Office Depot Inc. (ODP, Financial)'s shares gained more than 5% in early Thursday trading after the company reported third-quarter EPS of 14 cents, which were in line with expectations. Revenues of $2.62 billion were down by 7.7% year over year but beat expectations by $10 million.
CEO Gerry Smith was pleased with achieving strong cash flow during the period as well as operating results. He focused on the steps that the company is taking to transform it from a traditional provider of primarily office products into a broader product and business services platform.
“This transformation will leverage our stores, online presence and sales force to create a unique omnichannel platform that offers services, products and solutions focused on businesses of all sizes while generating recurring revenue growth,” he said.
Perrigo Co. PLC (PRGO, Financial) jumped around 9% on the back of the company reporting its financial results for the third quarter. The company posted EPS of $1.39 which beat estimates by 28 cents. Revenues were $1.2 billion in the period and beat expectations by $30 million.
By segments, CHC Americas reported sales of $599 million and reached an operating margin of 20.8% and adjusted operating margin of 23.2%. CHC International segment reported sales of $365 million and operating margin of 1.2%; and adjusted operating margin of 16.4%. RX segment reported operating margin of 32.8% and adjusted operating margin of 42.4%.
Guidance is solid; now the company expects full-year earnings in the range of $4.80 to $4.95 per share.
In other news, shares of Sage Therapeutics Inc. (SAGE, Financial) gained more than 50% in Thursday trading on the back of the announcement of positive late-stage results for brexanolone in postpartum depression. Depression is a mental disorder disease, which is highly difficult to treat. About 700,000 women in the U.S. have postpartum depression so brexanolone could be a great solution.
Disclosure: The author holds no position in any stocks mentioned.
