Azenta (AZTA) Earnings Preview: What to Expect on November 12th
Investors are gearing up for Azenta’s (AZTA) upcoming quarterly earnings release on Tuesday, November 12th, 2024. The life sciences solutions provider is expected to report an earnings per share (EPS) of $0.10, according to analysts. As with any earnings announcement, investors are eager to see if Azenta surpasses estimates and provides positive guidance for the next quarter.
For new investors, it’s essential to remember that stock prices can be significantly influenced by future projections, not just past performance. This is particularly important to keep in mind when analyzing Azenta, as its recent historical performance has been mixed.
A Look Back: Historical Earnings Performance
During the last quarter, Azenta exceeded EPS expectations by $0.08. However, the following day, its share price dropped by 8.93%. This highlights the volatility that can accompany earnings announcements, even with positive results. Here’s a look at Azenta’s past performance and the resulting price change:
| Quarter | EPS Estimate | EPS Actual | Price Change (%) |
|———–|————–|————|——————|
| Q3 2024 | 0.08 | 0.16 | -9.0 |
| Q2 2024 | 0.02 | 0.05 | -3.0 |
| Q1 2024 | -0.03 | 0.02 | -2.0 |
| Q4 2023 | 0.02 | 0.13 | 14.000000000000002% |
Understanding Market Sentiment
In addition to historical performance, it’s crucial for investors to understand the current market sentiment and expectations surrounding Azenta. The consensus rating for Azenta is Neutral, based on 1 analyst rating. The average one-year price target of $50.0 implies a potential 11.66% upside. However, investors should be aware that analyst ratings can vary significantly, and it’s essential to consider a range of opinions.
Comparing Azenta to its Peers
To gain further insights into Azenta’s market position, let’s compare its analyst ratings and average 1-year price targets to three of its major industry peers: Fortrea Holdings, 10x Genomics, and BioLife Solns.
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Fortrea Holdings:
Consensus rating of Neutral, with an average one-year price target of $23.5, implying a potential 47.52% downside.*
10x Genomics:
Consensus rating of Outperform, with an average one-year price target of $24.75, implying a potential 44.73% downside.*
BioLife Solns:
Consensus rating of Buy, with an average one-year price target of $29.0, indicating a potential 35.24% downside.Key Findings: Peer Analysis Summary
| Company | Consensus | Revenue Growth (%) | Gross Profit (Millions) | Return on Equity (%) |
|——————-|———–|——————–|————————-|———————–|
| Azenta | Neutral | 4.13 | $69.06 | -0.31 |
| Fortrea Holdings | Neutral | -8.65 | $137.10 | -9.07 |
| 10x Genomics | Outperform| -1.30 | $106.39 | -4.94 |
| BioLife Solns | Buy | -3.11 | $14.89 | -6.33 |
Key Takeaway:
Azenta’s revenue growth stands out among its peers. However, it ranks lower in gross profit and return on equity. These metrics suggest that while Azenta is growing, it may face challenges in profitability and efficient use of resources.A Deeper Look into Azenta
Azenta Inc. is a leading provider of life sciences solutions that play a vital role in bringing groundbreaking therapies to market faster. The company offers a comprehensive suite of reliable cold-chain sample management solutions and genomic services, serving top pharmaceutical, biotech, academic, and healthcare institutions worldwide. Its operations are divided into two segments: Life Sciences Products and Life Sciences Services, with the latter generating the majority of its revenue.
Economic Impact: Key Metrics
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Market Capitalization:
Azenta’s market capitalization is relatively low, reflecting a smaller scale compared to its peers.*
Revenue Growth:
Azenta demonstrated impressive revenue growth of 4.13% in the three months ending June 30th, 2024. This surpasses the average growth rate of its peers in the Health Care sector.*
Net Margin:
Azenta’s net margin of -3.81% trails industry averages, suggesting potential challenges in cost management.*
Return on Equity (ROE):
Azenta’s ROE of -0.31% is superior to industry standards, highlighting the company’s effective use of shareholder equity capital.*
Return on Assets (ROA):
Azenta’s ROA of -0.27% is below industry standards, indicating possible difficulties in efficiently utilizing its assets.*
Debt Management:
Azenta’s debt-to-equity ratio of 0.04 is below industry norms, suggesting a healthy financial structure with low leverage.Stay Informed: Track Azenta’s Earnings
To stay up-to-date on all Azenta’s earnings releases, visit our earnings calendar. This will provide you with a comprehensive overview of the company’s financial performance and insights into its future trajectory.