Digging Through Edwards Lifesciences Corporation (EW) Fundamentals

On Wednesday, shares of Edwards Lifesciences Corporation (NYSE:EW) marked $224.81 per share versus a previous $218.03 closing price. With having a 3.11% gain, an insight into the fundamental values of Edwards Lifesciences Corporation, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. EW showed a rise of 46.77% within its YTD performance, with highs and lows between $136.44 – $229.97 during the period of 52 weeks, compared to the simple moving average of 19.67% in the period of the last 200 days.

Piper Jaffray equity researchers changed the status of Edwards Lifesciences Corporation (NYSE: EW) shares to a “Overweight” rating in the report published on September 23rd, 2019. Other analysts, including BofA/Merrill, also published their reports on EW shares. BofA/Merrill repeated the rating from the previous report, marking EW under “Buy” rating, in the report published on July 24th, 2019. Additionally, EW shares got another “Buy” rating from Canaccord Genuity, setting a target price of $215 on the company’s shares, according to the report published in March 18th, 2019. On the other hand, Deutsche Bank Initiated the “Hold” rating for EW shares, as published in the report on January 3rd, 2019. UBS seems to be going bullish on the price of EW shares, based on the price prediction for EW, indicating that the shares will jump to $165, giving the shares “Neutral” rating based on their report from November 28th, 2018. Another “Underweight” rating came from Barclays, providing a prediction for $165 price target according to the report published in October 16th, 2018.

Edwards Lifesciences Corporation (EW) Analysis

The present dividend yield for EW owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period. However, in order for the company to be able to pay its dividends, just like it is the case with Edwards Lifesciences Corporation, the company needs to provide a healthy cash flow, currently at the value of 64.22. In addition, the growth of sales from quarter to quarter is recording 15.20%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Edwards Lifesciences Corporation (EW) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 21.60% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 2.50 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while EW is currently recording an average of 1.10M in volumes. The volatility of the stock on monthly basis is set at 2.26%, while the weekly volatility levels are marked at 2.95%with 4.38% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $216.78, indicating growth from the present price of $224.81, which can represent yet another valuable research and analysis points that can help you decide whether to invest in EW or pass.

What to Look for When Analyzing Edwards Lifesciences Corporation Shares?

Edwards Lifesciences Corporation (EW) is based in the USA and it represents one of the well-known company operating with Healthcare sector. If you wish to compare EW shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 62.33 for Edwards Lifesciences Corporation, while the value 37.58 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 3.61 is supported by the yearly ESP growth of -15.00%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 0.20%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 86.60% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in EW Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in EW in the recent period. That is how Jennison Associates LLC now has an increase position in EW by 4.77% in the first quarter, owning 6.04 million shares of EW stocks, with the value of $1.33 billion after the purchase of an additional 275,182 shares during the last quarter. In the meanwhile, Capital Research & Management Co. also increased their stake in EW shares changed 42.39% in the first quarter, which means that the company now owns 5.12 million shares of company, all valued at $1.12 billion after the acquisition of additional 1,522,944 shares during the last quarter.

AllianceBernstein LP acquired a new position in Edwards Lifesciences Corporation during the first quarter, with the value of $959.63 million. At the present, 86.60% of EW shares are in the ownership of institutional investors.