Life sciences company Avantor (NYSE: AVTR) will be reporting results this Wednesday before market hours. Here’s what investors should know.
Avantor beat analysts’ revenue expectations last quarter, reporting revenues of $1.58 billion, flat year on year. It was a very strong quarter for the company, with a solid beat of analysts’ organic revenue estimates and a beat of analysts’ EPS estimates.
Is Avantor a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Avantor’s revenue to decline 4.2% year on year, a further deceleration from the 1.1% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Avantor has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Avantor’s peers in the life sciences tools & services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Thermo Fisher delivered year-on-year revenue growth of 10.5%, beating analysts’ expectations by 2.4%, and Medpace reported revenues up 17.2%, topping estimates by 2.6%. Thermo Fisher traded up 7.9% following the results while Medpace was also up 14.7%.
Read our full analysis of Thermo Fisher’s results here and Medpace’s results here.
Investors in the life sciences tools & services segment have had steady hands going into earnings, with share prices up 1.9% on average over the last month. Avantor is up 16.1% during the same time and is heading into earnings with an average analyst price target of $10.44 (compared to the current share price of $11.64).
WHILE YOU’RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You’ve probably never heard of it.
This is what the early days of Palantir looked like before it became a giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE.
