COO
Cooper Companies ($COO) Management's Perfect Timing: $27.6M High Selling → Bottom Buying Signal
09/30/2025 00:42
Sentiment
Summary
- Cooper Companies ($COO) executives sold $27.6M at peak prices in September 2024, then bought $1.2M at 42% lower levels in September 2025
- Same management's opposite trading patterns demonstrate accurate assessment of intrinsic value, suggesting current price levels are attractive
- Valuation compressed from 33x to 15.4x forward P/E creating investment opportunity, with December 4th earnings as key inflection point
POSITIVE
- Management's bottom-fishing suggests floor signal, reflecting insiders' confidence in company prospects
- Valuation significantly compressed from 33x to 15.4x forward P/E, providing attractive entry point
- Sound financial health with 29.67% debt-to-equity ratio and 2.12 current ratio, generating stable cash flows
- Q3 revenue exceeded $1 billion showing steady growth momentum with stable market position in medical devices
NEGATIVE
- Persistent contact lens demand weakness in China and US markets constraining core business growth
- Management credibility damaged by two guidance cuts in December 2024 and August 2025
- Stock down 42% from highs showing technical weakness with potential for further declines
- Medical device sector faces regulatory risks and economic sensitivity creating volatility
Expert
From a healthcare sector perspective, Cooper Companies' management insider trading represents highly significant signals. The perfect timing of high-selling and low-buying is rare within the industry, demonstrating their company valuation capabilities. Current valuation appears attractive versus peers, but Asian market recovery remains the critical variable.
Previous Closing Price
$67.67
+0.12(0.18%)
Average Insider Trading Data Over the Past Year
$68.39
Purchase Average Price
$0
Sale Average Price
$136.78K
Purchase Amount
$0
Sale Amount
Transaction related to News
Trading Date | Filing Date | Insider | Title | Type | Avg Price | Trans Value |
|---|---|---|---|---|---|---|
09/30/2025 | 09/30/2025 | Sale | $ |
Cooper Companies ($COO) management's insider trading patterns are sending powerful signals to investors. At this $13.4 billion medical device company manufacturing contact lenses and women's healthcare products, the same executives executed opposite trades exactly one year apart. In September 2024, when shares reached near-record highs around $110, management embarked on massive selling. EVP Daniel McBride sold $12.2 million worth at $106.18 on September 4th, EVP Brian Andrews disposed of $2.6 million, and President Albert White III sold $12.8 million. Total sales reached $27.6 million. Exactly one year later in September 2025, with shares down 42% to the $64-68 range, the same executives turned buyers. Andrews purchased $100K at $65.68, McBride bought $195K at $65.04, and notably, President White made a substantial $684K purchase of 10,000 shares at $68.39. This trading pattern demonstrates management's exceptional timing. The textbook high-selling, low-buying behavior suggests these insiders accurately read the company's intrinsic value and stock cycles. The difference between selling volume ($27.6M) and buying volume ($1.2M) reflects the price differential rather than conviction levels. Cooper Companies operates through CooperVision (contact lenses) and CooperSurgical (women's health products), serving global markets. Q3 2025 revenue exceeded $1 billion with steady growth, though management has repeatedly lowered annual revenue guidance due to demand softness in Asia and Americas. The stock decline stems from weak contact lens demand in China and the US, plus repeated guidance cuts. Two major downgrades in December 2024 and August 2025 severely damaged investor sentiment. March 2025 saw shares hit 15-month lows at $83 following disappointing Q1 results. Currently trading at 3.35x sales and 15.4x forward earnings, Cooper Companies presents compelling valuation. The P/E multiple has halved from 33x, creating significant value. With a debt-to-equity ratio of 29.67% and current ratio of 2.12, financial health remains solid. The key catalyst investors should watch is the December 4th earnings release. If Asian market recovery signals or new product performance emerge, management's bottom-fishing will prove prescient. Continued demand weakness, however, poses downside risks. At current levels, the risk-reward appears attractive. Management's recent buying suggests a bottom signal, while compressed valuation provides safety margin. However, investors must consider regulatory risks and economic sensitivity inherent in medical devices.