(BDX) - Stock Pick - beaten the Street's estimate for 13 consecutive quarters, including the most recent

Becton, Dickinson and Company (BDX) recently lifted its fiscal 2006 earnings guidance after reporting solid results for the third quarter. The company exceeded analysts� earnings expectation for the past 13 quarters. Consensus estimates have been on the rise for BDX. The company is currently yielding 1.3% and its return on equity nearly doubles that of the industry average�24% compared to 13%. Full Analysis Becton, Dickinson and Company engages in the manufacture and sale of a broad range of medical supplies, devices, laboratory equipment and diagnostic products worldwide. BDX serves healthcare institutions, life science researchers, clinical laboratories, industry and the general public. BDX's history of exceeding analysts� earnings expectations should catch the eyes of investors. The company has beaten the Street's estimate for 13 consecutive quarters, including the most recent. Furthermore, BDX met or topped the consensus estimate in 16 straight quarters -- meeting on only two occasions. On Jul 28, BDX reported third-quarter fiscal 2006 profits of $206.4 million, or 81 cents per share. Analysts were calling for 79 cents per share. Compared to the prior-year period, which resulted in profits of $189.7 million, or 73 cents per share, earnings climbed 11.0%. Revenues experienced a 7.3% jump to $1.48 billion�led by a 9% advance in the company's biosciences segment. BDX upped its earnings per share outlook for the full fiscal year 2006 to between $3.26 and $3.27. The company's previous guidance called for profits between $3.18 and $3.22 per share. When compared to fiscal 2005 results, the projection would represent an increase of approximately 13% to 14%. Analysts' optimism about BDX�s future earnings potential continues to grow as well. Since the release of the company's third-quarter numbers, nine analysts raised their estimates for this quarter while four did so for next quarter. For fiscal 2006, nine analysts submitted upward revisions while 10 followed suit for fiscal 2007. Earnings per share are projected to grow 12.5% over the next 3-5 years. The Board of Directors declared a quarterly dividend of 21.5 cents per common share of stock on Jul 25. The company is currently yielding 1.3% and has a five-year average dividend yield of 1.2%. BDX's return on equity nearly doubles that of the industry average�24% compared to 13%. On Aug 14, BDX offered $350 million, or $9.25 per share, for TriPath Imaging Inc. This would effectively purchase the remaining 93.5% of the medical imaging company that BDX doesn�t already own. The purchase of TriPath, which develops products used in cancer detection, would enable BDX to advance its presence in this ever-important market. BDX is a Zacks #2 Rank (Buy) stock. Zacks #2 Rank stocks have generated an average annual return of 21.6% since 1988. Because the Zacks Rank has a market cap bias, Growth & Income investors may find a greater number of large-cap stocks by considering both Zacks #1 Rank (Strong Buy) and Zacks #2 Rank (Buy) stocks in their selection criteria. Note: The Zacks Rank is a very sensitive indicator that can change frequently for an individual stock. This important indicator is updated daily on Zacks.com and is available to Zacks Premium subscribers. As such, it is prudent to check the site for the latest Zacks Rank on the stocks highlighted in this section. Simply click the link for the stock or enter the symbol in the ticker entry box in the upper left hand corner of the web site. Content Courtesy: Zacks Investment Research #1 Ranked Stocks Highlight Archive To truly take advantage of the Zacks Rank, you need to first understand how it works. That is why we created the free special report: Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions. | Blog Home| VitalStocks Home