Benzinga | Jul 30, 2021 08:14AM EDT

Edwards Lifesciences Beats Q2 Earnings On Demand Recovery, Boosts FY2021 Guidance; Analysts Raise Price Target

* Edwards Lifesciences (NYSE:EW), a cardio device company, reported Q2 earnings of $489.5 million, or $0.64, ahead of the consensus of $0.55.

* "Vaccine adoption in key regions has contributed to an increased number of patients seeking and, most importantly, receiving treatment," CEO Michael A. Mussallem said. "This quarter, we were pleased that more than 30,000 patients were treated globally with Sapien valves."

* Sales rebounded and grew 49% to $1.4 billion; underlying sales grew 44%, surpassing the estimate of $1.28 billion.

* The adjusted gross profit margin was 75.9%, compared to 74.4% a year ago when the Company experienced lower sales and substantial costs responding to COVID.

* Q2 Free cash flow was $457 million.

* FY21 Outlook: Edwards Lifesciences raised its adjusted EPS guidance to the high end of the previous $2.07 to $2.27 range. In addition, it boosted its annual sales guidance to $5.2--5.4 billion from $4.9--5.3 billion earlier.

* For Q3, the Company projects sales to $1.29 - $1.37 billion and adjusted EPS of $0.50 - $0.56.

* Analyst reactions: Wells Fargo maintained EW stock with an Equal-Weight and raised the price target from $93 to $115.

* SVB Leerink also raised the price target from $125 to $130, with an Outperform rating unchanged.

* Price Action: EW shares closed at $111.62 on Thursday.

* Photo by Jair L?zaro on Unsplash