Avantor (AVTR) in the Hot Seat as Activist Investor Presses for Big Changes or Sale
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For context, Avantor is a life sciences company that supplies products and services for research, biopharma manufacturing, and healthcare.
Activist Investor Calls for Overhaul or Sale
According to market reports, Engine Capital plans to pressure Avantor to either sell the company or make changes such as refreshing its board, buying back shares, and selling non-core assets. The investment firm estimates Avantor could fetch $17–$19 per share, compared to Friday's closing price of $11.50.
The firm also believes Avantor's shares could reach up to $26 by the end of 2027 if the company implements the recommended changes on its own.
Avantor Struggles Amid Slowing Demand
Avantor is struggling with weaker demand from reduced government funding in research and education under the Trump administration. Last week, the company reported mixed Q2 2025 results. Avantor reported net sales of $1.68 billion, down 1% from last year, with FX gains offset by M&A-related declines, leaving organic revenue flat.
Year-to-date, AVTR stock has fallen more than 45%. This steep decline has set the stage for activist intervention. Notably, Engine Capital's push could boost shareholder value through a premium takeover or major strategic changes.
Is Avantor a Good Stock to Buy?
According to TipRanks, AVTR stock has received a Moderate Buy consensus rating based on eight Buys and 10 Holds assigned in the last three months. The average Avantor stock price target is $14.70, suggesting a potential upside of 28% from the current level.
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