Bear Stearns ups Viasys Healthcare (VAS) to peer perform from underperform.
Analyst Roberto Morales notes that 2004 was a year of transition and Viasys was entering 2005 ready to capitalize on a rejuvenated product platform, expanded salesforce, and more efficient cost structure. He believes it set the stage for meaningful sales and bottom line reacceleration.
He says fourth-quarter results are in line with consensus, but lower-than-expected gross margins drove earnings per share 2 cents below his estimate. He says 2005 guidance of $420 million to $430 million in revenues and 90 cents to 94 cents earnings per share are well above his $411 million revenue and 82 cents earnings per share estimates.
Morales now sees $420 million in 2004 revenue and 90 cents earnings per share.