Bull Of The Day: SodaStream (SODA)

Raised Full Year Guidance

Given the solid performance in the quarter, the company slightly raised its full year 2017 guidance. Revenue is now expected to rise 13% to $536 million, up from $476.1 million in 2016.

Earnings are expected to be $2.90, up about 40% from the $2.07 it earned in 2016.

As a result, the analysts have tweaked their estimates to get them in line with the guidance.

The 2017 Zacks Consensus has risen to $2.96 from $2.77 since the earnings report. That's 6 cents higher than the guidance but given the earnings beat track record, analysts clearly feel confident about going above the company's guidance level.

That's earnings growth 42% compared to 2016.

However, analysts are more cautious about 2018. While those estimates have risen over the past 2 months as well, jumping to $3.24 from $2.92, that's just 9.6% earnings growth for next year.

Shares Near Multi-Year Highs

SodaStream's shares were left for dead in 2016 but have come storming back. They're up 75% in 2017 and are trying to retrace back to their 5 year highs.

Here's the 2 year chart.

It's no longer cheap, as it was earlier in the year, as it now trades with a forward P/E of 23.5.

But for investors looking for a way to play the wellness trend, SodaStream is one to keep on your shortlist.

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Disclosure: Tracey Ryniec is the Value Stock Strategist for Zacks.com. She is also the Editor of the  more

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