Prestige Consumer Stock Up 29.9% in a Year: What's Behind the Surge?

Core Insights - Prestige Consumer Healthcare (PBH) has experienced significant growth, with shares increasing by 29.9%, outperforming the industry and S&P 500 [1] - The company holds a Zacks Rank 2 (Buy) and benefits from a diverse brand portfolio and effective marketing strategies [2] Company Overview - Prestige Consumer develops, manufactures, markets, and distributes over-the-counter (OTC) healthcare and household cleaning products across multiple countries [3] - The company has expanded its product offerings through both organic growth and acquisitions, focusing on consumer health and personal care brands [3] Growth Factors - The company's share price increase is attributed to its diverse portfolio of well-known consumer brands, with core brands contributing approximately 58.6% of total revenues in fiscal 2024 [4] - Prestige Consumer emphasizes brand building and product innovation, introducing targeted offerings in niche healthcare categories [5] - The company has established a strong reputation in the Eye & Ear Care category, with Clear Eyes recognized as the largest OTC brand in its category [6] - Significant investments in e-commerce have yielded positive results, enhancing the company's growth potential [7] Financial Estimates - The Zacks Consensus Estimate projects a 5.9% increase in earnings per share (EPS) for fiscal 2025, reaching $4.46, and a 6.7$4.76 [10] - Revenues for fiscal 2025 are expected to grow by 0.7% to $1.13 billion, followed by a 2.4$1.16 billion in fiscal 2026 [10]