2006 price change: +61.1%
Since announcing a restructuring plan at the beginning of the year, shares of the printer maker have surged. The moves, aimed at saving $80 million annually, have boosted the company’s bottom line. Earnings per share soared 61 percent in the latest quarter.
2007 outlook: Revenue growth remains a challenge - sales rose just 2 percent in the latest quarter. And while earnings have improved, the company may have trouble keeping up that pace. Analysts expect earnings for calendar 2007 to slip 2 percent from the previous year, according to Thomson First Call.
Still, the company has been making investments that may help drive longer-term growth. Lexmark also is broadening its product line-up and making a marketing push to attract more small and medium-sized business customers.