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Avantor Falls To Critical Levels As CEO Signals Investment Year Amid Soft Guidance
Benzinga· 2026-02-11 18:42
Core Viewpoint - Avantor's shares are nearing critical lows due to a decline in organic sales and lower-than-expected earnings guidance for fiscal 2026 [1][4]. Financial Performance - Avantor reported sales of $1.66 billion, slightly above the consensus estimate of $1.64 billion, but experienced a year-over-year decline of 1.4% [1]. - The company faced a 4.1% decline in organic sales, influenced by a positive foreign currency translation impact of 3.1% and a negative M&A impact of 0.4% [1][2]. - Laboratory Solutions sales were $1.116 billion, reflecting a 0.9% decrease, while Bioscience Production sales were $548 million, down 2.4% [1][2]. Guidance and Expectations - For fiscal 2026, Avantor expects adjusted earnings per share to be between 77 cents and 83 cents, below the consensus of 90 cents [4]. - The company anticipates organic revenue to decline between 2.5% and 0.5%, with an adjusted EBITDA margin projected between 14.8% and 15.3% [4]. - Free cash flow for 2026 is expected to be between $500 million and $550 million [4]. Analyst Insights - Avantor shares are trading at 11.4 times the midpoint of the 2026 adjusted EBITDA guidance, compared to peers at 17.6 times and its own average of 15.5 times as a public company [5]. - Analysts note that while there is potential for outperformance as end-markets recover and cost savings are realized, the company's growth and margin profile remain below peers, justifying the current discount [6]. - The stock is rated as Market Perform by analysts [6]. Stock Performance - Avantor shares are down 15.46% at $9.44, with a trading range for the day between $9.86 and $8.89, and currently 4.7% above its 52-week low [7].
X @The Wall Street Journal
The Wall Street Journal· 2025-11-29 09:32
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/CkKQHabzPu ...
X @The Wall Street Journal
The Wall Street Journal· 2025-11-22 12:15
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/rnwSA56dva ...
X @The Wall Street Journal
The Wall Street Journal· 2025-11-16 14:59
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/MVHpIv4UC2 ...
X @The Wall Street Journal
The Wall Street Journal· 2025-11-09 09:31
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/MUfxOiivEO ...
X @The Wall Street Journal
The Wall Street Journal· 2025-10-04 11:23
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/P3rx7IuYLR ...
X @The Wall Street Journal
The Wall Street Journal· 2025-08-30 07:52
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/iXNf1sAIm7 ...
X @The Wall Street Journal
The Wall Street Journal· 2025-08-29 13:36
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/d2eabvmWOy https://t.co/nHQkUINknd ...
X @The Wall Street Journal
The Wall Street Journal· 2025-08-28 05:12
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/W0tNdkiPeP ...
X @The Wall Street Journal
The Wall Street Journal· 2025-08-26 02:49
Hooters thinks it’s the perfect moment for a revival. First, it needs to be “re-Hooterized.” https://t.co/EnGdGkRRRf ...