Wednesday, August 10, 2011

Investopedia: CareFusion Looking Safe And Sound

There is ample evidence out there that these are not good times for health care companies, so it makes sense for investors to play defense. That makes CareFusion (NYSE:CFN) an interesting opportunity in today's environment. As the company continues to find its way after spinning out from Cardinal Health (NYSE:CAH), CareFusion offers investors a chance to buy into not only a modest topline growth story, but an improving margin story as well - and all at a very reasonable price. 

A Decent End to the Fiscal Year  
To be sure, CareFusion is not going to excite the growth crowd. Top-line growth for the fourth fiscal quarter was just 3.7%, and only about 2% on a constant currency basis. Growth was helped by better than 7% growth in the critical care business (where infusion grew by double-digits) and offset by an 8% contraction in med tech/services where 14% growth in ChloraPrep was overpowered by divestitures. On a like-for-like basis, this segment would have grown about 5% this quarter. 


Continue through the link below:
http://stocks.investopedia.com/stock-analysis/2011/CareFusion-Looking-Safe-And-Sound-CFN-CAH-BAX-HSP-RMD0810.aspx

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