The current recommendation of Strong Buy for Baxter International Inc (NYSE:BAX) has been derived by using the Portfolio Grader stock evaluator, which incorporates Louis Navellier's investing methodology. BAX has maintained this ranking for the last month.
The company is a $34.9 billion in market value constituent of the Health Care Equipment & Supplies GICS industry group where the stock's current Portfolio Grader score places it 7 among the 161 companies in this industry group, putting it in the top decile. BAX is ranked among the sector leaders with a ranking of 19 among the 781 companies in the sector of its Health Care sector and 126 in the Portfolio Grader company universe.
The Health Care sector is ranked number 10 among the 12 sectors in the Portfolio Grader universe putting it in the bottom quartile of all the GICS sectors. The Health Care Equipment & Supplies industry group is ranked 34 among the 69 industry groups within the GICS sectors, placing it near the average in terms of the Navellier scoring system.
BAX has realized well above-average scores in 3, and above-average scores in 3 of the 8 fundamental metrics used by Portfolio Grader in the ranking of company stocks.
The company's operational scores provide mixed results with rankings for operating margin and earnings growth that are well above average, while the score for sales growth is below average. Scores for visibility of earnings are superior with a ranking for earnings revisions, earnings surprises and earnings momentum that are discernibly better than average. BAX's metric for return on equity is appreciably better than its industry group average but its ranking for cash flow is below-average. Baxter International's fundamental scores give BAX a place in the top quartile of the industry group.
The Navellier Proprietary Quantitative Score is used by Portfolio Grader to measure BAX's shares from the aspect of risk/reward. This proprietary scoring methodology weighs the relative value of BAX's shares based on the current price of the shares relative to its peers, the market and risk associated with its industry and sector groups. Using this risk/reward calculation, the company currently scores well above-average in its industry group compared to its peers.
Louis Navellier's proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results, with A being 'strong buy' and F being 'strong sell'. Explore the tool here.
Commentary provided by UpTick Data Technologies.
