Here’s Why Wright Medical (WMGI) Stock Is Jumping Today

NEW YORK (TheStreet) -- Shares of Wright Medical (WMGI) were spiking 13.17% to $23.97 late Wednesday morning after the company posted a narrower-than-expected loss for the 2016 second quarter.

After yesterday's closing bell, the Arlington, TN-based specialty orthopaedic company reported an adjusted loss of 11 cents per share, smaller than the loss of 22 cents per share that analysts had expected.

Revenue for the period was $170.7 million, slightly below analysts' forecasts of $172.5 million.

For 2016, Wright Medical sees a loss between 47 cents and 54 cents per share. Analysts are modeling a loss of 61 cents per share.

Full-year revenue is now projected to be between $675 million to $685 million, up from its prior view of $668 million to $678 million. Analysts are projecting $713.1 million.

Additionally, the company said it has made meaningful progress toward resolving litigation related to its metal hip implants.

In June, Wright Medical reached a confidential settlement with a subgroup of three insurance carriers and discussions continue with the remaining carriers.

"WMGI's underlying business fundamentals remain strong and several new products...should continue to drive revenue growth and share gain. Given these dynamics and further clarity on the litigation, we remain buyers of the stock," RBC Capital Markets wrote in an analyst note earlier today.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C- on the stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth.

If you liked this article you might like

These Stocks Are Changing Course

Wright Medical Group (WMGI) Marked As A Barbarian At The Gate

Analysts' Actions -- Darden, MetLife, Pandora, Yelp and More

Barbarian At The Gate: Wright Medical Group (WMGI)