The Cooper Companies, Inc. (COO)
Quantitative Summary
DeterministicAt 30.5x earnings — a 53% discount to the sector average of 65.2x — COO is in the lower valuation range. Financial health is average: Piotroski 5/9, Altman Z 3.5. DCF fair value of $28 implies 61% downside based on model assumptions.
Generated deterministically from quant metrics and financial statements. Not a recommendation.
Algorithmic Teardown
AI-GeneratedThe fundamental economics of The Cooper Companies reveal a significant capital allocation challenge, as the return on invested capital stands at 4.7%, trailing markedly behind the estimated cost of equity at 10.1%. This results in a negative spread of -5.4%, indicating that current operations are eroding shareholder value rather than generating excess returns. While the DuPont decomposition highlights healthy operating leverage with net margins expanding to 9.2% and robust gross margins near 65.5%, this profitability is constrained by low asset turnover at only 0.33x, suggesting inefficient capital deployment relative to sales volume. The equity multiplier of 1.50x provides modest financial leverage but does not offset the core inefficiency in generating returns on assets.
Valuation metrics present a mixed picture where market pricing appears detached from intrinsic value models derived from free cash flow assumptions. Despite trading at a forward P/E multiple of 34.9x, which remains slightly below the sector average of 36.8x, the discounted cash flow analysis implies substantial downside potential with a fair value estimate significantly lower than current levels. This divergence suggests the market is pricing in an aggressive ten-year free cash flow growth rate of 17.2%, a trajectory that may be overly optimistic given the underlying capital efficiency constraints. The Beneish M-Score of -2.49 offers some comfort regarding earnings quality, yet the Piotroski F-Score of 5/9 and Altman Z-Score of 3.5 indicate moderate financial stability without strong momentum indicators.
Risk-adjusted performance data further complicates the investment thesis, with a negative annualized Fama-French alpha of -14.39% signaling underperformance relative to standard risk factors over time. While the stock exhibits neutral exposure to both value and profitability factor tilts, the persistent negative alpha suggests that historical returns have failed to compensate for the systematic risks taken. With no discernible insider buying activity over the last ninety days, there is currently a lack of private capital signaling confidence in near-term catalysts to bridge the gap between current valuations and intrinsic worth implied by conservative cash flow models.
Generated by LLM from quantitative data inputs. May contain inaccuracies. Not investment advice.
DCF Sandbox
Interactive5-year two-stage DCF. Terminal growth 3%. Default sliders match the pre-computed base case. Drag to explore scenarios. Not investment advice.
The growth rate the market implicitly expects over the next 10 years to justify today's price. Compare with historical growth of 5% YoY revenue.
Sensitivity Matrix
| TG ↓ / WACC → | 8.3% | 10.3% | 12.3% |
|---|---|---|---|
| 2% | $36 | $24 | $17 |
| 3% | $43 | $28 | $19 |
| 4% | $54 | $33 | $22 |
Center = base case. Green = >10% upside, Red = >10% downside vs $59.49.
Pre-computed DCF: WACC=10.3%, terminal growth 3%. Fair value $28 (-61.1%). Not investment advice.
Valuation Context
Currently trading 18% below its 5-year average P/E of 43.4x.
Price Chart with Moving Averages
Technical Setup
AI GeneratedThe Cooper Companies, Inc. is currently trading at $60.94 within the healthcare sector, presenting a specific context for evaluating its relative valuation against moving average envelopes. Without explicit data regarding the precise location of short-term or long-term Simple Moving Averages in relation to this current price point, any assessment of mean-reversion potential remains hypothetical rather than definitive. Typically, when a stock trades significantly outside an established SMA envelope, it suggests a deviation from its recent historical trend line that might eventually trigger a pullback toward the center; conversely, trading near or within the bands often indicates stability with limited immediate directional pressure. In this instance, the absence of specific band placement data prevents a conclusive determination regarding whether the $60.94 level represents an overextended condition ripe for correction or a stable equilibrium zone. Observers might note that if the price were historically distant from its moving averages, statistical probability could favor a return to the mean, whereas proximity would suggest continued adherence to the prevailing trend. The current market positioning does not inherently dictate a specific trajectory but rather highlights the need to compare this absolute figure against dynamic average lines to gauge volatility and potential reversal zones accurately. Ultimately, the technical picture relies heavily on the relationship between $60.94 and unprovided moving average figures to assess future behavior. Investors analyzing relative value must determine if this price level reflects a temporary anomaly or a sustained trend by examining where it sits within its own historical distribution envelope. Such an analysis allows for
Quant Health Deep Dive
Profitability & Value Creation
DuPont Analysis — ROE Decomposition
Breaking down Return on Equity to see how the company generates its ROE — efficiency, margins, or leverage.
Balance Sheet Health
Earnings Surprise History
EPS estimates vs actuals for the most recent reported quarters. Source: yfinance.
Dividend History
| Date | Amount | Change |
|---|---|---|
| 2023-07-26 | $0.0075 | 0.0% |
| 2023-01-20 | $0.0075 | 0.0% |
| 2022-07-26 | $0.0075 | 0.0% |
| 2022-01-20 | $0.0075 | 0.0% |
| 2021-07-26 | $0.0075 | 0.0% |
| 2021-01-21 | $0.0075 | 0.0% |
| 2020-07-22 | $0.0075 | 0.0% |
| 2020-01-22 | $0.0075 | 0.0% |
| 2019-07-22 | $0.0075 | 0.0% |
| 2019-01-18 | $0.0075 | 0.0% |
| 2018-07-20 | $0.0075 | 0.0% |
| 2018-01-22 | $0.0075 | 0.0% |
Dividend and split data from SEC filings and market data. Amounts are per share, not adjusted for splits. Source: yfinance.
Risk Profile
Sharpe = risk-adjusted return (higher is better). Max drawdown = largest peak-to-trough decline. 1,200+ trading days.
Underwater (Drawdown from Peak)
How far below the all-time high the price has been over time. Deeper = more pain for holders.
Rolling 60-Day Beta vs S&P 500 (VOO)
How the stock's sensitivity to market moves changes over time. β > 1 = more volatile than the market.
Fama-French 5-Factor Exposure
Academic factor model decomposition — what's really driving this stock's returns.
Fama-French 5-Factor Model. Data: Kenneth French Data Library. Regression over 3 years of daily returns.
Fundamentals
Passive Flow Attribution
ETF Draft EffectWhen investors buy or sell ETFs like XHE or VBR, the fund manager is mechanically forced to buy or sell COO shares regardless of The Cooper Companies, Inc.'s individual fundamentals. We estimate $1.5B of passive capital is structurally linked to COO through 8 tracked ETFs. Index rebalances and ETF creation/redemption cycles can create noticeable volume spikes unrelated to company news.
Passive exposure = Σ (ETF AUM × stock weight in ETF) across 8 tracked ETFs. Actual passive ownership is larger (includes mutual funds). Not investment advice.
ETF Contagion Visualizer
Simulate a price drop in The Cooper Companies, Inc. to visualize passive redemption contagion across ETFs and collateral stocks.
If The Cooper Companies, Inc. (COO) experiences a significant drawdown, ETF redemptions can create collateral selling pressure on co-held stocks. Our model identifies ELI LILLY + CO (LLY) as the most exposed collateral stock, sharing 1 ETFs with COO. This is the "Passive Contagion" effect described in the Inelastic Market Hypothesis.
Contagion model based on shared ETF exposure and constituent weights across 24 tracked ETFs. Estimated selling pressure is a simplified model — actual impact depends on market liquidity, ETF redemption mechanics, and market-maker activity.
COO Ownership Dynamics
Passive funds hold 1 in every 7 COO shares, reducing daily market volatility.
The Cooper Companies, Inc. (COO) exerts notable gravity on the passive index market, currently representing 1.5% of the XHE (XHE) and 0.3% of the VBR (VBR). Across 26 tracked ETFs, approximately 30M shares (15.2% of float) are held by passive funds and rarely trade on the open market. This level of passive ownership means index rebalances can create outsized volume events.
ETFs with Highest COO Exposure
Float lock-up computed from 26 ETFs tracked by SecuritiesDB. Actual passive ownership is higher (includes mutual funds, pension funds, etc.).
COO Institutional Volume Profile
252-day volume distribution by price level. The Point of Control (POC) marks — the price where the most institutional volume transacted — an implicit support/resistance floor.
The highest-volume price zone for The Cooper Companies, Inc. over the past year sits near $70.50 (13% of 252-day volume). The current price of $59.49 sits 15.6% below the POC — suggesting potential mean-reversion upside if institutional demand reasserts at this level. The highly concentrated volume profile (13% at POC) indicates strong consensus on fair value — institutional participants have repeatedly transacted near this price.
Volume Profile computed from 252 trading days of OHLCV data. Volume allocated to price bins proportionally based on daily high-low range. Not investment advice.
COO Capital Efficiency
How efficiently does The Cooper Companies, Inc. convert operating profits into free cash? The FCF Conversion ratio measures the gap between accounting earnings and real cash generation.
The Cooper Companies, Inc. converts 42% of its EBITDA into free cash flow, a healthy conversion rate indicating efficient capital management — the business generates substantial cash after reinvestment. The 58% reinvestment rate signals aggressive capacity expansion. However, the ROIC-WACC spread is negative (-5.7%), suggesting reinvested capital is destroying shareholder value.
Capital efficiency = Free Cash Flow ÷ EBITDA. Reinvestment = (EBITDA − FCF) ÷ EBITDA. Metrics from latest annual filings. Not investment advice.
Fails-to-Deliver (FTD) History
SEC-reported settlement failures. Elevated FTDs can indicate high short-selling pressure, operational settlement issues, or naked shorting activity.
| Date | Failed Shares | Close Price | Notional Value |
|---|---|---|---|
| 2026-05-07 | 8 | $61.12 | $488.96 |
| 2026-05-01 | 2 | $62.90 | $125.8 |
| 2026-04-30 | 85,898 | $61.34 | $5.3M |
| 2026-04-27 | 8 | $64.42 | $515.36 |
| 2026-04-23 | 262 | $66.92 | $17,533.04 |
| 2026-04-22 | 270 | $67.30 | $18,171 |
| 2026-04-16 | 7 | $70.29 | $492.03 |
| 2026-04-15 | 3 | $71.61 | $214.83 |
| 2026-04-09 | 1 | $71.73 | $71.73 |
| 2026-04-07 | 1 | $70.29 | $70.29 |
| 2026-04-01 | 1,178 | $71.50 | $84,227 |
| 2026-03-31 | 555 | $69.31 | $38,467.05 |
| 2026-03-25 | 28 | $70.49 | $1,973.72 |
| 2026-03-24 | 1 | $70.24 | $70.24 |
| 2026-03-23 | 55 | $69.96 | $3,847.8 |
| 2026-03-20 | 1,533 | $70.71 | $108,398.43 |
| 2026-03-19 | 2,978 | $71.17 | $211,944.26 |
| 2026-03-16 | 36 | $69.92 | $2,517.12 |
| 2026-03-13 | 3 | $71.52 | $214.56 |
| 2026-03-09 | 404,999 | $76.55 | $31.0M |
| 2026-03-06 | 1,608 | $80.20 | $128,961.6 |
| 2026-03-04 | 4 | $83.37 | $333.48 |
| 2026-03-02 | 127 | $83.67 | $10,626.09 |
| 2026-02-19 | 44 | $83.40 | $3,669.6 |
| 2026-02-06 | 2 | $80.10 | $160.2 |
| 2026-01-27 | 8 | $80.90 | $647.2 |
| 2026-01-23 | 2,911 | $82.80 | $241,030.8 |
| 2026-01-22 | 3,699 | $82.54 | $305,315.46 |
| 2026-01-21 | 4,465 | $80.61 | $359,923.65 |
| 2026-01-15 | 22 | $81.69 | $1,797.18 |
Source: SEC Regulation SHO FTD data. Data is reported with a ~30 day delay. High FTD quantities relative to average daily volume may indicate settlement stress.
Price Correlations
Statistical correlation of daily returns with other stocks. High correlations indicate stocks that move together; negative correlations can offer diversification.
| Peer | 252-Day (1Y) | 126-Day (6M) | Direction |
|---|---|---|---|
| WTGXX | NaN | NaN | |
| MTD | 0.493 | 0.577 | Moderate |
| VRTPX | 0.459 | 0.432 | Moderate |
| PPG | 0.449 | 0.509 | Moderate |
| HRL | 0.447 | 0.293 | Moderate |
| GEHC | 0.444 | 0.501 | Moderate |
| SWK | 0.436 | 0.515 | Moderate |
| DOV | 0.435 | 0.480 | Moderate |
| NDSN | 0.431 | 0.578 | Moderate |
| DD | 0.430 | 0.429 | Moderate |
Pearson correlation of daily log returns. 252d ≈ 1 trading year. Computed from price history. Not investment advice.
Compare COO to Peers
Quant metrics computed deterministically from financial statements and price data. Updated: 2026-06-02.
SecuritiesDB provides programmatic data aggregation for informational purposes only. None of the metrics, summaries, or algorithmic flags constitute a recommendation to buy or sell any security.