NewsFeeder
10-19-2018, 12:11 PM
NuVasive's stock tumble on CEO departure presents buying opportunity, analyst says
Shares of NuVasive Inc. tumbled 9.1% in midday trade, after the spine technology company's announcement that it was replacing its chief executive. Since NuVasive didn't reiterated its 2018 financial guidance, Needham analyst Mike Matson suggested the big selloff is a result of investors assuming the company misses or lowers its outlook. While Matson doesn't rule out a warning, he feels the stock's selloff is now overdone. NuVasive is scheduled to report third-quarter results after the Oct. 30 closing bell. In the company second-quarter report, the company cut its 2018 adjusted earnings-per-share guidance range to $2.37 to $2.40 from $2.44 to $2.47. "While this [miss/warning] could clearly occur, with [NuVasive] shares now down significantly today we think they are sufficiently de-risked and we are buyers on the weakness," Matson wrote in a note to clients. The stock was still up 15% over the past three months, while the S&P 500 has slipped 1.2%.
https://finance.yahoo.com/m/428fe25d-e404-3c5f-a959-cb8170855e35/nuvasive%26apos%3Bs-stock-tumble.html?.tsrc=rss
Shares of NuVasive Inc. tumbled 9.1% in midday trade, after the spine technology company's announcement that it was replacing its chief executive. Since NuVasive didn't reiterated its 2018 financial guidance, Needham analyst Mike Matson suggested the big selloff is a result of investors assuming the company misses or lowers its outlook. While Matson doesn't rule out a warning, he feels the stock's selloff is now overdone. NuVasive is scheduled to report third-quarter results after the Oct. 30 closing bell. In the company second-quarter report, the company cut its 2018 adjusted earnings-per-share guidance range to $2.37 to $2.40 from $2.44 to $2.47. "While this [miss/warning] could clearly occur, with [NuVasive] shares now down significantly today we think they are sufficiently de-risked and we are buyers on the weakness," Matson wrote in a note to clients. The stock was still up 15% over the past three months, while the S&P 500 has slipped 1.2%.
https://finance.yahoo.com/m/428fe25d-e404-3c5f-a959-cb8170855e35/nuvasive%26apos%3Bs-stock-tumble.html?.tsrc=rss