tiprankstipranks
Trending News
More News >
Agilent (A)
NYSE:A
Advertisement

Agilent (A) AI Stock Analysis

Compare
3,109 Followers

Top Page

A

Agilent

(NYSE:A)

Rating:79Outperform
Price Target:
$136.00
▲(5.85% Upside)
Agilent's strong financial performance and positive earnings call are the most significant factors driving the score. Technical analysis supports a bullish outlook, though caution is advised due to valuation concerns. The company's strategic initiatives and market growth prospects provide a positive outlook, despite some challenges.
Positive Factors
Earnings
Agilent delivered a strong top-line beat-and-raise, indicating robust performance in its core business.
Financial Performance
Agilent Technologies experienced 6.1% organic growth, surpassing the consensus of 3.6%, with strong growth expected to continue.
Market Demand
Revenue of $1.738 billion came in approximately 4% ahead of the consensus, driven by strong performance in the Pharma and Chemical & Applied sectors.
Negative Factors
Demand Decline
A steep drop-off in U.S. demand for PFAS testing led to a significant decline in the Forensics & Environment segment.
Margin Pressure
Margins missed expectations by 150 basis points due to tariffs, foreign exchange impacts, and investments.
Tariff Impact
The company's operating margin was pressured by tariffs, which negatively impacted financial performance.

Agilent (A) vs. SPDR S&P 500 ETF (SPY)

Agilent Business Overview & Revenue Model

Company DescriptionAgilent Technologies, Inc. provides application focused solutions to the life sciences, diagnostics, and applied chemical markets worldwide. The Life Sciences and Applied Markets segment offers liquid chromatography systems and components; liquid chromatography mass spectrometry systems; gas chromatography systems and components; gas chromatography mass spectrometry systems; inductively coupled plasma mass spectrometry instruments; atomic absorption instruments; microwave plasma-atomic emission spectrometry instruments; inductively coupled plasma optical emission spectrometry instruments; raman spectroscopy; cell analysis plate based assays; flow cytometer; real-time cell analyzer; cell imaging systems; microplate reader; laboratory software; information management and analytics; laboratory automation and robotic systems; dissolution testing; vacuum pumps, and measurement technologies. The Diagnostics and Genomics segment provides arrays for DNA mutation detection, genotyping, gene copy number determination, identification of gene rearrangements, DNA methylation profiling, gene expression profiling, next generation sequencing, target enrichment and genetic data management, and interpretation support software; and produces synthesized oligonucleotide. It also offers immunohistochemistry in situ hybridization, and hematoxylin and eosin staining and special staining; consumables, and software for quality control analysis of nucleic acid samples; and reagents for use in turbidimetry and flow cytometry, as well as develops liquid-based pharmacodiagnostics. The Agilent CrossLab segment provides GC and LC columns, sample preparation products, custom chemistries, and laboratory instrument supplies; and startup, operational, training, compliance support, software as a service, asset management, and consultation services. The company markets its products through direct sales, distributors, resellers, manufacturer's representatives, and electronic commerce. Agilent Technologies, Inc. was incorporated in 1999 and is headquartered in Santa Clara, California.
How the Company Makes MoneyAgilent generates revenue through multiple streams, primarily from the sale of its analytical instruments, consumables, and services. The company’s revenue model is heavily reliant on its product sales, which includes both hardware and software, alongside ongoing services and support contracts. Key revenue streams include the sale of high-margin consumables that accompany their instrumentation, maintenance agreements, and software licenses. Additionally, Agilent benefits from strategic partnerships with organizations in various industries, enhancing its market reach and product offerings. The company also invests in research and development to innovate and expand its product lines, which contributes to sustained revenue growth.

Agilent Key Performance Indicators (KPIs)

Any
Any
Revenue by End Market
Revenue by End Market
Shows revenue distribution across various industries, indicating which sectors are key to the company's success and where there might be opportunities or vulnerabilities.
Chart InsightsAgilent's revenue from Pharmaceutical and Biopharmaceutical markets has been declining since early 2023, reflecting slower biopharma recovery due to funding challenges. However, Diagnostics and Clinical markets are showing strong growth, supported by an 8% increase, as highlighted in the earnings call. Environmental and Forensics also saw robust growth, driven by a surge in PFAS testing demand. Despite challenges in academia and government markets, Agilent's strategic initiatives and new product launches are enhancing growth prospects, with a focus on digital ecosystem investments and pricing strategies to improve efficiency.
Data provided by:Main Street Data

Agilent Earnings Call Summary

Earnings Call Date:Aug 27, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Dec 01, 2025
Earnings Call Sentiment Neutral
The earnings call reflected a strong performance with revenue and growth exceeding expectations, driven by significant gains in key markets and regions. However, pressures from tariffs and margin challenges, along with specific market declines, balanced the positive aspects.
Q3-2025 Updates
Positive Updates
Revenue and Earnings Beat Expectations
Agilent reported $1.74 billion in revenue for Q3, surpassing guidance, and achieved earnings per share of $1.37. The company has raised its fiscal 2025 full-year revenue guidance to $6.91 to $6.93 billion.
Continued Growth in Pharma and Chemicals Markets
Core revenue growth in pharma was 9%, driven by small molecule demand and adoption of the Infinity Tree LC platform. Chemicals and advanced materials grew 10%, supported by semiconductor and chemical sector investments.
Strong Geographic Performance
Broad-based growth was reported across all regions, with Asia ex-China growing 10% and EMEA showing a 7% increase. India showed exceptional growth at 20%.
Successful Cost Management and Innovation
The Ignite enterprise operating model delivered double-digit savings in key cost categories. Innovation drivers include the Infinity Tree LC platform, Pro IQ LCMS system, and DACO OMDAS family.
Negative Updates
Tariff and Margin Pressures
Tariff expenses were higher than expected, driven by increased shipment volumes and inventory, impacting Q3 margins. The company anticipates full tariff mitigation by FY 2026.
Challenges in the US Market
Continued challenges in the US biopharma and academia/government sectors, with muted biopharma spending and difficult compares for US federal spending.
Environmental Forensics Market Decline
Environmental forensics saw a decline due to cautious capital spending following changes in the US EPA, despite global growth in the PFAS business.
Company Guidance
During the Agilent Technologies, Inc. Third Quarter 2025 Earnings Conference Call, the company provided updated guidance reflecting strong financial performance and positive momentum. Agilent reported third-quarter revenue of $1.74 billion, surpassing their projections, with earnings per share at $1.37. This marked the fifth consecutive quarter of sequential core revenue acceleration, with quarterly growth rates improving from 1.2% in Q1 to 6.1% in Q3. Agilent raised its fiscal 2025 full-year revenue guidance to a range of $6.91 to $6.93 billion, representing a core growth of 4.5% at the midpoint, which is a $150 million increase from the prior guidance. The guidance anticipates Q4 revenue to be the largest of the year with nearly $100 million higher than Q3 at the midpoint, driven by broad-based demand across various markets, including pharma and chemicals, which grew by 9% and 10% respectively. Despite ongoing tariff costs, Agilent expects significant margin improvement in Q4, with a targeted operating margin improvement of approximately 230 basis points. The company remains confident in its ability to fully mitigate the impact of tariffs by 2026, supported by its Ignite enterprise operating model that has already delivered double-digit savings in key cost categories.

Agilent Financial Statement Overview

Summary
Agilent's financial performance is strong, with solid profitability and efficient operations. The income statement shows consistent margins, though revenue growth has been inconsistent. The balance sheet is robust, but rising debt levels need monitoring. Cash flow is positive, indicating good cash management despite some volatility.
Income Statement
85
Very Positive
Agilent's income statement reflects strong profitability with a consistent gross profit margin above 50% and a solid net profit margin around 18-19%. The EBIT and EBITDA margins are healthy, indicating efficient operations. However, the revenue growth rate has been inconsistent, with a slight decline in recent periods, which could be a concern for future growth.
Balance Sheet
78
Positive
The balance sheet is robust with a moderate debt-to-equity ratio around 0.5, suggesting manageable leverage. Return on equity is strong, consistently above 19%, indicating effective use of equity. The equity ratio is stable, reflecting a solid capital structure. However, the increase in total debt over recent periods should be monitored.
Cash Flow
82
Very Positive
Agilent's cash flow statement shows a positive trend in free cash flow growth, particularly in the TTM period. The operating cash flow to net income ratio is strong, indicating good cash generation relative to earnings. The free cash flow to net income ratio is also healthy, suggesting efficient cash management. However, fluctuations in free cash flow growth in previous years highlight potential volatility.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue6.79B6.51B6.83B6.85B6.32B5.34B
Gross Profit3.60B3.54B3.46B3.72B3.41B2.84B
EBITDA1.73B1.87B1.70B1.91B1.76B1.23B
Net Income1.22B1.29B1.24B1.25B1.21B719.00M
Balance Sheet
Total Assets12.23B11.85B10.76B10.53B10.71B9.63B
Cash, Cash Equivalents and Short-Term Investments1.53B1.33B1.59B1.05B1.57B1.44B
Total Debt3.41B3.57B2.73B2.77B2.73B2.36B
Total Liabilities5.86B5.95B4.92B5.23B5.32B4.75B
Stockholders Equity6.37B5.90B5.84B5.30B5.39B4.87B
Cash Flow
Free Cash Flow1.40B1.37B1.47B1.02B1.30B802.00M
Operating Cash Flow1.50B1.75B1.77B1.31B1.49B921.00M
Investing Cash Flow-1.26B-1.26B-310.00M-338.00M-749.00M-147.00M
Financing Cash Flow-490.00M-752.00M-930.00M-1.37B-696.00M-717.00M

Agilent Technical Analysis

Technical Analysis Sentiment
Positive
Last Price128.48
Price Trends
50DMA
118.79
Positive
100DMA
114.71
Positive
200DMA
123.44
Positive
Market Momentum
MACD
2.34
Negative
RSI
67.59
Neutral
STOCH
91.17
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For A, the sentiment is Positive. The current price of 128.48 is above the 20-day moving average (MA) of 120.01, above the 50-day MA of 118.79, and above the 200-day MA of 123.44, indicating a bullish trend. The MACD of 2.34 indicates Negative momentum. The RSI at 67.59 is Neutral, neither overbought nor oversold. The STOCH value of 91.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for A.

Agilent Risk Analysis

Agilent disclosed 35 risk factors in its most recent earnings report. Agilent reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Agilent Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$31.24B26.7419.80%3.53%-10.72%
79
Outperform
$35.50B29.3619.88%0.76%4.48%-11.52%
78
Outperform
$184.10B28.2213.44%0.34%2.05%7.03%
70
Outperform
$17.65B26.1537.03%5.89%10.61%
69
Neutral
$145.92B43.286.68%0.59%-3.24%-16.60%
69
Neutral
$26.28B32.13-680.23%3.11%8.50%
51
Neutral
$7.90B-0.33-41.70%2.23%23.45%-1.99%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
A
Agilent
128.48
-8.82
-6.42%
DHR
Danaher
199.03
-64.29
-24.42%
MTD
Mettler-Toledo
1,287.79
-98.72
-7.12%
TMO
Thermo Fisher
489.49
-115.41
-19.08%
WAT
Waters
299.69
-31.62
-9.54%
IQV
IQVIA Holdings
184.08
-64.06
-25.82%

Agilent Corporate Events

Executive/Board ChangesFinancial Disclosures
Agilent CFO Resignation Announced, Interim Replacement Named
Neutral
Jul 15, 2025

On July 11, 2025, Agilent Technologies announced the resignation of Robert W. McMahon, its Senior Vice President and Chief Financial Officer, effective July 31, 2025, due to personal reasons. Rodney Gonsalves, the current Vice President, Corporate Controller, and Principal Accounting Officer, will serve as interim CFO. Agilent remains confident in its long-term plans and expects its third-quarter financial results to align with previous guidance.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 29, 2025