Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Revvity (NYSE:RVTY) and the best and worst performers in the research tools & consumables industry.
The life sciences subsector specializing in research tools and consumables enables scientific discoveries across academia, biotechnology, and pharmaceuticals. These firms supply a wide range of essential laboratory products, ensuring a recurring revenue stream through repeat purchases and replenishment. Their business models benefit from strong customer loyalty, a diversified product portfolio, and exposure to both the research and clinical markets. However, challenges include high R&D investment to maintain technological leadership, pricing pressures from budget-conscious institutions, and vulnerability to fluctuations in research funding cycles. Looking ahead, this subsector stands to benefit from tailwinds such as growing demand for tools supporting emerging fields like synthetic biology and personalized medicine. There is also a rise in automation and AI-driven solutions in laboratories that could create new opportunities to sell tools and consumables. Nevertheless, headwinds exist. These companies tend to be at the mercy of supply chain disruptions and sensitivity to macroeconomic conditions that impact funding for research initiatives.
The 10 research tools & consumables stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 1.3% while next quarter’s revenue guidance was in line.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 10.8% since the latest earnings results.
Revvity (NYSE:RVTY)
Formerly known as PerkinElmer, Revvity (NYSE:RVTY) offers advanced diagnostic tools, scientific instruments, and services designed to support the pharmaceutical and biotechnology industries.
Revvity reported revenues of $729.4 million, up 4.8% year on year. This print was in line with analysts’ expectations, but overall, it was a slower quarter for the company with full-year revenue guidance slightly missing analysts’ expectations.
“We finished last year on a strong note positioning us well as we head into 2025,” said Prahlad Singh, president and chief executive officer of Revvity.
Revvity scored the highest full-year guidance raise of the whole group. Still, the market seems discontent with the results. The stock is down 15.7% since reporting and currently trades at $112.15.
Read our full report on Revvity here, it’s free.
Best Q4: Bio-Techne (NASDAQ:TECH)
Founded in 1976, Bio-Techne (NASDAQ:TECH) develops and manufactures reagents, instruments, and services for life science research, diagnostics, and biopharmaceutical production.
Bio-Techne reported revenues of $297 million, up 9% year on year, outperforming analysts’ expectations by 4.2%. The business had an exceptional quarter with a solid beat of analysts’ organic revenue estimates and a decent beat of analysts’ EPS estimates.
Bio-Techne pulled off the biggest analyst estimates beat among its peers. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 15.7% since reporting. It currently trades at $61.20.
Is now the time to buy Bio-Techne? Access our full analysis of the earnings results here, it’s free.
Weakest Q4: Avantor (NYSE:AVTR)
Founded in 1904, Avantor (NYSE:AVTR) provides products and services to customers in the life sciences, advanced technologies, and applied materials industries.
Avantor reported revenues of $1.69 billion, down 2.1% year on year, falling short of analysts’ expectations by 1.6%. It was a softer quarter as it posted a miss of analysts’ organic revenue estimates.
Avantor delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 24.3% since the results and currently trades at $16.41.
Read our full analysis of Avantor’s results here.
Thermo Fisher (NYSE:TMO)
Known for its involvement in the Human Genome Project, Thermo Fisher (NYSE:TMO) supplies instruments, laboratory equipment, and reagents for scientific research and healthcare.
Thermo Fisher reported revenues of $11.4 billion, up 4.7% year on year. This print surpassed analysts’ expectations by 1%. Zooming out, it was a mixed quarter as it also logged an impressive beat of analysts’ organic revenue estimates but a significant miss of analysts’ operating income estimates.
The stock is down 6.7% since reporting and currently trades at $529.99.
Read our full, actionable report on Thermo Fisher here, it’s free.
Waters Corporation (NYSE:WAT)
Founded in 1958, Waters Corporation (NYSE:WAT) develops and manufactures high-performance liquid chromatography (HPLC), mass spectrometry (MS), and thermal analysis systems for laboratories.
Waters Corporation reported revenues of $872.7 million, up 6.5% year on year. This number beat analysts’ expectations by 1.9%. Taking a step back, it was a mixed quarter as it also recorded a solid beat of analysts’ organic revenue estimates but revenue guidance for next quarter below analysts’ expectations.
The stock is down 6% since reporting and currently trades at $381.11.
Read our full, actionable report on Waters Corporation here, it’s free.
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