractive opportunity for investors.

Negative Factors

Financial Guidance

Management lowered FY25 revenue guidance, and the new guidance is notably below the Street's expectations.

Sales Performance

CVI sales increased just 2% organic, falling below consensus, given declining Clariti sales and greater than expected weakness in APAC.

Stock Performance

Cooper (COO) shares are down 13% since its FQ2 call and trading at its lowest multiple in nearly 10 years.

Cooper Co Business Overview & Revenue Model

Company Description

Cooper Co (COO) is a diversified company operating primarily in the consumer goods and industrial sectors. The company specializes in manufacturing high-quality products ranging from household items to industrial supplies. With a strong emphasis on sustainability and innovation, COO aims to meet the evolving needs of its customers while maintaining a commitment to environmental responsibility.

How the Company Makes Money

Cooper Co generates revenue through multiple streams, including direct sales of its consumer goods to retailers and distributors, as well as online sales through its e-commerce platform. The company also earns income from B2B contracts, providing industrial supplies and services to various businesses. Additionally, COO has established strategic partnerships with major retailers, which helps enhance its market reach and brand visibility. Seasonal promotions and product launches further contribute to sales spikes, while ongoing investment in research and development ensures the company remains competitive and responsive to market demands.

Cooper Co Financial Statement Overview

Summary

Cooper Co is in a strong financial position, with robust profitability, efficient operational management, and a stable balance sheet. The company maintains a conservative leverage structure, enhancing its financial stability and flexibility. However, revenue growth has 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	2.58B	2.60B	2.36B	2.14B	1.96B	1.53B
EBITDA	1.11B	1.07B	885.90M	908.60M	863.70M	622.90M
Net Income	414.20M	392.30M	294.20M	385.80M	2.94B	238.40M
Balance Sheet
Total Assets	12.41B	12.32B	11.66B	11.49B	9.61B	6.74B
Cash, Cash Equivalents and Short-Term Investments	116.20M	107.60M	120.90M	138.20M	95.90M	115.90M
Total Debt	2.59B	2.58B	2.57B	2.76B	1.48B	2.06B
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: 67.40
• 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 67.4 is below the 20-day moving average (MA) of 71.78, below the 50-day MA of 72.22, and below the 200-day MA of 83.42, indicating a bearish trend. The MACD of -0.63 indicates Positive momentum. The RSI at 39.21 is Neutral, neither overbought nor oversold. The STOCH value of 43.95 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
WST	78 Outperform	$17.76B	36.77	17.72%	0.34%	2.88%	-5.50%
HOLX	75 Outperform	$14.93B	27.85	11.38%	―	1.28%	-17.73%
ATR	71 Outperform	$9.18B	23.96	15.36%	1.29%	1.51%	21.70%
COO	65 Neutral	$13.40B	33.18	5.01%	―	6.35%	12.94%
BAX	54 Neutral	$12.68B	136.07	-3.30%	2.75%	-27.41%	67.01%
MASI	54 Neutral	$7.59B	116.65	-20.54%	―	-8.36%	-669.36%
Sector *	51 Neutral	$7.83B	-0.18	-40.01%	2.28%	22.68%	-1.83%

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.