We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Bio-Rad (BIO) Up 8.8% Since Last Earnings Report: Can It Continue?
Read MoreHide Full Article
A month has gone by since the last earnings report for Bio-Rad Laboratories (BIO - Free Report) . Shares have added about 8.8% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Bio-Rad due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
Bio-Rad Q2 Earnings Beat Estimates
Bio-Rad Laboratoriesposted second-quarter 2019 adjusted earnings per share (EPS) of $1.57, which beat the Zacks Consensus Estimate by 12.9%. The bottom line however fell 4.3% from the prior-year quarter.
Reported EPS in the quarter was $19.86 compared with $8.87 a year ago.
Revenues in Detail
Revenues in the quarter totaled $572.6 million, beating the Zacks Consensus Estimate by 1.7%. Revenues fell 0.6% from the year-ago quarter (up 2.7% at constant currency or cc).
Per management, solid demand across many of its key product lines led to growth across most geographical regions.
Segmental Analysis
Sales at the Life Sciences segment in the second quarter totaled $212.4 million, down 2.5% year over year and 0.1% at cc. Excluding Process Media sales, the Life Science business saw 7.5% year-over-year growth on a currency neutral basis.
Net sales at Clinical Diagnostics segment totaled $357.1 million, up 0.9% on a year-over-year basis and 4.8% at cc. This upside was primarily driven by solid growth in Quality Controls, Immunology, and Diabetes product lines across all three geographies.
Margins
Gross profit in the reported quarter totaled $307.8 million, up 2% from the prior-year quarter. Gross margin came in at 53.7%, expanding 137 basis points (bps). Operating margin was 9.8%, up 224 bps.
2019 Guidance Reaffirmed
For 2019, the company has reaffirmed its revenue growth guidance at 4-4.5% (cc). The Zacks Consensus Estimate for the same is pegged at $2.35 billion.
How Have Estimates Been Moving Since Then?
Estimates review followed a downward path over the past two months. The consensus estimate has shifted -5.61% due to these changes.
VGM Scores
At this time, Bio-Rad has an average Growth Score of C, however its Momentum Score is doing a lot better with an A. However, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Bio-Rad has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Bio-Rad (BIO) Up 8.8% Since Last Earnings Report: Can It Continue?
A month has gone by since the last earnings report for Bio-Rad Laboratories (BIO - Free Report) . Shares have added about 8.8% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Bio-Rad due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
Bio-Rad Q2 Earnings Beat Estimates
Bio-Rad Laboratoriesposted second-quarter 2019 adjusted earnings per share (EPS) of $1.57, which beat the Zacks Consensus Estimate by 12.9%. The bottom line however fell 4.3% from the prior-year quarter.
Reported EPS in the quarter was $19.86 compared with $8.87 a year ago.
Revenues in Detail
Revenues in the quarter totaled $572.6 million, beating the Zacks Consensus Estimate by 1.7%. Revenues fell 0.6% from the year-ago quarter (up 2.7% at constant currency or cc).
Per management, solid demand across many of its key product lines led to growth across most geographical regions.
Segmental Analysis
Sales at the Life Sciences segment in the second quarter totaled $212.4 million, down 2.5% year over year and 0.1% at cc. Excluding Process Media sales, the Life Science business saw 7.5% year-over-year growth on a currency neutral basis.
Net sales at Clinical Diagnostics segment totaled $357.1 million, up 0.9% on a year-over-year basis and 4.8% at cc. This upside was primarily driven by solid growth in Quality Controls, Immunology, and Diabetes product lines across all three geographies.
Margins
Gross profit in the reported quarter totaled $307.8 million, up 2% from the prior-year quarter. Gross margin came in at 53.7%, expanding 137 basis points (bps). Operating margin was 9.8%, up 224 bps.
2019 Guidance Reaffirmed
For 2019, the company has reaffirmed its revenue growth guidance at 4-4.5% (cc). The Zacks Consensus Estimate for the same is pegged at $2.35 billion.
How Have Estimates Been Moving Since Then?
Estimates review followed a downward path over the past two months. The consensus estimate has shifted -5.61% due to these changes.
VGM Scores
At this time, Bio-Rad has an average Growth Score of C, however its Momentum Score is doing a lot better with an A. However, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Bio-Rad has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.