Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of medical products maker Abaxis (Nasdaq: ABAX ) are popping 15% today following stronger-than-expected fourth-quarter results.
So what: Abaxis proved this morning that while blood analysis kits may sound boring, they are quite profitable. Total revenue for the fourth quarter rose 14% to $42.7 million and was highlighted by a 16% boost in North American revenue and a 19% jump in veterinary market sales. Total profit for the quarter came in at $0.21, $0.05 higher than Wall Street had expected, and also benefiting from a lower effective tax rate.
Now what: I've said it before and I'll say it again: Medical products are a great place to position yourself over the long term since the demand in this sector is only going to increase. With strong growth in North America and in the veterinary market, as well as significant growth opportunities still present internationally, I feel Abaxis shareholders stand to be rewarded nicely over the long run.
Craving more input? Start by adding Abaxis to your free and personalized watchlist so you can keep up on the latest news with the company.