STERIS (NYSE:STE) Shares Gap Up After Earnings Beat

STERIS plc (NYSE:STE) shares gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $227.50, but opened at $240.30. STERIS shares last traded at $244.94, with a volume of 111,899 shares traded.

The medical equipment provider reported $2.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.59 by $0.15. The business had revenue of $1.48 billion for the quarter, compared to analyst estimates of $1.47 billion. STERIS had a return on equity of 13.91% and a net margin of 8.66%. The business’s revenue was up 5.7% compared to the same quarter last year. During the same period in the prior year, the company posted $2.58 EPS.

STERIS Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 26th. Investors of record on Tuesday, June 10th will be paid a dividend of $0.57 per share. The ex-dividend date of this dividend is Tuesday, June 10th. This represents a $2.28 dividend on an annualized basis and a yield of 0.90%. STERIS’s payout ratio is currently 36.77%.

Analysts Set New Price Targets

A number of research analysts recently commented on the company. Piper Sandler upped their price objective on STERIS from $260.00 to $265.00 and gave the stock an “overweight” rating in a research note on Monday, February 3rd. JMP Securities upped their price objective on STERIS from $265.00 to $280.00 and gave the stock a “market outperform” rating in a research note on Friday. Needham & Company LLC reissued a “hold” rating on shares of STERIS in a research note on Monday, April 7th. Finally, Stephens reissued an “overweight” rating and issued a $250.00 price target on shares of STERIS in a research note on Thursday. One analyst has rated the stock with a hold rating and five have given a buy rating to the company’s stock. Based on data from MarketBeat, STERIS has an average rating of “Moderate Buy” and a consensus target price of $265.00.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of STE. Park Avenue Securities LLC boosted its stake in STERIS by 5.6% during the fourth quarter. Park Avenue Securities LLC now owns 2,369 shares of the medical equipment provider’s stock valued at $487,000 after buying an additional 126 shares in the last quarter. Carnegie Investment Counsel boosted its stake in STERIS by 1.5% during the fourth quarter. Carnegie Investment Counsel now owns 57,188 shares of the medical equipment provider’s stock valued at $11,756,000 after buying an additional 833 shares in the last quarter. Central Valley Advisors LLC boosted its stake in STERIS by 10.9% during the fourth quarter. Central Valley Advisors LLC now owns 6,182 shares of the medical equipment provider’s stock valued at $1,271,000 after buying an additional 609 shares in the last quarter. Merit Financial Group LLC bought a new position in STERIS during the fourth quarter valued at about $260,000. Finally, Cranbrook Wealth Management LLC boosted its stake in STERIS by 4.3% during the fourth quarter. Cranbrook Wealth Management LLC now owns 2,159 shares of the medical equipment provider’s stock valued at $444,000 after buying an additional 90 shares in the last quarter. Institutional investors own 94.69% of the company’s stock.

STERIS Price Performance

The company has a 50 day moving average of $223.65 and a two-hundred day moving average of $219.15. The firm has a market cap of $24.77 billion, a P/E ratio of 53.53 and a beta of 0.96. The company has a quick ratio of 1.40, a current ratio of 2.13 and a debt-to-equity ratio of 0.32.

STERIS Company Profile

STERIS plc provides infection prevention products and services worldwide. It operates through four segments: Healthcare, Applied Sterilization Technologies, Life Sciences, and Dental. The Healthcare segment offers cleaning chemistries and sterility assurance products; automated endoscope reprocessing system and tracking products; endoscopy accessories, washers, sterilizers, and other pieces of capital equipment for the operation of a sterile processing department; and equipment used directly in the operating room, including surgical tables, lights, and connectivity solutions, as well as equipment management services.