The Cooper Companies (COO) Posts Record Revenue and Tenth Straight EPS Beat in Q2 2026
Key Takeaways
- Second quarter 2026 revenue reached a record $1.082 billion, rising 8% year-over-year and 5% organically.
- Non-GAAP diluted EPS of $1.21 exceeded consensus estimates of $1.10, marking the tenth consecutive quarter of outperformance.
- CooperVision revenue grew 8% to $723.5 million; CooperSurgical revenue increased 8% to $358.0 million.
- GAAP EPS of $(0.40) reflected a $271.6 million pre-tax litigation charge tied to a prior product recall.
- Company raised fiscal 2026 revenue and non-GAAP EPS guidance ranges.
- Free cash flow totaled $96.4 million for the quarter.
Putting the Earnings in Context
The Cooper Companies operates in the medical device sector through its CooperVision contact lens and CooperSurgical women's health businesses. Fiscal second quarter results provide investors with an early read on demand trends in vision correction and fertility solutions amid evolving healthcare spending and competitive dynamics. Strong organic growth and consistent earnings beats underscore operational execution following last year's reorganization, while the litigation resolution clears a notable overhang and supports focus on long-term growth initiatives.
Breaking Down the Reported Results
For the fiscal second quarter ended April 30, 2026, The Cooper Companies reported revenue of $1.082 billion, an 8% increase from the prior-year period and 5% organically. CooperVision contributed $723.5 million (up 8%), while CooperSurgical added $358.0 million (up 8%). Non-GAAP diluted earnings per share reached $1.21, up 26% year-over-year and ahead of analyst expectations. GAAP diluted EPS was $(0.40) after a $271.6 million litigation charge related to a December 2023 voluntary recall of embryo culture media. Gross margin held steady at 68% on both GAAP and non-GAAP bases. The company updated fiscal 2026 guidance to revenue of $4.285–$4.321 billion and non-GAAP diluted EPS of $4.58–$4.66. I also checked this using Tickeron’s AI Screener to see how COO compares to others in the industry.
Market Reaction and Investor Sentiment
Shares of The Cooper Companies traded higher following the June 4 release, reflecting investor focus on the revenue record and non-GAAP earnings beat despite the one-time GAAP charge. Analysts highlighted the tenth straight quarter of outperformance and raised guidance as positive signals. Sentiment remains constructive on the company’s ability to deliver consistent growth while resolving legacy issues.
Forward Outlook and Key Factors to Monitor
With updated fiscal 2026 guidance in place, investors will watch for sustained organic revenue momentum in both CooperVision and CooperSurgical segments. Key areas include new product adoption in toric and multifocal lenses, demand trends in fertility solutions, and the impact of tariffs or currency fluctuations on margins.
Operational discipline remains a focus, with benefits expected from prior reorganization efforts. Free cash flow generation will be monitored closely as the company targets cumulative free cash flow exceeding $2.2 billion over fiscal years 2026–2028.
Broader industry dynamics such as healthcare utilization rates and competitive pricing in contact lenses could influence results. Upcoming quarterly updates will provide further visibility into guidance achievement and any strategic developments.
Using AI Tools for Deeper Analysis
One thing that stands out when reviewing results like these is how helpful AI-driven tools can be for putting numbers in perspective. I recently turned to Tickeron’s AI Screener to filter peers in the medical device space based on similar growth profiles and technical patterns. It allowed me to quickly scan thousands of stocks using customizable criteria such as fundamentals, volatility, and performance metrics, helping identify comparable trade ideas more efficiently than manual methods. From what I see, this kind of screening supports a more disciplined approach to monitoring names like COO alongside the broader sector. AI Screener
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COO in downward trend: price expected to drop as it breaks its higher Bollinger Band on June 25, 2026
COO broke above its upper Bollinger Band on June 25, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options. The A.I.dvisor looked at 36 similar instances where the stock broke above the upper band. In of the 36 cases the stock fell afterwards. This puts the odds of success at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for COO moved out of overbought territory on July 06, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 27 similar instances where the indicator moved out of overbought territory. In of the 27 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on July 23, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on COO as a result. In of 88 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for COO turned negative on July 10, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 41 similar instances when the indicator turned negative. In of the 41 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where COO declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 55 cases where COO's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where COO advanced for three days, in of 274 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 204 cases where COO Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. COO’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.664) is normal, around the industry mean (4.544). P/E Ratio (59.585) is within average values for comparable stocks, (181.791). Projected Growth (PEG Ratio) (0.666) is also within normal values, averaging (3.449). Dividend Yield (0.000) settles around the average of (0.022) among similar stocks. P/S Ratio (3.284) is also within normal values, averaging (81.480).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. COO’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 97, placing this stock worse than average.
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a maker of medical devices
Industry PharmaceuticalsOther
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