Cooper Companies (NASDAQ:COO) Posts Quarterly Earnings Results, Beats Expectations By $0.03 EPS

Cooper Companies (NASDAQ:COO) posted its quarterly earnings results on Wednesday. The medical device company reported $1.15 earnings per share for the quarter, beating the consensus estimate of $1.12 by $0.03, Zacks reports. The business had revenue of $1.07 billion during the quarter, compared to analysts’ expectations of $1.10 billion. Cooper Companies had a net margin of 5.57% and a return on equity of 10.88%. The business’s revenue for the quarter was up .5% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.49 EPS. Cooper Companies updated its Q4 2026 guidance to 1.050-1.090 EPS and its FY 2026 guidance to 4.510-4.550 EPS.

Here are the key takeaways from Cooper Companies’ conference call:

• Strong cash generation and earnings execution: Third-quarter revenue rose 1% organically, non-GAAP EPS increased 4% to $1.15, and free cash flow reached a company-record $273 million. The company repurchased $339 million of shares and increased its authorization by $1 billion.
• CooperVision was pressured by deliberate U.S. channel destocking: Revenue was essentially flat, although management said underlying U.S. consumption remained up at a mid-single-digit rate. Similar inventory reductions are expected in the fourth quarter, while legacy hydrogel rationalization and Asia-Pacific challenges will also weigh on results.
• The strategic review concluded without a sale of CooperSurgical: The board determined that offers did not adequately reflect the business’s long-term value, citing temporary factors including Paragard competition and the fertility litigation settlement. Management said it remains open to future strategic alternatives while prioritizing organic growth and capital returns.
• CooperSurgical continued to show solid operating momentum: Organic revenue grew 3%, with fertility revenue up 5% to $141 million, supported by genomics, new clinic wins, and market-share gains. Management remains optimistic about long-term fertility demand and is increasing investment in R&D and new product launches.
• Near-term guidance remains subdued: Fourth-quarter organic revenue growth is expected at 0%-2%, with CooperVision down 2% to flat, while additional commercial spending, foreign exchange headwinds, and lower tariff benefits are expected to pressure margins. The scheduled GILTI increase is also expected to raise the fiscal 2027 non-GAAP tax rate to approximately 17.5% from 15.5%.

Cooper Companies Price Performance

Shares of COO opened at $63.48 on Thursday. Cooper Companies has a 1-year low of $58.89 and a 1-year high of $89.83. The stock has a market cap of $12.38 billion, a PE ratio of 53.80, a price-to-earnings-growth ratio of 1.77 and a beta of 0.82. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.27 and a quick ratio of 0.78. The firm has a fifty day moving average price of $72.42 and a 200 day moving average price of $70.02.

Cooper Companies declared that its board has approved a share repurchase plan on Wednesday, September 9th that allows the company to repurchase $3.00 billion in outstanding shares. This repurchase authorization allows the medical device company to reacquire up to 22.7% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board believes its stock is undervalued.

More Cooper Companies News

Here are the key news stories impacting Cooper Companies this week:

• Positive Sentiment: CooperCompanies reported fiscal third-quarter adjusted EPS of $1.15, ahead of the $1.11–$1.12 analyst consensus. Revenue reached approximately $1.066 billion, while free cash flow increased 66% to $273 million. CooperCompanies Announces Third Quarter 2026 Results
• Positive Sentiment: The board expanded its share-repurchase authorization from $2 billion to $3 billion, potentially allowing the company to buy back as much as 22.7% of outstanding shares. Management also repurchased $339.1 million of stock during the quarter, supporting per-share value if executed effectively. CooperCompanies Completes Strategic Review
• Neutral Sentiment: GAAP EPS was $2.24, helped substantially by a $307.2 million discrete tax benefit related to the favorable completion of a U.K. tax examination. This benefit improves reported results but is not representative of recurring operating performance. CooperCompanies Reports Third-Quarter Results
• Negative Sentiment: CooperCompanies lowered fiscal 2026 adjusted EPS guidance to $4.51–$4.55, below the roughly $4.63 consensus, and set fourth-quarter EPS guidance at $1.05–$1.09 versus expectations near $1.20. Full-year revenue guidance of $4.229–$4.252 billion also implies modest growth.
• Negative Sentiment: The strategic review concluded that CooperSurgical will be retained because potential offers were not sufficiently attractive. Investors appear disappointed that the company did not unlock value through a sale, particularly amid fertility-related litigation costs and competitive pressure in the IUD market. Reasons Cooper Companies Stock Is Under Pressure

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the company. Cresset Asset Management LLC lifted its stake in Cooper Companies by 7.5% in the third quarter. Cresset Asset Management LLC now owns 4,393 shares of the medical device company’s stock valued at $301,000 after buying an additional 306 shares during the last quarter. Captrust Financial Advisors grew its position in shares of Cooper Companies by 10.0% during the second quarter. Captrust Financial Advisors now owns 3,500 shares of the medical device company’s stock worth $249,000 after acquiring an additional 317 shares during the last quarter. Snowden Capital Advisors LLC grew its position in shares of Cooper Companies by 10.0% during the second quarter. Snowden Capital Advisors LLC now owns 4,088 shares of the medical device company’s stock worth $291,000 after acquiring an additional 373 shares during the last quarter. Public Employees Retirement System of Ohio increased its holdings in shares of Cooper Companies by 0.6% in the 3rd quarter. Public Employees Retirement System of Ohio now owns 62,229 shares of the medical device company’s stock valued at $4,266,000 after acquiring an additional 386 shares during the period. Finally, Arkadios Wealth Advisors increased its holdings in shares of Cooper Companies by 14.3% in the 4th quarter. Arkadios Wealth Advisors now owns 3,552 shares of the medical device company’s stock valued at $291,000 after acquiring an additional 444 shares during the period. Hedge funds and other institutional investors own 24.39% of the company’s stock.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the company. UBS Group started coverage on Cooper Companies in a research report on Tuesday, July 28th. They issued a “neutral” rating and a $75.00 price objective for the company. Citigroup restated a “neutral” rating and issued a $80.00 target price (up from $76.00) on shares of Cooper Companies in a research report on Thursday, August 13th. Robert W. Baird set a $61.00 price target on Cooper Companies in a report on Thursday. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Cooper Companies in a research report on Friday, September 4th. Finally, Piper Sandler cut shares of Cooper Companies from an “overweight” rating to a “neutral” rating and set a $59.00 price target for the company. in a research report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, seven have given a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $78.00.

Cooper Companies Company Profile

Cooper Companies, Inc (NASDAQ: COO) is a global medical device company headquartered in San Ramon, California. Founded in 1958, the company has grown through strategic acquisitions and organic development to become a major provider of vision care and women’s health products. Cooper Companies operates through two primary business segments—CooperVision and CooperSurgical—each serving specialized markets within the healthcare industry.

The CooperVision segment develops, manufactures and markets a broad range of soft contact lenses, as well as related accessories.