12 Best Diagnostics Stocks to Invest In Right Now

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5. IDEXX Laboratories, Inc. (NASDAQ:IDXX)

Number of Hedge Fund Holders: 58

IDEXX Laboratories, Inc. (NASDAQ:IDXX) develops, manufactures, and distributes products and services for the livestock and poultry, animal veterinary, dairy, and water testing markets. It operates through the following segments: Companion Animal Group (CAG), Water Quality Products (Water), Livestock, Poultry, and Dairy (LPD), and Other.

The company’s revenue for fiscal Q4 2024 surpassed estimates of $935 million, reaching $954 million. EPS came in at $2.62, exceeding the anticipated $2.40. Its CAG diagnostics segment registered a 6% growth, driving the overall positive earnings performance.

IDEXX Laboratories, Inc. (NASDAQ:IDXX) is focusing on innovation, recently introducing the inVue Dx™ Cellular Analyzer to streamline veterinary workflows. It is continually expanding its diagnostics portfolio, supported by R&D investments and the anticipated launch of a canine lymphoma diagnostic tool. The company’s growth strategy is based on attaining success in international markets and emphasizing high-margin consumables.

Its 2025 guidance reflects optimism, as management anticipates a sales growth of 4% to 7%. EPS is expected to jump between 10% and 15%. IDEXX Laboratories, Inc. (NASDAQ:IDXX) also has considerable expansion opportunities, as North America currently drives 65% of its revenue, while Asia-Pacific and Europe represent untapped potential. On March 18, Mark Massaro from BTIG reiterated a buy rating for the company with a price target of $530.00. It ranks fifth on our list of the 12 best diagnostics stocks to buy now.

Conestoga Capital Advisors stated the following regarding IDEXX Laboratories, Inc. (NASDAQ:IDXX) in its Q4 2024 investor letter:

“IDEXX Laboratories, Inc. (NASDAQ:IDXX) is the industry leader in providing instruments (and consumables) used in diagnostics, detection, and information systems for veterinary, food, and water testing applications. Earnings for the quarter were mixed, and forward guidance was lowered. Shares were pressured as clinical visits across the industry remain weak, with an unprecedented 10 of 11 recent quarters seeing negative US same-store vet visits. These recent trends should normalize over time as the secular demand remains robust.”

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