Cooper's Building Traction in Single-Use Lenses Will Shine Once Cost Pressures Abate

Narrow-moat Cooper Companies finished its fiscal year with strong top-line growth moderated by a multitude of cost pressures. Management provided fiscal 2023 guidance with revenue in the range of $3.5 billion, in line with our forecast, and EPS of $12.30 to $12.60, falling somewhat short of our estimate as management now anticipates certain headwinds to last further into 2023. These headwinds are still short-lived relative to our long-term explicit forecast period, so we are maintaining our fair value estimate of $359 per share.