Latest news with #Becton
Yahoo
5 days ago
- Business
- Yahoo
BD (NYSE:BDX) Reports Q2 In Line With Expectations, Stock Soars
Medical technology company Becton, Dickinson and Company (NYSE:BDX) met Wall Street's revenue expectations in Q2 CY2025, with sales up 8.9% year on year to $5.51 billion. The company's outlook for the full year was close to analysts' estimates with revenue guided to $21.85 billion at the midpoint. Its non-GAAP profit of $3.68 per share was 8.2% above analysts' consensus estimates. Is now the time to buy BD? Find out in our full research report. BD (BDX) Q2 CY2025 Highlights: Revenue: $5.51 billion vs analyst estimates of $5.48 billion (8.9% year-on-year growth, in line) Adjusted EPS: $3.68 vs analyst estimates of $3.40 (8.2% beat) Adjusted EBITDA: $1.5 billion vs analyst estimates of $1.58 billion (27.2% margin, 5.2% miss) The company reconfirmed its revenue guidance for the full year of $21.85 billion at the midpoint Management raised its full-year Adjusted EPS guidance to $14.38 at the midpoint, a 1.2% increase Operating Margin: 16%, up from 11.9% in the same quarter last year Free Cash Flow Margin: 19%, down from 22.1% in the same quarter last year Constant Currency Revenue rose 8.5% year on year (2.9% in the same quarter last year) Market Capitalization: $49.41 billion Company Overview With a history dating back to 1897 and a presence in virtually every hospital around the globe, Becton Dickinson (NYSE:BDX) develops and manufactures medical supplies, devices, laboratory equipment and diagnostic products used by healthcare institutions and professionals worldwide. Revenue Growth Reviewing a company's long-term sales performance reveals insights into its quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. Unfortunately, BD's 5.5% annualized revenue growth over the last five years was mediocre. This was below our standard for the healthcare sector and is a tough starting point for our analysis. We at StockStory place the most emphasis on long-term growth, but within healthcare, a half-decade historical view may miss recent innovations or disruptive industry trends. BD's annualized revenue growth of 6% over the last two years aligns with its five-year trend, suggesting its demand was consistently weak. We can better understand the company's sales dynamics by analyzing its constant currency revenue, which excludes currency movements that are outside their control and not indicative of demand. Over the last two years, its constant currency sales averaged 5.8% year-on-year growth. Because this number aligns with its normal revenue growth, we can see that BD has properly hedged its foreign currency exposure. This quarter, BD grew its revenue by 8.9% year on year, and its $5.51 billion of revenue was in line with Wall Street's estimates. Looking ahead, sell-side analysts expect revenue to grow 5.7% over the next 12 months, similar to its two-year rate. This projection is above the sector average and suggests its newer products and services will help sustain its recent top-line performance. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Operating Margin Operating margin is an important measure of profitability as it shows the portion of revenue left after accounting for all core expenses – everything from the cost of goods sold to advertising and wages. It's also useful for comparing profitability across companies with different levels of debt and tax rates because it excludes interest and taxes. BD's operating margin has been trending up over the last 12 months and averaged 11.7% over the last five years. Its profitability was higher than the broader healthcare sector, showing it did a decent job managing its expenses. Looking at the trend in its profitability, BD's operating margin might fluctuated slightly but has generally stayed the same over the last five years. This raises questions about the company's expense base because its revenue growth should have given it leverage on its fixed costs, resulting in better economies of scale and profitability. This quarter, BD generated an operating margin profit margin of 16%, up 4.1 percentage points year on year. This increase was a welcome development and shows it was more efficient. Earnings Per Share We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company's growth is profitable. BD's decent 5.9% annual EPS growth over the last five years aligns with its revenue performance. This tells us its incremental sales were profitable. In Q2, BD reported adjusted EPS at $3.68, up from $3.50 in the same quarter last year. This print beat analysts' estimates by 8.2%. Over the next 12 months, Wall Street expects BD's full-year EPS of $14.27 to grow 1%. Key Takeaways from BD's Q2 Results It was encouraging to see BD beat analysts' EPS expectations this quarter. We were also happy its full-year EPS guidance narrowly outperformed Wall Street's estimates. Overall, this print had some key positives. The stock traded up 7.8% to $185.91 immediately following the results. Big picture, is BD a buy here and now? We think that the latest quarter is just one piece of the longer-term business quality puzzle. Quality, when combined with valuation, can help determine if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
25-07-2025
- Business
- Yahoo
Earnings Preview: What to Expect From Becton, Dickinson and Company's Report
Becton, Dickinson and Company (BDX) develops, manufactures, and sells medical supplies, devices, laboratory equipment, and diagnostic products. Valued at $52.3 billion by market cap, the company offers solutions that help advance medical research and genomics, enhance the diagnosis of infectious diseases and cancer, improve medication management, and promote infection prevention. The global medical technology giant is expected to announce its fiscal third-quarter earnings for 2025 before the market opens on Thursday, Aug. 7. Ahead of the event, analysts expect BDX to report a profit of $3.42 per share on a diluted basis, down 2.3% from $3.50 per share in the year-ago quarter. The company has consistently surpassed Wall Street's EPS estimates in its last four quarterly reports. More News from Barchart UnitedHealth Stock Spirals Lower Again. Don't Buy the Dip. This Self-Driving Car Stock Is Surging on a Major Nvidia Boost Auto Revenue Keeps Plunging at Tesla. Should You Buy the TSLA Stock Dip or Run Far Away? Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. For the full year, analysts expect BDX to report EPS of $14.17, up 7.8% from $13.14 in fiscal 2024. Its EPS is expected to rise 3.4% year over year to $14.65 in fiscal 2026. BDX stock has significantly underperformed the S&P 500 Index's ($SPX) 17.3% gains over the past 52 weeks, with shares down 22.6% during this period. Similarly, it underperformed the Health Care Select Sector SPDR Fund's (XLV) 9.4% dip over the same time frame. BDX's underperformance is attributed to a software recall in its Alaris infusion pump systems. Software issues in the Alaris Systems Manager and Care Coordination Engine Infusion Adapter can cause delayed responses and potentially incorrect therapy administration, posing risks to patient safety. The recall affects critical components that integrate the pump with hospital electronic medical record systems. On May 1, BDX shares closed down more than 18% after reporting its Q2 results. Its adjusted EPS of $3.35 exceeded Wall Street's expectations of $3.28. The company's revenue was $5.3 billion, falling short of Wall Street forecasts of $5.4 billion. BDX expects full-year adjusted EPS in the range of $14.06 to $14.34, and expects revenue in the range of $21.8 billion to $21.9 billion. Analysts' consensus opinion on BDX stock is reasonably bullish, with an overall 'Moderate Buy' rating. Out of 17 analysts covering the stock, seven advise a 'Strong Buy' rating, one suggests a 'Moderate Buy,' and nine give a 'Hold.' BDX's average analyst price target is $213.71, indicating a potential upside of 16.4% from the current levels. On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Yahoo
24-07-2025
- Business
- Yahoo
BD announces wearable injector trial for subcutaneous delivery of biologics
Becton, Dickinson and Company (BD) has announced a trial utilising the BD Libertas wearable injector for subcutaneous delivery of biologics. The decision to employ the injector in this first pharmaceutical-sponsored combination product trial comes after positive results from more than 50 pre-clinical and clinical studies carried out by BD. The company noted that a device clinical trial among these studies highlighted the performance, with all subjects indicating their willingness to use the injector if prescribed. BD Pharmaceutical Systems worldwide president Patrick Jeukenne said: "This trial demonstrates BD's commitment to helping pharma companies by advancing large-volume injection science, ensuring therapies are accessible and patient-friendly by offering more efficient and convenient options for biologics. "BD's enhanced testing capabilities acquired through ZebraSci and the proven capabilities of the BD Libertas Wearable Injector technology further position BD as an innovative leader in drug delivery." The prefilled, patient-ready-to-use system is said to support delivery of high-viscosity biologics of up to 50 centipoise. It comes in two volume configurations, 2mL to 5mL and 5mL to 10mL, catering to various therapeutic needs. Additionally, its design features a simple "peel, stick and click" mechanism, eliminating the need for user filling or assembly. The injector also includes a transparent window for monitoring the drug delivery, push-button activation, along with a colour-coded status indicator. The company is currently validating fill-finish and final assembly processes with several contract manufacturing organisations (CMOs) to ensure support for pharmaceutical collaborators from development to commercial-scale production. As a device component intended for drug-device combination products, it is not subject to US Food and Drug Administration (FDA) 510(k) clearance or European Union (EU) CE mark certification. In April 2025, BD secured the 510(k) clearance for the Phasix ST umbilical hernia patch, enabling the product's commercial launch. "BD announces wearable injector trial for subcutaneous delivery of biologics" was originally created and published by Medical Device Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
15-07-2025
- Business
- Yahoo
Becton, Dickinson and Company (BDX) Traded Down on Weak Earnings
Oakmark Funds, advised by Harris Associates, released its 'Oakmark Global Fund' second quarter 2025 investor letter. The fund underperformed its benchmark, the MSCI World Index (net), in the second quarter. A copy of the letter can be downloaded here. The largest performance contributors were industrials and financials, at the sector level, while health care and energy detracted. In addition, you can check the top 5 holdings of the fund to know its best picks in 2025. In its second quarter 2025 investor letter, Oakmark Global Fund highlighted stocks such as Becton, Becton, Dickinson and Company (NYSE:BDX). Becton, Dickinson and Company (NYSE:BDX) is a medical device company that develops and manufactures medical supplies, devices, laboratory equipment, and diagnostic products. The one-month return of Becton, Dickinson and Company (NYSE:BDX) was 4.21%, and its shares lost 23.24% of their value over the last 52 weeks. On July 14, 2025, Becton, Dickinson and Company (NYSE:BDX) stock closed at $177.09 per share with a market capitalization of $50.755billion. Oakmark Global Fund stated the following regarding Becton, Dickinson and Company (NYSE:BDX) in its second quarter 2025 investor letter: "Becton, Dickinson and Company (NYSE:BDX) was the top de tractor during the quarter. The U.S.-headquartered health care equipment company's stock price declined after it delivered weak fiscal second-quarter 2025 earnings. The earnings were negatively im pacted by several headwinds including research spending cuts, volume-based procurement challenges in China and pharma syringe destocking. In our view, the market is overlooking Becton Dickin son's strong margin progress and operational improvements. We believe the company can lever age its prowess for innovation and low-cost manufacturing to unlock further value." A surgeon performing a procedure in an operating room using a medical device supplied by the company. Becton, Dickinson and Company (NYSE:BDX) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 54 hedge fund portfolios held Becton, Dickinson and Company (NYSE:BDX) at the end of the first quarter, which was 56 in the previous quarter. While we acknowledge the potential of BDX) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. In another article, we covered Becton, Dickinson and Company (NYSE:BDX) and shared Heartland Mid Cap Value Fund's views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
CNBC
14-07-2025
- Business
- CNBC
Waters to buy Becton Dickinson unit in a $17.5 billion deal amid tariff pressures
Lab equipment maker Waters Corp will buy a bioscience and diagnostics unit spun off from medtech provider Becton Dickinson in a stock-and-cash transaction valued at $17.5 billion, the companies said on Monday. Becton Dickinson, which had been underperforming in recent months and was targeted by activists, will exit a tariff-sensitive segment of diagnostics and biosciences while doubling down on core medtech, where it may have greater pricing power and a stronger domestic manufacturing base. BD had disclosed plans to separate the business — which makes products used to detect infectious diseases and cancers — in February, then rumored to be worth around $30 billion. The acquisition gives greater scale for Waters, a provider of analytical technologies serving life sciences and diagnostics markets, and the company is expected to double its total addressable market to about $40 billion, with a healthy 5% to 7% annual growth rate. The merged entity may be able to leverage BD's existing U.S.-based manufacturing and regulatory infrastructure to mitigate tariff costs. Still, investor reaction was cautious. Waters shares were down 11.5% at $312.19 and Becton shares were down 0.7% at $174.68 on Monday afternoon, reflecting doubts over the complexity and execution risks associated with the deal's structure, according to JP Morgan analysts. The deal "leaves value creation dependent on the successful integration and execution by Waters management," said JP Morgan analyst Robbie Marcus. Jefferies analysts echoed the sentiment, noting that the deal added complexity to Waters' once-clear growth strategy. The combined business will be led by Waters CEO Udit Batra, widely credited for orchestrating the $17 billion Merck KGaA acquisition of Sigma-Aldrich in 2015, an experience Jefferies analysts said lends credibility to the complex integration process ahead. Becton was underperforming both revenue growth and margins, said Jeff Jonas, portfolio manager at Gabelli Funds, which owns shares of both BD and Waters Corp. In May, BD lowered its annual profit forecast in anticipation of a potential hit from U.S. President Donald Trump's tariffs. "It (BD) can benefit from a more focused management," Jonas said. The deal announced on Monday is structured as a so-called Reverse Morris Trust, which allows a company to avoid a big tax bill by spinning off a unit that it wants to divest while simultaneously merging it with another company. Waters shareholders are expected to own approximately 61% of the combined company. Waters will assume about $4 billion in incremental debt to pay BD $4 billion in cash distribution as part of the transaction. Becton shareholders will own about 39% of the new company, which will trade under Waters' stock symbol.
