Tecan Group AG (TECN) AI Stock Analysis

• Market Cap: CHF1.94B
• Dividend Yield: 2.31%
• Average Volume (3M): 44.12K
• Price to Earnings (P/E): 30.5
• Beta (1Y): 1.21
• Revenue Growth: -9.34%
• EPS Growth: -37.50%
• Country: CH
• Employees: 3,074
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 2.64
• Shares Outstanding: 12,825,883
• 10 Day Avg. Volume: 56,389
• 30 Day Avg. Volume: 44,118
• PEG Ratio: -0.78
• Price to Book (P/B): 1.80
• Price to Sales (P/S): 2.77
• P/FCF Ratio: 21.94
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF155.00
• Price Target Upside: 6.16% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: CHF162.00 ▲(10.96% Upside)

The score is driven primarily by solid financial health and cash generation, supported by a mixed but constructive earnings outlook (strong orders, maintained guidance, buyback) offset by revenue softness and external headwinds. Technicals look stretched with overbought signals, and valuation appears relatively expensive at ~30x earnings.

Positive Factors

Free Cash Flow Strength

Tecan's strong free cash flow generation provides durable internal funding for R&D, capex, M&A and shareholder returns (e.g., buybacks). Reliable cash conversion reduces reliance on external financing and supports resilience through industry cycles.

Balance Sheet/Equity Base

A robust equity ratio and falling debt-to-equity lower financial risk and give management flexibility to invest in product development, sustain operations through downturns, and pursue strategic actions without stressing liquidity or credit capacity.

Product Innovation & Pipeline

New launches like the Veya workstation and Duo Digital Dispenser demonstrate sustained R&D and expand automation offerings. Durable product innovation supports long-term differentiation, drives consumables/services attach rates, and helps capture structural lab automation demand.

Negative Factors

Revenue Decline

Persistent top-line declines reduce operating leverage and can erode margins and ROE over time. If demand softness persists, it limits the payoff from cost programs and product investments, making sustainable margin recovery and growth harder to achieve.

China Exposure & Partnering Weakness

Weak China sales, tender delays and a material Partnering Business decline highlight geographic and partner-concentration risks. Structural underperformance in these areas can slow revenue recovery, increase volatility of order flows, and weigh on long-term growth visibility.

Currency & Tariff Headwinds

Ongoing currency volatility and tariff exposure are structural margin risks. Persistent adverse FX and trade costs can compress margins, complicate pricing and supply chains, and limit the company's ability to translate improved volumes into sustained profit expansion.

Tecan Group AG Business Overview & Revenue Model

Company Description

Tecan Group AG (TECN) is a leading global provider of laboratory instruments and solutions in the life sciences sector. The company develops and manufactures a wide range of innovative products, including automated laboratory instruments, liquid handling systems, and software solutions for applications in drug discovery, genomics, and diagnostics. Tecan serves various sectors, including pharmaceuticals, biotechnology, and academic research, focusing on enhancing laboratory efficiency and productivity through automation and integration.

How the Company Makes Money

Tecan generates revenue primarily through the sale of its laboratory instruments, systems, and services. Key revenue streams include the sale of automated liquid handling solutions, which are critical for high-throughput laboratories, as well as software and accessories that complement their hardware offerings. Additionally, Tecan earns income from ongoing service contracts, maintenance, and support services associated with its products. The company also benefits from significant partnerships with other life sciences companies and research institutions, which can lead to collaborative projects and expanded market reach. Factors such as innovation in technology, strong customer relationships, and a growing demand for automation in laboratories contribute to Tecan's earnings.

Tecan Group AG Financial Statement Overview

Summary

Tecan Group AG demonstrates strong financial health with a stable equity base and effective cash flow management. However, recent declines in revenue and operating cash flow suggest the need for strategic initiatives to reinvigorate growth and maintain profitability.

Income Statement

Tecan Group AG has shown consistent revenue generation over the years, although recent revenue has declined from 2023 to 2024. Gross profit margin and net profit margin remain healthy, with a slight reduction in net income impacting overall profitability. The EBIT and EBITDA margins indicate stable operational efficiency, albeit with room for improvement.

Balance Sheet

The company maintains a strong equity position with a declining debt-to-equity ratio over the years, indicating reduced financial leverage. The equity ratio is robust, reflecting the company's reliance on equity financing. However, the return on equity has seen a decline, reflecting a need for more efficient use of equity capital.

Cash Flow

Tecan Group AG exhibits strong free cash flow generation, despite fluctuations in operating cash flow. The high free cash flow to net income ratio underscores efficient cash management. However, operating cash flow has declined recently, pointing to potential operational adjustments needed to sustain cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	906.60M	934.28M	1.07B	1.14B	946.62M	730.88M
Gross Profit	319.03M	320.60M	390.47M	405.32M	388.02M	339.86M
EBITDA	132.74M	147.80M	205.57M	210.85M	201.22M	154.99M
Net Income	63.13M	67.66M	132.07M	121.13M	121.66M	103.69M
Balance Sheet
Total Assets	1.94B	2.12B	2.07B	2.16B	2.04B	1.13B
Cash, Cash Equivalents and Short-Term Investments	397.00M	406.01M	366.42M	293.24M	241.91M	470.92M
Total Debt	322.04M	321.35M	316.09M	307.68M	313.66M	38.73M
Total Liabilities	656.74M	686.15M	725.06M	776.40M	800.26M	380.48M
Stockholders Equity	1.28B	1.44B	1.35B	1.36B	1.22B	733.65M
Cash Flow
Free Cash Flow	150.10M	117.86M	125.63M	91.24M	126.12M	166.13M
Operating Cash Flow	166.71M	148.54M	160.57M	127.47M	165.84M	207.42M
Investing Cash Flow	60.69M	-48.61M	-84.23M	-88.22M	-651.95M	-288.77M
Financing Cash Flow	-76.95M	-81.30M	-50.57M	-47.82M	458.53M	-35.33M

Tecan Group AG Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 146.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:TECN, the sentiment is Neutral. The current price of 146 is above the 20-day moving average (MA) of 130.42, above the 50-day MA of 136.24, and below the 200-day MA of 153.73, indicating a neutral trend. The MACD of 0.08 indicates Negative momentum. The RSI at 65.94 is Neutral, neither overbought nor oversold. The STOCH value of 92.51 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CH:TECN.

Tecan Group AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MOVE	71 Outperform	CHF3.36B	37.41	23.83%	0.45%	16.59%	65.76%
YPSN	70 Outperform	CHF4.71B	24.30	27.15%	0.67%	27.63%	160.67%
TECN	65 Neutral	CHF1.94B	30.48	4.57%	2.31%	-9.34%	-37.50%
SFZN	63 Neutral	CHF3.64B	22.92	15.79%	0.51%	0.77%	16.70%
MED	62 Neutral	CHF1.19B	-2,219.39	―	―	7.29%	-112.70%
SKAN	55 Neutral	CHF1.25B	77.41	―	0.77%	-3.45%	-49.82%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%