Why Royal Philips Shares Rose 39% Last Year
Shares of Dutch electronics and medical devices giant Royal Philips (NYSE: PHG) rose 39% in 2019, according to data from S&P Global Market Intelligence. The company experienced more ups than downs in a tumultuous year.
The stock drifted upward throughout the year with a couple of notable jumps and drops along the way. The company posted a strong second-quarter earnings report in July. Comparable sales rose 6% year over year, lifted by strong shipments of hospital equipment into the Chinese, German, and American markets. Revenues also rose by double-digit percentages in Russia and Central Europe. Share prices surged 6% higher that day.
Comparable sales stayed strong in the third quarter, but the performance was based on a different mix of underlying growth drivers. This time, American sales came up short while Chinese revenues remained in double-digit growth territory. However, the order flow tightened up and forced Philips to reduce its fourth-quarter revenue goal.
Source Fool.com
