Bio-Rad Laboratories, Inc. develops, manufactures, and markets products and solutions for the life science research and clinical diagnostic markets in Europe, the United States, Canada, and Latin America. The company offers products and systems to separate complex chemical and biological materials, as well as to identify, analyze, and purify components.
Business Growth In The Last Fiscal Year
Bio Rad Laboratories Inc shows sales growth of 1%, which is not large.In spite of that, BIO grows, which is always good. The gross profit ratio is positive and equal to 54%.Last year, the company reported sales of $2311.659 million.
BIO reports EBITDA growth of 326%, and an EBITDA ratio of 17%.The EBITDA grows because the cost of revenue declined a -1%.Note that general and administrative expenses declined a -2%.Furthermore, operating income is another valuable feature of BIO.The company’s operating income grows at 326% y/y.I also appreciate that net income grew a 381%.In my opinion, net income grows because interest expenses declined a -2%.Moreover, money managers will most likely appreciate that BIO’s EPS grew 260%.With this in mind, either you buy shares or not, BIO is a company to be followed carefully.
Bio Rad Laboratories Inc’s asset/liability ratio is more significant than 3x.Thus, Bio Rad Laboratories Inc’s balance sheet appears very healthy. Bio Rad Laboratories Inc showed $12020 million in assets.Total liabilities were equal to $3195 million.BIO has total investments worth $2147 million.I think that shareholders need to do their own research about the company’s investments.The real value of the investments may be more very significant than its book value.Furthermore, Bio Rad Laboratories Inc has positive working capital, which shareholders will like.It means that BIO can cover its short-term liabilities when they come due.
BIO’s short term debt is less significant than the company’s cash and cash equivalents.I think that Bio Rad Laboratories Inc may not have to worry about any liquidity risk.BIO’s debt to equity ratio is below 2x.Therefore, the debt level is under control.Notice that Bio Rad Laboratories Inc reports cash and cash equivalents of $840 million, and net debt of $-401 million.BIO trades at 27x EBITDA, which may not seem cheap.In spite of that, with the company’s EBITDA margin of 17% the EV/EBITDA ratio makes sense.
BIO reported quarterly sales of $647 million, and gross profit of $367 million.The gross profit ratio was equal to 56%.Furthermore, the company’s R&D expenses were equal to $59.546 million, with selling and marketing expenses of $19.8165 million.Moreover, BIO is profitable, which is useful.Bio Rad Laboratories Inc released positive quarterly EBITDA of $144 million.Taking this into account, many investors will most likely have a look at BIO.BIO also showed positive net income of $1314.824 million.The numbers seem favorable.
I assume sales of $2589 million.So, BIO trades at 0.6x forward sales.In my view, it can be justified due to the fact that Bio Rad Laboratories Inc has decent margins.
The following BIO’s insiders acquired or sold equity recently.BIO’s traders will most likely study this information:
+In 2021-02-19, officer: EVP, General Counsel & Sec ERNST TIMOTHY S acquired equity of BIO.
+In 2021-02-19, officer: EVP, General Counsel & Sec ERNST TIMOTHY S sold stock of BIO.
+In 2021-02-19, officer: EVP, General Counsel & Sec ERNST TIMOTHY S sold equity of BIO.
If you see an error, please contact the editor. We don’t own BIO’s shares, and this is our opinion. We do not offer a recommendation to buy or sell any stock.