(GIVN) - Given Imaging, Ltd - The company reported third-quarter results that beat expectations by 150%

Given Imaging has met or exceeded estimates in seven out of the past eight quarters, with two of them surpassing a 100% surprise. After its rec ent quarter, next year's estimates have increased almost 10% to 34 cents per share over the past week. The stock is valued at 64.7x next year's estimates, above the long-term growth rate of 36%, giving the stock a PEG ratio of 1.80. Full Analysis Given Imaging, Ltd. (GIVN) engages in the development, manufacture, and marketing of diagnostic products for the visualization and detection of disorders of the gastrointestinal tract. Its principal product is the Given System, a wireless imaging system that uses disposable video capsules. The Given System comprises three principal components: the PillCam video capsule, a disposable, miniature video camera contained in a capsule, which is ingested by the patient; a portable data recorder and array of sensors that are worn by the patient; and a computer workstation with proprietary RAPID software for downloading, processing, and analyzing recorded data. The company reported third-quarter results that beat expectations by 150%. GIVN earned two cents per share, well above the loss of four cents that analysts expected. Management proceeded to raise 2006 guidance to between seven and 14 cents per share. Worldwide sales increased 21.2% to $24.0 million in the third quarter of 2006, compared to $19.8 million in the third quarter of 2005. Gross margin in the third quarter of 2006 was 74.8%, compared to 76.7% in the third quarter of 2005. "I am pleased with our third quarter results and, in particular, with record PillCam SB reorders which increased 30% over last year and were up 11% in the U.S. compared to the second quarter of this year. We believe this reflects substantive progress in focusing both our U.S. and international sales teams on PillCam capsule sales." "We are also encouraged by the growing reimbursement coverage for PillCam SB diagnostic procedures in several key European countries as well as the recent PillCam ESO reimbursement decision by Florida and Connecticut Medicare in the U.S.," said Homi Shamir, president and CEO of Given Imaging. After its recent quarter, next year's estimates have increased almost 10% to 34 cents per share over the past week. The company has met or exceeded estimates in seven out of the past eight quarters, with two of them surpassing a 100% surprise. The stock is valued at 64.7x next year's estimates, above the long-term growth rate of 36%, giving the stock a PEG ratio of 1.80. 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