Latest news with #QuidelOrtho
Yahoo
20 hours ago
- Business
- Yahoo
QDEL Q1 Earnings Call: Cost Savings and Tariff Mitigation Anchor 2025 Outlook
Healthcare diagnostics company QuidelOrtho (NASDAQ:QDEL) met Wall Street's revenue expectations in Q1 CY2025, but sales fell by 2.6% year on year to $692.8 million. The company's outlook for the full year was close to analysts' estimates with revenue guided to $2.71 billion at the midpoint. Its non-GAAP profit of $0.74 per share was 24.9% above analysts' consensus estimates. Is now the time to buy QDEL? Find out in our full research report (it's free). Revenue: $692.8 million vs analyst estimates of $689.8 million (2.6% year-on-year decline, in line) Adjusted EPS: $0.74 vs analyst estimates of $0.59 (24.9% beat) Adjusted EBITDA: $159.8 million vs analyst estimates of $149.4 million (23.1% margin, 7% beat) The company reconfirmed its revenue guidance for the full year of $2.71 billion at the midpoint Management reiterated its full-year Adjusted EPS guidance of $2.32 at the midpoint EBITDA guidance for the full year is $595 million at the midpoint, in line with analyst expectations Operating Margin: 4.7%, up from -247% in the same quarter last year Market Capitalization: $2.09 billion QuidelOrtho's first quarter results were shaped by growth in its core laboratories segment, stable immunohematology performance, and a robust flu testing season, offset by lower COVID-related and donor screening revenues. CEO Brian Blaser highlighted that the labs business, now over half of total revenue, delivered 7% year-over-year growth, while immunohematology grew 4%. Blaser credited the company's ongoing cost reduction initiatives—including staffing cuts and procurement efficiencies—for a 450 basis point improvement in adjusted EBITDA margin. The company also benefited from increased sales of its COVID-flu combination tests, which Blaser described as showing 'very stable performance,' helping mitigate the broader decline in COVID-only testing volumes. Management characterized the quarter as further evidence that its 2024 operational changes are positively impacting profitability and business stability. Looking ahead, QuidelOrtho's management sees its narrowed set of strategic priorities—expanding platform content, margin improvement, and targeted commercial execution—as key drivers for 2025. Blaser emphasized the company's plans to fully offset anticipated tariff headwinds, noting, 'We believe the incremental actions we are taking are sufficient to fully offset the tariff impacts as they stand today.' The company expects recurring revenues from consumables to underpin stability, supported by a diversified manufacturing footprint. CFO Joe Busky added that visibility into labs and immunohematology growth in China supports a mid- to high-single-digit outlook for that market, assuming the tariff environment remains unchanged. Management remains focused on delivering cost savings and maintaining profitability targets, while monitoring for potential shifts in COVID and flu testing demand. Management attributed the quarter's performance to solid growth in non-COVID segments, benefits from prior cost-reduction actions, and strong execution in the labs and flu testing businesses. Labs business momentum: Core laboratories led growth, with consistent demand in clinical chemistry and immunoassay testing, representing over half of Q1 revenue. Immunohematology stability: The immunohematology segment maintained its global leadership with steady 4% growth, particularly benefiting from strength in the Europe, Middle East, and Africa region. Flu and combo testing resilience: Sales of flu tests and the COVID-flu combination test remained strong, offsetting the expected decline in pure COVID testing. The durability of the combo product contributed to recurring revenue streams. Cost savings initiatives: Operational changes—including staff reductions, procurement efficiencies, and expense controls—were credited with expanding non-GAAP margins and reducing operating costs. Management expects further incremental savings in 2025. Tariff mitigation efforts: The company outlined a multi-pronged strategy to counter expected $30–40 million tariff headwinds. Actions include re-sourcing materials, adjusting supply chains, selective pricing, and ongoing inventory repositioning. Management stated these steps are expected to fully neutralize tariff effects on financial results. QuidelOrtho's outlook for 2025 is anchored by recurring revenue growth in core segments, ongoing cost control, and strategies to manage external headwinds such as tariffs. Recurring consumables revenue: Management highlighted that over 90% of sales stem from consumables, providing a stable revenue foundation less susceptible to one-time instrument sales volatility. The company expects this model to drive consistent growth, especially in labs and immunohematology. Cost discipline and savings: The company is on track to realize the remainder of its $100 million annualized cost savings program, with additional procurement and cash flow initiatives expected to deliver a further $30–50 million in savings during 2025. These efforts are intended to support margin expansion even as the company faces external cost pressures. Tariff and macro environment management: Expected tariff headwinds are being addressed through supply chain adjustments, selective price increases, and cost reductions. Management expressed confidence that these measures will allow QuidelOrtho to maintain its guidance even if the tariff situation evolves, but noted that ongoing monitoring is required due to the dynamic nature of global trade policy. In the coming quarters, the StockStory team will be watching (1) the pace at which cost savings and procurement initiatives translate into sustained margin gains, (2) the impact of tariff mitigation actions on both supply chain flexibility and pricing power, and (3) any changes in demand for respiratory testing—particularly the COVID-flu combination test. Progress on Savanna respiratory panel submission and broader product pipeline developments will also serve as key signposts for tracking execution. QuidelOrtho currently trades at a forward P/E ratio of 12.1×. Is the company at an inflection point that warrants a buy or sell? The answer lies in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
Business Insider
2 days ago
- Business
- Business Insider
Analysts Offer Insights on Healthcare Companies: QuidelOrtho (QDEL), Addus Homecare (ADUS) and Cytokinetics (CYTK)
There's a lot to be optimistic about in the Healthcare sector as 3 analysts just weighed in on QuidelOrtho (QDEL – Research Report), Addus Homecare (ADUS – Research Report) and Cytokinetics (CYTK – Research Report) with bullish sentiments. Confident Investing Starts Here: QuidelOrtho (QDEL) In a report issued on June 5, Conor McNamara from RBC Capital maintained a Buy rating on QuidelOrtho, with a price target of $60.00. The company's shares closed last Monday at $30.21, close to its 52-week low of $29.74. According to McNamara is ranked 0 out of 5 stars with an average return of -22.5% and a 18.4% success rate. McNamara covers the Healthcare sector, focusing on stocks such as Maravai Lifesciences Holdings, Bio-Rad Laboratories, and SOPHiA GENETICS. QuidelOrtho has an analyst consensus of Moderate Buy, with a price target consensus of $45.00, which is a 48.4% upside from current levels. In a report issued on June 5, Craig-Hallum also maintained a Buy rating on the stock with a $60.00 price target. Addus Homecare (ADUS) In a report released yesterday, Ryan Daniels from William Blair maintained a Buy rating on Addus Homecare. The company's shares closed last Monday at $116.56. According to Daniels is a 4-star analyst with an average return of 8.4% and a 49.6% success rate. Daniels covers the Healthcare sector, focusing on stocks such as Definitive Healthcare Corp, Pediatrix Medical Group, and Lifestance Health Group. Addus Homecare has an analyst consensus of Strong Buy, with a price target consensus of $135.17, representing a 18.7% upside. In a report issued on June 1, Jefferies also maintained a Buy rating on the stock with a $160.00 price target. Cytokinetics (CYTK) In a report issued on June 5, Leonid Timashev from RBC Capital maintained a Buy rating on Cytokinetics, with a price target of $80.00. The company's shares closed last Monday at $33.13. According to Timashev is a 3-star analyst with an average return of 2.9% and a 42.7% success rate. Timashev covers the Healthcare sector, focusing on stocks such as NewAmsterdam Pharma Company, Perspective Therapeutics, and Edgewise Therapeutics. The word on The Street in general, suggests a Strong Buy analyst consensus rating for Cytokinetics with a $75.21 average price target, a 128.3% upside from current levels. In a report issued on May 26, Stifel Nicolaus also maintained a Buy rating on the stock with a $87.00 price target.
Yahoo
6 days ago
- Business
- Yahoo
QuidelOrtho (QDEL) Down 18% Since Last Earnings Report: Can It Rebound?
It has been about a month since the last earnings report for QuidelOrtho (QDEL). Shares have lost about 18% in that time frame, underperforming the S&P 500. Will the recent negative trend continue leading up to its next earnings release, or is QuidelOrtho due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts. It turns out, fresh estimates have trended downward during the past month. The consensus estimate has shifted -90.57% due to these changes. Currently, QuidelOrtho has a great Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. Charting a somewhat similar path, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, QuidelOrtho has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. QuidelOrtho belongs to the Zacks Medical - Products industry. Another stock from the same industry, SurModics (SRDX), has gained 9.5% over the past month. More than a month has passed since the company reported results for the quarter ended March 2025. SurModics reported revenues of $28.08 million in the last reported quarter, representing a year-over-year change of -12.1%. EPS of -$0.13 for the same period compares with $0.07 a year ago. For the current quarter, SurModics is expected to post a loss of $0.21 per share, indicating a change of +22.2% from the year-ago quarter. The Zacks Consensus Estimate has changed -100% over the last 30 days. The overall direction and magnitude of estimate revisions translate into a Zacks Rank #4 (Sell) for SurModics. Also, the stock has a VGM Score of C. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report QuidelOrtho Corporation (QDEL) : Free Stock Analysis Report Surmodics, Inc. (SRDX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research 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
27-05-2025
- Business
- Yahoo
Luxfer, LGI Homes, QuidelOrtho, Dentsply Sirona, and AdaptHealth Stocks Trade Up, What You Need To Know
A number of stocks jumped in the afternoon session after the major indices rebounded (Nasdaq +2.0%, S&P 500 +2.0%) as President Trump postponed the planned 50% tariff on European Union imports, shifting the start date to July 9, 2025. Companies with substantial business ties to Europe likely had some relief as the delay reduced near-term cost pressures and preserved cross-border demand. The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Among others, the following stocks were impacted: General Industrial Machinery company Luxfer (NYSE:LXFR) jumped 5.1%. Is now the time to buy Luxfer? Access our full analysis report here, it's free. Home Builders company LGI Homes (NASDAQ:LGIH) jumped 5.1%. Is now the time to buy LGI Homes? Access our full analysis report here, it's free. Medical Devices & Supplies - Imaging, Diagnostics company QuidelOrtho (NASDAQ:QDEL) jumped 7%. Is now the time to buy QuidelOrtho? Access our full analysis report here, it's free. Dental Equipment & Technology company Dentsply Sirona (NASDAQ:XRAY) jumped 5%. Is now the time to buy Dentsply Sirona? Access our full analysis report here, it's free. Senior Health, Home Health & Hospice company AdaptHealth (NASDAQ:AHCO) jumped 5.8%. Is now the time to buy AdaptHealth? Access our full analysis report here, it's free. QuidelOrtho's shares are very volatile and have had 27 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. The previous big move we wrote about was 15 days ago when the stock gained 5.9% on the news that the major indices popped (Nasdaq +3.4%, S&P 500 +2.5%) in response to the positive outcome of U.S.-China trade negotiations, as both sides agreed to pause some tariffs for 90 days, signaling a potential turning point in ongoing tensions. This rollback cuts U.S. tariffs on Chinese goods to 30% and Chinese tariffs on U.S. imports to 10%, giving companies breathing room to reset inventories and supply chains. However, President Trump clarified that tariffs could go "substantially higher" if a full deal with China wasn't reached during the 90-day pause, but not all the way back to the previous levels. Still, the agreement has cooled fears of a prolonged trade war, helping stabilize expectations for global growth and trade flows and fueling renewed optimism. The optimism appeared concentrated in key trade-sensitive sectors, particularly technology, retail, and industrials, as lower tariffs reduce cost pressures and restore cross-border demand. QuidelOrtho is down 30.7% since the beginning of the year, and at $31.23 per share, it is trading 34.4% below its 52-week high of $47.61 from January 2025. Investors who bought $1,000 worth of QuidelOrtho's shares 5 years ago would now be looking at an investment worth $198.30. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. 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
16-05-2025
- Business
- Yahoo
1 Cash-Burning Stock for Long-Term Investors and 2 to Steer Clear Of
Rapid spending isn't always a sign of progress. Some cash-burning businesses fail to convert investments into meaningful competitive advantages, leaving them vulnerable. Negative cash flow can lead to trouble, but StockStory helps you identify the businesses that stand a chance of making it through. Keeping that in mind, here is one high-risk, high-reward company with the potential to scale into a market leader and two that could run into serious trouble. Trailing 12-Month Free Cash Flow Margin: -1.7% Known for mattresses that can be adjusted with regards to firmness, Sleep Number (NASDAQ:SNBR) manufactures and sells its own brand of bedding products such as mattresses, bed frames, and pillows. Why Do We Steer Clear of SNBR? Poor same-store sales performance over the past two years indicates it's having trouble bringing new shoppers into its brick-and-mortar locations Estimated sales decline of 4.6% for the next 12 months implies an even more challenging demand environment Short cash runway increases the probability of a capital raise that dilutes existing shareholders Sleep Number is trading at $10.13 per share, or 2.1x forward EV-to-EBITDA. Read our free research report to see why you should think twice about including SNBR in your portfolio, it's free. Trailing 12-Month Free Cash Flow Margin: -1.3% Born from the 2022 merger of Quidel and Ortho Clinical Diagnostics, QuidelOrtho (NASDAQ:QDEL) develops and manufactures diagnostic testing solutions for healthcare providers, from rapid point-of-care tests to complex laboratory instruments and systems. Why Are We Out on QDEL? Constant currency revenue growth has disappointed over the past two years and shows demand was soft Free cash flow margin dropped by 28.6 percentage points over the last five years, implying the company became more capital intensive as competition picked up Diminishing returns on capital suggest its earlier profit pools are drying up QuidelOrtho's stock price of $33.67 implies a valuation ratio of 12.9x forward P/E. Check out our free in-depth research report to learn more about why QDEL doesn't pass our bar. Trailing 12-Month Free Cash Flow Margin: -24% Pioneering the concept of "agile aerospace" with hundreds of small but powerful satellites, Planet Labs (NYSE:PL) operates the world's largest fleet of Earth observation satellites, capturing daily images of our planet to provide insights on deforestation, agriculture, and climate change. Why Will PL Outperform? Impressive 20.6% annual revenue growth over the last five years indicates it's winning market share this cycle Earnings per share have massively outperformed its peers over the last four years, increasing by 49% annually Cash burn has become less severe over the last five years, showing the company is making some progress toward financial sustainability At $3.91 per share, Planet Labs trades at 82.5x forward EV-to-EBITDA. Is now a good time to buy? See for yourself in our comprehensive research report, it's free. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Sign in to access your portfolio
