Bio-Rad Laboratories (NYSE:BIO) Shares Gap Up on Strong Earnings

Key Points

• Bio-Rad Laboratories shares gapped up significantly from a previous close of $241.95 to an opening price of $270.93 following a quarterly earnings report that exceeded analysts' expectations.
• The company reported $2.61 earnings per share, beating the consensus estimate by $0.68, with quarterly revenue of $651.60 million also surpassing expectations.
• Analysts have varied opinions on Bio-Rad, with recent price objectives being reduced, yet the stock holds an average rating of "Moderate Buy" and a consensus target price of $324.25.

Bio-Rad Laboratories, Inc. (NYSE:BIO - Get Free Report)'s share price gapped up before the market opened on Friday following a stronger than expected earnings report. The stock had previously closed at $241.95, but opened at $270.93. Bio-Rad Laboratories shares last traded at $283.85, with a volume of 86,463 shares.

The medical research company reported $2.61 earnings per share for the quarter, topping analysts' consensus estimates of $1.93 by $0.68. The company had revenue of $651.60 million during the quarter, compared to the consensus estimate of $614.82 million. Bio-Rad Laboratories had a positive return on equity of 4.32% and a negative net margin of 85.16%. The firm's quarterly revenue was up 2.1% on a year-over-year basis. During the same quarter in the previous year, the company posted $3.11 earnings per share.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on the company. UBS Group dropped their price objective on Bio-Rad Laboratories from $355.00 to $310.00 and set a "buy" rating for the company in a report on Friday, May 2nd. Citigroup dropped their price objective on Bio-Rad Laboratories from $400.00 to $350.00 and set a "buy" rating for the company in a report on Friday, May 2nd. Wells Fargo & Company dropped their price objective on Bio-Rad Laboratories from $260.00 to $245.00 and set an "equal weight" rating for the company in a report on Monday, June 9th. Wall Street Zen cut Bio-Rad Laboratories from a "buy" rating to a "hold" rating in a research note on Sunday, July 13th. Finally, Royal Bank Of Canada reduced their price objective on Bio-Rad Laboratories from $409.00 to $392.00 and set an "outperform" rating for the company in a research report on Friday, May 2nd. Two research analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $324.25.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of BIO. American Century Companies Inc. boosted its position in Bio-Rad Laboratories by 6.0% during the fourth quarter. American Century Companies Inc. now owns 5,599 shares of the medical research company's stock valued at $1,839,000 after purchasing an additional 315 shares during the last quarter. LPL Financial LLC raised its stake in Bio-Rad Laboratories by 34.3% in the fourth quarter. LPL Financial LLC now owns 5,195 shares of the medical research company's stock valued at $1,707,000 after buying an additional 1,326 shares during the period. Prudential Financial Inc. raised its stake in Bio-Rad Laboratories by 173.3% in the fourth quarter. Prudential Financial Inc. now owns 5,968 shares of the medical research company's stock valued at $1,961,000 after buying an additional 3,784 shares during the period. Norges Bank bought a new stake in Bio-Rad Laboratories in the fourth quarter valued at approximately $41,644,000. Finally, Pictet Asset Management Holding SA raised its stake in Bio-Rad Laboratories by 0.7% in the fourth quarter. Pictet Asset Management Holding SA now owns 13,118 shares of the medical research company's stock valued at $4,309,000 after buying an additional 91 shares during the period. 65.24% of the stock is owned by institutional investors and hedge funds.

Bio-Rad Laboratories Stock Up 17.3%

The company has a quick ratio of 4.43, a current ratio of 5.99 and a debt-to-equity ratio of 0.18. The firm has a 50 day simple moving average of $239.98 and a 200-day simple moving average of $261.37. The stock has a market cap of $7.72 billion, a P/E ratio of -3.73 and a beta of 0.95.

Bio-Rad Laboratories Company Profile

Bio-Rad Laboratories, Inc manufactures and distributes life science research and clinical diagnostic products in the United States, Europe, Asia, Canada, and Latin America. It operates through two segments, Life Science and Clinical Diagnostics. The company develops, manufactures, and markets instruments, systems, reagents, and consumables to separate, purify, characterize, and quantitate biological materials such as cells, proteins, and nucleic acids for proteomics, genomics, biopharmaceutical production, cellular biology, and food safety markets.

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