Stock under Close Observation: Atrion Corporation (NASDAQ: ATRI)

On 01 Nov 2019, Atrion Corporation (NASDAQ: ATRI) started its trading session with the price $843.15 and closed at price of $836 by scoring -0.88%. Day range of the stock was $836 – $845.11. ATRI stock traded with total volume of 4508 shares while the average trading capacity remained 24477 shares. Earnings per share was $18.44. ATRI has total market capitalization of $1550780000.

Atrion Corporation (ATRI) recently reported that for the third quarter ended September 30, 2019 revenues totaled $38.9M down slightly from $39.3M for the same period in 2018. Net income for the third quarter of 2019 totaled $9.6M contrast to $9.2M for the third quarter of 2018, with diluted earnings per share for the third quarter of 2019 at $5.15 contrast to $4.96 for the same period in 2018.

Commenting on the Company’s results for the third quarter of 2019 contrast to the same period last year, David A. Battat, President & CEO, stated, “We saw 7% revenue growth in our cardiovascular and fluid delivery products, which accounted for 83% of total sales in the just ended quarter. Our overall revenues were negatively influenced by declines in ophthalmic sales as well as delays in shipping aviation products Because of uncertainties relating to new deliveries of Boeing 737 MAX airplanes.” Mr. Battat continued, “Operating income was about $300,000 lower after absorbing over $500,000 in additional depreciation in the quarter for equipment required to support the future growth of our business.”  Mr. Battat added, “With a lower effective tax rate, both net income and diluted earnings per share were up 4%.”

Mr. Battat cautioned, “The Food and Drug Administration (FDA) issued a recent caution concerning nationwide shortages of medical devices Because of issues with contract sterilizers. Specifically, two important contract sterilization facilities utilized by many medical device companies have been shut down Because of environmental concerns—one permanently and one temporarily. Local officials have asked a third facility to voluntarily halt operations. This loss of sterilization capacity is causing important delays at this country’s remaining sterilization facilities, and the FDA is reporting that companies in the medical device industry are encountering backlogs to get products sterilized. We do not have a financial interest in any sterilization facility, but we and our OEM consumers utilized these two facilities, as well as others still in operation, previous to their closures. As a result, we expect the shortage in sterilization capacity to negatively impact planned shipments to our consumers. Although we do not foresee a loss in revenue, we believe that some sales may be delayed, particularly in the fourth quarter of this year.

ATRI return on assets ratio of the Company was 15.20% and return on equity ratio was 16.80% while its return on investment ratio was 16.10%. The stock price switched up 4.62% 20-Days Simple Moving Average, added 6.29% from 50-Days Simple Moving Average and rose 2.16% from 200 Days Simple Moving Average.


Vivian Moore

Vivian Moore – Health and Biotech I am Vivian Moore, I have done my bachelor’s in English literature, and further on I did my master’s in Medicines. My most preferred genre of writing is health and biotech. I have been writing from the past 6 years about articles, web content, and blogs. In my career and education, I like to play along with work. I have also been a teacher in the past for 2 years. I use to teach business and technical writing in a very famous university. However, most recently I am working as an instructor, designer, and training writer. I enjoy socializing a lot. I am a very big extrovert when it comes to nature. A part of all this I enjoy exploring the world and traveling makes me happy.

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