Varex Imaging (NASDAQ:VREX) Shares Gap Down After Earnings Miss

Varex Imaging Co. (NASDAQ:VREX)’s share price gapped down prior to trading on Friday following a weaker than expected earnings announcement. The stock had previously closed at $16.43, but opened at $14.57. Varex Imaging shares last traded at $15.68, with a volume of 273,337 shares.

The company reported $0.16 earnings per share for the quarter, missing the consensus estimate of $0.23 by ($0.07). The company had revenue of $206.20 million for the quarter, compared to analysts’ expectations of $205.15 million. Varex Imaging had a net margin of 5.08% and a return on equity of 9.21%. The company’s revenue was down 9.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.26 earnings per share.

Wall Street Analysts Forecast Growth

Separately, TheStreet downgraded shares of Varex Imaging from a “b-” rating to a “c” rating in a research report on Tuesday, February 6th.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Knights of Columbus Asset Advisors LLC grew its stake in Varex Imaging by 0.5% in the third quarter. Knights of Columbus Asset Advisors LLC now owns 170,232 shares of the company’s stock worth $3,199,000 after purchasing an additional 788 shares during the period. Illinois Municipal Retirement Fund increased its stake in shares of Varex Imaging by 3.6% during the fourth quarter. Illinois Municipal Retirement Fund now owns 24,105 shares of the company’s stock valued at $494,000 after purchasing an additional 832 shares in the last quarter. Federated Hermes Inc. lifted its holdings in shares of Varex Imaging by 216.3% during the third quarter. Federated Hermes Inc. now owns 1,781 shares of the company’s stock valued at $33,000 after purchasing an additional 1,218 shares during the last quarter. Quest Partners LLC purchased a new position in shares of Varex Imaging during the fourth quarter valued at approximately $30,000. Finally, Swiss National Bank boosted its position in shares of Varex Imaging by 1.7% in the 3rd quarter. Swiss National Bank now owns 88,840 shares of the company’s stock worth $1,669,000 after purchasing an additional 1,500 shares in the last quarter.

Varex Imaging Price Performance

The company has a current ratio of 4.30, a quick ratio of 2.37 and a debt-to-equity ratio of 0.76. The company has a market cap of $632.95 million, a PE ratio of 16.24, a P/E/G ratio of 2.39 and a beta of 0.72. The firm has a 50 day moving average of $17.32 and a two-hundred day moving average of $18.49.

Varex Imaging Company Profile

Varex Imaging Corporation designs, manufactures, and sells X-ray imaging components. The company operates through two segments, Medical and Industrial. The Medical segment designs, manufactures, sells, and services X-ray imaging components, comprising X-ray tubes, digital detectors and accessories, ionization chambers, high voltage connectors, image-processing software and workstations, 3D reconstruction software, computer-aided diagnostic software, collimators, automatic exposure control devices, generators, and heat exchangers.