Nov. 27 (Bloomberg) -- Coloplast A/S, the world’s largest maker of ostomy and urology products, rose for an eighth day in Copenhagen, its longest rally in three years, after Nordea Bank AB said solid growth prospects make the stock a haven.
Coloplast rose as much as 1.3 percent and advanced 0.7 percent to 1,355 kroner at 11:53 a.m. in the Danish capital, with trading volume at 35 percent of the three-month daily average. The stock has gained 5.1 percent in its longest winning streak since November 2009.
Coloplast said Nov. 6 full-year sales may rise as much as 7 percent, exceeding the 6 percent average estimate in a Bloomberg survey of analysts. The Humlebaek, Denmark-based company, whose fiscal year ends Sept. 30, is a “solid growth story,” Nordea said today, recommending investors buy the share.
“The stock is a safe harbor in turbulent times,” Mikkel Petersen, a stock adviser at Nordea in Copenhagen, said in a note. “A structural progression in demand for the company’s ostomy and urology products will give higher earnings margins and growing profits that make room for extraordinary dividends and share buy-back programs.”
Coloplast plans next month to pay a dividend of 20 kroner a share for its fiscal year that ended in September. The company may pay a dividend of 25 kroner a share for the current fiscal year and 28 kroner for the next, according to Bloomberg dividend projections.
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