Sartorius (SRT3) AI Stock Analysis

• Market Cap: €12.80B
• Dividend Yield: 0.3%
• Average Volume (3M): 153.86K
• Price to Earnings (P/E): 110.2
• Beta (1Y): 1.46
• Revenue Growth: 5.82%
• EPS Growth: 59.90%
• Country: DE
• Employees: 13,573
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 1.26
• Shares Outstanding: 37,440,000
• 10 Day Avg. Volume: 126,110
• 30 Day Avg. Volume: 153,863
• PEG Ratio: 1.32
• Price to Book (P/B): 6.31
• Price to Sales (P/S): 4.82
• P/FCF Ratio: 79.72
• 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: €263.20
• Price Target Upside: 27.64% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): 5.56
• Revenue Forecast (FY): €3.76B

• Rating: 46 Neutral
• Price Target: €202.00 ▼(-2.04% Downside)
• Action: Reiterated Date: 02/19/26
• Date: Action: Reiterated 02/19/26

The score is held back primarily by leveraged and weakening cash-flow conversion despite an operational recovery, plus bearish technical signals. A very high P/E with minimal dividend yield further reduces the margin of safety.

Positive Factors

Recurring consumables and services

Sartorius’s business model includes high-frequency consumables and service contracts that create recurring revenue and installed-base pull-through. This yields durable revenue visibility, customer stickiness, and predictable mid-term cash flows supporting reinvestment and margin stability over multiple quarters.

2025 revenue rebound and margin recovery

A strong 2025 revenue rebound with materially improved operating margins indicates operational leverage and execution on cost and pricing. Sustained margin recovery suggests the company can convert growth into operating profits, improving medium-term earnings resilience if the top-line trend persists.

Leading bioprocessing and lab portfolio

A broad portfolio spanning bioprocessing equipment, lab instruments, consumables, and software positions Sartorius across multiple stages of biologics R&D and manufacturing. This diversification into CDMOs, pharma and academic labs supports stable demand and cross-sell opportunities amid structural growth in biologics.

Negative Factors

Elevated financial leverage

A relatively high debt-to-equity ratio increases refinancing and interest-rate sensitivity, limiting strategic flexibility. Elevated leverage constrains the company’s ability to fund capex, M&A, or cushion revenue shocks without increasing financing costs or diluting shareholders over the medium term.

Weak cash conversion

A sizable drop in free cash flow and poor conversion of income to cash reduce capacity to pay down debt, invest, or return capital. If working-capital needs or capex remain elevated, the company may face prolonged pressure on liquidity and fewer options to strengthen the balance sheet.

Thin and volatile net margins

A sharp decline from 22% to ~4% net margin and recent revenue volatility signal vulnerability to cost inflation, pricing pressure, or non-operating items. Sustaining durable net profitability will require continued margin recovery, making earnings more uncertain across economic cycles.

Sartorius Business Overview & Revenue Model

Company Description

Sartorius Aktiengesellschaft provides bioprocess solutions and lab products and services worldwide. The company offers biosensors and kits, compliance tools, systems software, label-free detection systems, and SPR systems; live-cell analysis systems, flow cytometry platform, and cell analysis reagents and consumables; and antibody and recombinant protein media, viral vaccines media, regenerative medicine media, general media, downstream buffer, microcarrier, and stem cell media and reagent products, as well as strong acids, bases, and alcohols and detergents. It also provides multi-parallel bioreactors, benchtop bioreactors, single-use bioreactors, stainless steel bioreactors, cell culture bioreactors, microbial bioreactors, and software apps for bioreactors; membranes, blotting products, filter papers, glass and quartz microfibre products, and filtration equipment; syringe filters; and filtration devices, ultrafiltration devices, sterile filtration devices, harvesting devices, analytical sample prep systems, buffer exchange systems, diagnostic sample prep systems, particle analysis systems, pharmaceutical filtration systems, protein DNA concentration systems, venting moisture barriers, clarification systems, buffer and media products, and membrane chromatography products. In addition, the company offers process filtration products; process filtration products; process chromatography products; fluid management products; process analytical technology and data analytics; industrial microbiology systems; water purification systems; weighing systems; pipetting and dispensing systems; OEM systems; and centrifuges. Further, it provides bioprocess development and engineering, protein expression system, media and process, testing, instrument, and validation services. It serves the life science research, biopharmaceutical manufacturing, quality control and testing, and applied industries. The company was founded in 1870 and is headquartered in Göttingen, Germany.

How the Company Makes Money

Sartorius primarily makes money by selling products and solutions used by biopharmaceutical manufacturers, contract development and manufacturing organizations (CDMOs), and research and testing laboratories. A major revenue driver is recurring demand for consumables used in bioprocessing (such as single-use fluid management components and filtration-related products) that are repeatedly purchased as customers run batches and scale production; these are typically complemented by sales of supporting equipment and systems required to use those consumables in manufacturing workflows. The company also generates revenue from laboratory product sales, including instruments and associated consumables used in routine lab operations and quality control. In addition, Sartorius earns income from services tied to its installed base—such as maintenance, calibration/qualification, and other customer support services—alongside software and digital solutions where applicable. Overall, earnings are influenced by biologics production volumes, customer capacity expansions, and the breadth of Sartorius’s installed base that pulls through ongoing consumable and service demand.

Sartorius Financial Statement Overview

Summary

Income statement shows a strong 2025 revenue rebound and improved operating margins, but net margin remains thin versus prior peaks. Balance sheet leverage is a key constraint (debt-to-equity ~1.65). Cash flow quality weakened in 2025 with lower free cash flow and weak cash conversion versus net income.

Income Statement

Revenue rebounded strongly in 2025 (annual revenue growth ~59%), but the longer trend shows meaningful volatility with declines in 2023–2024 after a very strong 2022. Profitability has recovered from the 2024 trough (EBIT margin ~18% and EBITDA margin ~30% in 2025), yet net margin remains thin (~4%) and well below prior peaks (2022 net margin ~22%), suggesting higher costs, pricing pressure, and/or heavier non-operating burdens are still weighing on bottom-line conversion.

Balance Sheet

Leverage is the key constraint: debt remains elevated versus equity (debt-to-equity ~1.65 in 2025, and it spiked to ~2.57 in 2023). While equity has improved versus 2023, the capital structure is still relatively debt-heavy for a medical instruments supplier, which can limit flexibility if earnings weaken. Assets are sizable and stable, but the balance sheet profile is more leveraged than ideal and increases sensitivity to refinancing and profitability swings.

Cash Flow

Cash generation weakened notably in 2025: free cash flow fell ~35% and free cash flow covered only about one-third of net income (~0.33), indicating weaker cash conversion versus prior years (e.g., 2024 free cash flow to net income ~0.58). Operating cash flow remained positive, but the drop from 2024 alongside lower free cash flow suggests working-capital or investment demands increased, reducing the cash available for debt reduction, buybacks, or dividends.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.54B	3.38B	3.40B	4.17B	3.45B
Gross Profit	1.64B	1.52B	1.57B	2.20B	1.84B
EBITDA	1.07B	786.80M	873.10M	1.50B	945.12M
Net Income	154.90M	84.00M	205.20M	913.10M	426.98M
Balance Sheet
Total Assets	9.72B	10.10B	9.76B	6.98B	5.70B
Cash, Cash Equivalents and Short-Term Investments	541.40M	828.70M	394.20M	196.80M	360.99M
Total Debt	4.45B	4.56B	5.31B	2.54B	2.08B
Total Liabilities	5.85B	6.21B	7.00B	4.32B	3.98B
Stockholders Equity	2.71B	2.76B	2.07B	1.99B	1.26B
Cash Flow
Free Cash Flow	214.10M	566.30M	293.90M	211.60M	458.65M
Operating Cash Flow	656.00M	976.20M	853.60M	734.20M	865.81M
Investing Cash Flow	-513.50M	-425.80M	-2.82B	-1.13B	-569.61M
Financing Cash Flow	-410.60M	-128.30M	2.17B	209.90M	-165.18M

Sartorius Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 206.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:SRT3, the sentiment is Negative. The current price of 206.2 is below the 20-day moving average (MA) of 223.25, below the 50-day MA of 235.78, and below the 200-day MA of 222.48, indicating a bearish trend. The MACD of -6.62 indicates Positive momentum. The RSI at 38.42 is Neutral, neither overbought nor oversold. The STOCH value of 32.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:SRT3.

Sartorius Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AFX	65 Neutral	€2.11B	26.13	6.77%	1.50%	7.82%	-19.80%
FRE	62 Neutral	€24.36B	19.40	7.50%	2.05%	0.63%	―
FME	58 Neutral	€10.97B	12.14	7.26%	3.54%	2.10%	9.19%
MRK	58 Neutral	€45.24B	20.44	10.32%	1.82%	1.47%	9.64%
SHL	57 Neutral	€40.78B	27.87	11.65%	2.13%	4.53%	10.12%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SRT3	46 Neutral	€12.80B	110.19	5.01%	0.30%	5.82%	59.90%