Hologic, Inc. (HOLX), based in Marlborough, MA, has seen its shares drop 10.8% year-to-date, underperforming the industry’s decline of 7.8% and the S&P 500’s 6.2% gain. This downturn is attributed to a difficult macroeconomic environment, which has resulted in poorer-than-expected revenue growth for fiscal year 2025, including a 1.2% year-over-year decrease in the second quarter.
In Q2 fiscal 2025, Hologic reported revenues affected by a $9 million negative impact from a stronger U.S. dollar and a significant drop in Breast Health revenues, specifically a 7.4% decrease linked to lower sales of mammography capital equipment. Analysts have revised earnings estimates downward by 2.1% over the past 90 days for fiscal 2025, now forecasting EPS of $4.19. In contrast, competitors like QIAGEN and Abbott have seen earnings estimates trend upward.
Despite its challenges, Hologic maintains a strong financial position with $1.43 billion in cash and equivalents as of March-end. The company also reaffirmed its revenue guidance while adjusting its adjusted EPS forecast down to the range of $4.15-$4.25. The outlook remains cautious due to tariff pressures and ongoing operational headwinds, resulting in a Zacks Rank of #4 (Sell) for the stock.
