"STRONG BUY " BlueStone Announces Investment Opinion on CLZR
NEW YORK, Sep 14, 1999 (BUSINESS WIRE) -- Senior Analyst Scott Baily
at BlueStone Capital reiterates his STRONG BUY recommendation on
Candela Corporation (NASDAQ:CLZR $11 9/16) after better than expected
4Q and FY99 results and strong product growth.
Analyst's Summary
- By almost any measure CLZR's 4Q and FY99 results were impressive as
the company's performance was driven by strong growth of its main
products, the GentleLASE & ScleroPLUS, and gross margin improvements up
to the 60.0% level. With CLZR's shares selling at $11 9/16, or 8.9x and
7.2x our revised EPS estimates of FY00 and FY01 $1.30 & $1.60 (tax rate
of 35%), we are reiterating our STRONG BUY on the stock. Our 12 month
price target remains unchanged at $20-$25.
- Given CLZR's continued excellent growth over the last several
quarters, we are raising our FY00 and FY01 revenue estimates to $70.0
million and $82.0 million, up from our previous estimates of $67.0
million and $77.5 million. We are also increasing our EPS estimates for
FY00 and FY01 to $1.30 and $1.60 (assuming a tax rate of 35%),
respectively, up from our earlier EPS estimates of $1.10 and $1.35.
- CLZR continued its string of record results as it reported revenues
for the 4Q & FY99 revenues increased to $18.7 million & $58.6 million,
up from $12.1 million & $37.0 million for the same periods last year,
for gains 55% and 58.4%. Our revenue estimates for 4Q & FY99 were $17.0
million & 56.8 million. For the 4Q & FY99 EPS rose to $0.50 per share &
$1.22 per share from $0.19 per share and a loss from continuing
operations of $0.33 last year. The 4Q and FY99 EPS results were much
higher than our estimate of $0.35 because CLZR took advantage of a
deferred tax asset that benefited 4Q & FY99 results by $0.15 and $0.17,
respectively.
BlueStone Capital Partners, L.P. is a full service investment banking
and brokerage firm that delivers financial services to emerging growth
and medium size companies worldwide. BlueStone Capital assists Clients
in maximizing their growth by providing sophisticated investment
strategies that are designed to achieve clients' strategic, operating
and financial goals.
Copyright (C) 1999 Business Wire. All rights reserved.
CONTACT: BlueStone Capital Partners, L.P., New York
Scott A. Baily, 212/850-0558 |
