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) to Report Q4 Earnings: What's in the Cards?
Read MoreHide Full Article
Bio-Rad Laboratories, Inc. (BIO - Free Report) is slated to report fourth quarter and full-year 2021 results on Feb 10, after the closing bell.
In the last-reported quarter, the company’s earnings per share (EPS) of $3.71 surpassed the Zacks Consensus Estimate by 61.3%. Moreover, earnings beat the consensus estimate in the last four quarters. The trailing four-quarter average surprise is 71.34%.
Let's see how things are shaping up prior to the announcement.
Factors at Play
Bio-Rad has been witnessing substantial strength in end markets with a rebound in demand across both life science and diagnostic markets. However, we remain wary about the persistent supply-chain challenges, particularly in terms of the supply and cost of plastic raw materials, electronic components as well as rising logistics costs that have been limiting the company’s ability to meet customer demand.
Bio-Rad’s Life Science segment has been registering robust revenue growth since the past few quarters. We expect this growth momentum to have continued in the fourth quarter on the back of sustained growth in the company’s Polymerase Chain Reaction (PCR), Droplet Digital PCR (dPCR) and Process Media businesses. The company has also been witnessing strong growth in the biopharma market for the Droplet Digital PCR platform. Meanwhile, increased government funding toward public health labs is encouraging the use of ddPCR in wastewater solutions. These factors coupled with strong COVID-related demand due to resurgences in cases are expected to have made significant contributions to the fourth-quarter top line.
We anticipate Bio-Rad’s core qPCR business to benefit from continued robust adoption of the latest generation CFX Opus platform, as it did in the prior quarter. Added to this, during its third-quarter earnings call, the company noted that it has completed the acquisition of Dropworks. Notably, Dropworks is creating a droplet-based digital PCR system that can offer a more cost-effective solution to streamline the digital PCR workflow for life science research and diagnostic applications. The company expects this buyout to significantly expand qPCR business, which is likely to have had a positive impact on the company’s performance in the to-be-reported quarter.
During the third-quarter earnings update, the company noted that the recovery of routine testing contributed to significant revenue growth in the Clinical Diagnostics segment. We expect this trend to have continued through the fourth quarter, thereby driving growth in the Clinical Diagnostics arm across all product lines. The fourth-quarter top line is also likely to have gained from its existing collaboration with Seegene, a global provider of multiplex molecular diagnostics.
Apart from this, the emergence of the Omicron variant is likely to have led to an increase in demand for Bio-Rad's products, including molecular qPCR and ddPCR instruments and assays, antibody tests, quality controls, thus making significant contributions to the top line.
Estimate Picture
The Zacks Consensus Estimate for Bio-Rad’s fourth-quarter revenues is pegged at $737.1 million, which implies a decline of 6.7% from the year-ago figure.
The consensus estimate for earnings per share is pegged at $2.87, suggesting a fall of 28.4% from the prior-year reported figure.
What Our Model Suggests
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) along with a positive Earnings ESP has higher chances of beating estimates. However, this is not the case here as you can see:
Earnings ESP: Bio-Rad has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3.
Stocks Worth a Look
Here are a few stocks worth considering, as these have the right combination of elements to beat on earnings this reporting cycle.
LabCorp’s long-term earnings growth rate is estimated at 10.6%. LH’s earnings yield of 6.8% compares favorably with the industry’s 4.3%.
AMN Healthcare Services, Inc. (AMN - Free Report) has an Earnings ESP of +10.29% and a Zacks Rank of #1. AMN Healthcare is slated to release fourth quarter and full-year 2021 results on Feb 17.
AMN Healthcare’s long-term earnings growth rate is estimated at 16.2%. AMN’s earnings yield of 6.4% compares favorably with the industry’s 0.9%.
Henry Schein, Inc. (HSIC - Free Report) has an Earnings ESP of +1.94% and a Zacks Rank of #2. Henry Schein will report fourth quarter and full-year 2021 results on Feb 15.
Henry Schein’s long-term earnings growth rate is estimated at 11.8%. HSIC’s earnings yield of 6.1% compares favorably with the industry’s 4.3%.
Image: Bigstock
Bio-Rad (BIO) to Report Q4 Earnings: What's in the Cards?
Bio-Rad Laboratories, Inc. (BIO - Free Report) is slated to report fourth quarter and full-year 2021 results on Feb 10, after the closing bell.
In the last-reported quarter, the company’s earnings per share (EPS) of $3.71 surpassed the Zacks Consensus Estimate by 61.3%. Moreover, earnings beat the consensus estimate in the last four quarters. The trailing four-quarter average surprise is 71.34%.
Let's see how things are shaping up prior to the announcement.
Factors at Play
Bio-Rad has been witnessing substantial strength in end markets with a rebound in demand across both life science and diagnostic markets. However, we remain wary about the persistent supply-chain challenges, particularly in terms of the supply and cost of plastic raw materials, electronic components as well as rising logistics costs that have been limiting the company’s ability to meet customer demand.
Bio-Rad’s Life Science segment has been registering robust revenue growth since the past few quarters. We expect this growth momentum to have continued in the fourth quarter on the back of sustained growth in the company’s Polymerase Chain Reaction (PCR), Droplet Digital PCR (dPCR) and Process Media businesses. The company has also been witnessing strong growth in the biopharma market for the Droplet Digital PCR platform. Meanwhile, increased government funding toward public health labs is encouraging the use of ddPCR in wastewater solutions. These factors coupled with strong COVID-related demand due to resurgences in cases are expected to have made significant contributions to the fourth-quarter top line.
BioRad Laboratories, Inc. Price and EPS Surprise
BioRad Laboratories, Inc. price-eps-surprise | BioRad Laboratories, Inc. Quote
We anticipate Bio-Rad’s core qPCR business to benefit from continued robust adoption of the latest generation CFX Opus platform, as it did in the prior quarter. Added to this, during its third-quarter earnings call, the company noted that it has completed the acquisition of Dropworks. Notably, Dropworks is creating a droplet-based digital PCR system that can offer a more cost-effective solution to streamline the digital PCR workflow for life science research and diagnostic applications. The company expects this buyout to significantly expand qPCR business, which is likely to have had a positive impact on the company’s performance in the to-be-reported quarter.
During the third-quarter earnings update, the company noted that the recovery of routine testing contributed to significant revenue growth in the Clinical Diagnostics segment. We expect this trend to have continued through the fourth quarter, thereby driving growth in the Clinical Diagnostics arm across all product lines. The fourth-quarter top line is also likely to have gained from its existing collaboration with Seegene, a global provider of multiplex molecular diagnostics.
Apart from this, the emergence of the Omicron variant is likely to have led to an increase in demand for Bio-Rad's products, including molecular qPCR and ddPCR instruments and assays, antibody tests, quality controls, thus making significant contributions to the top line.
Estimate Picture
The Zacks Consensus Estimate for Bio-Rad’s fourth-quarter revenues is pegged at $737.1 million, which implies a decline of 6.7% from the year-ago figure.
The consensus estimate for earnings per share is pegged at $2.87, suggesting a fall of 28.4% from the prior-year reported figure.
What Our Model Suggests
Per our proven model, a stock with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) along with a positive Earnings ESP has higher chances of beating estimates. However, this is not the case here as you can see:
Earnings ESP: Bio-Rad has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #3.
Stocks Worth a Look
Here are a few stocks worth considering, as these have the right combination of elements to beat on earnings this reporting cycle.
Laboratory Corporation of America Holdings (LH - Free Report) or LabCorp has an Earnings ESP of +9.21% and a Zacks Rank of #3. LabCorp will release fourth quarter and full-year 2021 results on Feb 10. You can see the complete list of today’s Zacks #1 Rank stocks here.
LabCorp’s long-term earnings growth rate is estimated at 10.6%. LH’s earnings yield of 6.8% compares favorably with the industry’s 4.3%.
AMN Healthcare Services, Inc. (AMN - Free Report) has an Earnings ESP of +10.29% and a Zacks Rank of #1. AMN Healthcare is slated to release fourth quarter and full-year 2021 results on Feb 17.
AMN Healthcare’s long-term earnings growth rate is estimated at 16.2%. AMN’s earnings yield of 6.4% compares favorably with the industry’s 0.9%.
Henry Schein, Inc. (HSIC - Free Report) has an Earnings ESP of +1.94% and a Zacks Rank of #2. Henry Schein will report fourth quarter and full-year 2021 results on Feb 15.
Henry Schein’s long-term earnings growth rate is estimated at 11.8%. HSIC’s earnings yield of 6.1% compares favorably with the industry’s 4.3%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.