NEW YORK (TheStreet) -- Shares of Hologic (HOLX) - Get Report are climbing 2.77% to $38.23 late Thursday morning after the company reported earnings and revenue that beat analysts' estimates for the 2016 fiscal third quarter.
After yesterday's market close, the Marlborough, MA-based medical device company reported adjusted earnings of 51 cents per share, higher than analysts' expectations of 48 cents per share.
Revenue increased 3.4% to $717.4 million year-over-year and was above analysts' projections of $704.3 million.
"Despite difficult comparisons in the prior year period, global sales grew in all four of our businesses, led by GYN Surgical. In addition, we continue to improve gross and operating margins, and our capital deployment efforts helped EPS increase significantly faster than revenue," CEO Steve MacMillan said in a statement.
For fiscal 2016, Hologic upped its guidance to earnings per share between $1.93 and $1.94 on revenue of $2.82 billion to $2.83 billion, compared to its prior view of $1.89 to $1.91 on revenue of $2.81 billion to $2.83 billion.
Analysts are modeling earnings of $1.91 per share on revenue of $2.82 billion for the full year.
For the fourth quarter, the company foresees earnings per share between 49 cents and 50 cents on revenue of $714 million to $724 million. Analysts are looking for earnings of 50 cents per share on revenue of $728.4 million.
Evercore ISI upgraded the stock to "buy" from "hold" with a $42 price target this morning based on its growth trajectory, the Fly reports.
Hologic is a manufacturer and supplier of diagnostic and medical imaging systems related to women's health.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B- on the stock.
The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, expanding profit margins, compelling growth in net income and notable return on equity.
The team believes its strengths outweigh the fact that the company has had generally high debt management risk by most measures that were evaluated.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: HOLX