Bio-Techne’s Stock Performance Shows Uneven Path Despite Strong Earnings

Headquartered in Minneapolis, Minnesota, Bio-Techne Corporation (TECH) stands as a key player in the life sciences sector, committed to enhancing biomedical research and diagnostics. With a market cap of $10.4 billion, the company specializes in developing advanced reagents, instruments, and diagnostic tools that aid healthcare providers, laboratories, and researchers.

Stock Struggles Amid Market Growth

Over the past year, Bio-Techne shares have struggled compared to the broader market. The stock has dropped 6% while the S&P 500 Index ($SPX) has increased nearly 22.3%. In 2025 alone, Bio-Techne’s stock is down 8.5%, whereas the SPX shows a modest gain of 4% year to date.

Trailing Behind Competitors and Industry ETFs

When looking at the iShares Biotechnology ETF (IBB), Bio-Techne also falls short with only 1.3% growth over the past year and just 3.3% increase year to date.

Earnings Report Shows Encouragement

Despite these challenges, Bio-Techne’s stock surged by 3.7% on February 5 after the release of its Q2 2025 earnings. The company reported a revenue of $297 million, reflecting a 9% year-over-year growth and surpassing analyst expectations of $285.3 million. Its non-GAAP EPS was $0.42, beating the anticipated $0.38. The adjusted EBITDA stood at $96.1 million, with a solid 32.4% margin. Furthermore, the operating margin has improved to 16% compared to 13.9% in the previous year, and the free cash flow margin rose to 26.1%.

Outlook for Future Growth

Looking ahead, analysts project Bio-Techne will achieve a 6.4% year-over-year growth in adjusted EPS, reaching $1.67 for the current fiscal year, which concludes in June. The company’s history of exceeding earnings expectations is notable, having beaten consensus estimates in the last four quarters.

Analysts Maintain Optimism

Currently, Bio-Techne stock holds a consensus “Strong Buy” rating. Among 13 analysts following the stock, 10 recommend a “Strong Buy” while three suggest a “Hold” rating.

Price Target Adjustments Reflect Confidence

On February 6, Scotiabank analyst Sung Ji Nam increased Bio-Techne’s price target to $90 from $88, maintaining an “Outperform” rating due to the promising Q2 results and improving demand in the biopharma sector. The average price target of $87.25 indicates a potential upside of 32.3% from current levels, while the highest target of $95 suggests a significant possible increase of 44.1%.

On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.

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