Bio-Techne (NASDAQ:TECH) Stock Price Down 9.7% - Here's What Happened

Key Points

• Bio-Techne Corp's stock price dropped by 9.7% during mid-day trading on Wednesday, falling to a low of $47.66 from a previous close of $54.64.
• Despite the drop, Wall Street analysts maintain a consensus rating of "Moderate Buy" with an average price target of $69.58, with some analysts upgrading their ratings to "strong-buy."
• The company has announced a quarterly dividend of $0.08 per share and approved a $500 million share repurchase program, indicating management's belief in the stock's undervaluation.

Bio-Techne Corp (NASDAQ:TECH - Get Free Report)'s stock price dropped 9.7% during mid-day trading on Wednesday . The company traded as low as $47.66 and last traded at $49.36. Approximately 680,780 shares changed hands during mid-day trading, a decline of 66% from the average daily volume of 2,012,432 shares. The stock had previously closed at $54.64.

Wall Street Analysts Forecast Growth

Several equities analysts have issued reports on the stock. Wells Fargo & Company assumed coverage on shares of Bio-Techne in a research note on Friday, May 30th. They issued an "overweight" rating and a $59.00 price objective on the stock. Stephens upgraded shares of Bio-Techne to a "strong-buy" rating and set a $65.00 price objective for the company in a research note on Tuesday, July 22nd. Wall Street Zen lowered Bio-Techne from a "buy" rating to a "hold" rating in a research note on Sunday, June 8th. KeyCorp reaffirmed a "sector weight" rating on shares of Bio-Techne in a report on Wednesday, April 9th. Finally, Royal Bank Of Canada decreased their price objective on shares of Bio-Techne from $72.00 to $63.00 and set a "sector perform" rating on the stock in a research report on Thursday, May 8th. Seven analysts have rated the stock with a hold rating, six have assigned a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $69.58.

Bio-Techne Trading Down 10.2%

The company has a quick ratio of 2.58, a current ratio of 3.71 and a debt-to-equity ratio of 0.16. The business's fifty day moving average is $52.19 and its 200-day moving average is $56.65. The stock has a market capitalization of $7.69 billion, a PE ratio of 59.70, a P/E/G ratio of 2.63 and a beta of 1.40.

Bio-Techne (NASDAQ:TECH - Get Free Report) last announced its quarterly earnings results on Wednesday, May 7th. The biotechnology company reported $0.56 earnings per share for the quarter, topping analysts' consensus estimates of $0.51 by $0.05. The firm had revenue of $316.18 million during the quarter, compared to analysts' expectations of $317.92 million. Bio-Techne had a net margin of 10.89% and a return on equity of 13.17%. The firm's revenue was up 4.2% on a year-over-year basis. During the same period in the prior year, the company earned $0.48 EPS. As a group, analysts anticipate that Bio-Techne Corp will post 1.67 EPS for the current fiscal year.

Bio-Techne Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 29th. Stockholders of record on Monday, August 18th will be paid a dividend of $0.08 per share. This represents a $0.32 dividend on an annualized basis and a dividend yield of 0.7%. Bio-Techne's dividend payout ratio is currently 39.02%.

Bio-Techne declared that its board has approved a share repurchase program on Wednesday, May 7th that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the biotechnology company to repurchase up to 6.5% of its shares through open market purchases. Shares buyback programs are usually an indication that the company's management believes its stock is undervalued.

Institutional Investors Weigh In On Bio-Techne

A number of large investors have recently added to or reduced their stakes in the company. CX Institutional purchased a new stake in shares of Bio-Techne during the first quarter worth about $27,000. Itau Unibanco Holding S.A. acquired a new stake in Bio-Techne during the fourth quarter valued at approximately $41,000. AlphaQuest LLC acquired a new position in shares of Bio-Techne in the 1st quarter worth approximately $34,000. GeoWealth Management LLC bought a new stake in shares of Bio-Techne in the 4th quarter valued at approximately $43,000. Finally, Federated Hermes Inc. bought a new stake in shares of Bio-Techne in the 1st quarter valued at approximately $41,000. 98.95% of the stock is owned by institutional investors and hedge funds.

Bio-Techne Company Profile

Bio-Techne Corporation, together with its subsidiaries, develops, manufactures, and sells life science reagents, instruments, and services for the research and clinical diagnostic markets in the United States, the United Kingdom, rest of Europe, Middle East, and Africa, Greater China, rest of Asia-Pacific, and internationally.

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