Hologic (HOLX) AI Stock Analysis

• Market Cap: $15.14B
• Dividend Yield: N/A
• Average Volume (3M): 1.71M
• Price to Earnings (P/E): 28.1
• Beta (1Y): 0.12
• Revenue Growth: 1.28%
• EPS Growth: -17.73%
• Country: US
• Employees: 7,063
• Sector: Healthcare
• Sector Strength: 41
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 1.08
• Shares Outstanding: 222,419,280
• 10 Day Avg. Volume: 1,523,351
• 30 Day Avg. Volume: 1,707,562
• PEG Ratio: 0.30
• Price to Book (P/B): 3.71
• Price to Sales (P/S): 4.73
• P/FCF Ratio: 16.64
• Enterprise Value/Market Cap: 1.01
• Enterprise Value/Revenue: 3.79
• Enterprise Value/Gross Profit: 7.31
• Enterprise Value/Ebitda: 15.19
• 1Y Price Target: $74.11
• Price Target Upside: 9.29% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 75 Outperform
• Price Target: $77.00 ▲(13.55% Upside)

Hologic's overall stock score is driven by strong earnings call results and positive technical indicators, suggesting a bullish outlook. However, the valuation appears stretched, and declining profitability margins pose risks. The company's stable financial position and optimistic future guidance support a favorable score.

Positive Factors

Growth Potential

Hologic is on track to reaccelerate revenue and earnings growth moving forward.

Operational Performance

Hologic's fiscal third-quarter results were above the high end of key guidance expectations, signaling potential for reaccelerating revenue and earnings growth.

Valuation

Shares are trading at 15 times NTM earnings, below the 10-year average of 18 times, indicating potential for shares to move higher.

Negative Factors

Competition and Market Pressure

HOLX's recovery trajectory remains unclear and with its FY26 EPS growth likely to lag peers.

Financial Guidance

HOLX lowered its FY25 EPS guide during the F2Q call to reflect possible tariff and geopolitical tensions.

Market Challenges

Sales in China have decreased significantly, and HIV testing revenue is declining faster than anticipated due to broader funding cuts.

Hologic Business Overview & Revenue Model

Company Description

Hologic, Inc. develops, manufactures, and supplies diagnostics products, medical imaging systems, and surgical products for women's health through early detection and treatment in the United States, Europe, the Asia-Pacific, and internationally. It operates through four segments: Diagnostics, Breast Health, GYN Surgical, and Skeletal Health. The company provides Aptima molecular diagnostic assays to detect the infectious microorganisms; Aptima viral load tests for HIV, Hepatitis C, and Hepatitis B; Aptima SARS-CoV-2 and Panther Fusion SARS-CoV-2 assays for the detection of SARS-CoV-2; ThinPrep System for use in cytology applications; Rapid Fetal Fibronectin Test that assists physicians in assessing the risk of pre-term birth; and various diagnostic tests for the detection of Group B Streptococcus. It also offers breast imaging and analytics, such as 2D and 3D digital mammography systems and reading workstations, minimally invasive breast biopsy guidance systems and devices, breast biopsy site markers and localization, specimen radiology, and ultrasound and connectivity solutions; and breast conserving surgery products. In addition, the company provides NovaSure Endometrial Ablation System for the treatment of abnormal uterine bleeding; MyoSure Hysteroscopic Tissue Removal System for the removal of fibroids, polyps, and other pathology within the uterus; and Fluent Fluid Management System that provides liquid distention during diagnostic and operative hysteroscopic procedures. Further, it offers Horizon DXA, a dual energy X-ray system; and the Fluoroscan Insight FD mini C-arm to perform minimally invasive orthopedic surgical procedures. The company sells its products through direct sales and service forces, and independent distributors and sales representatives. Hologic, Inc. was incorporated in 1985 and is headquartered in Marlborough, Massachusetts.

How the Company Makes Money

Hologic generates revenue through multiple key streams, primarily from the sale of its medical devices and diagnostic products. The company earns substantial income from its breast health segment, which includes the sale of mammography systems, imaging systems, and related software. Additionally, the diagnostics segment contributes significantly to revenue through molecular testing products and assays for various diseases, including HPV and COVID-19. Hologic also benefits from recurring revenue through service contracts and consumables associated with its products. Strategic partnerships with healthcare providers, laboratories, and research institutions enhance its market reach and product offerings, further contributing to its earnings. Moreover, ongoing investments in R&D enable Hologic to innovate and expand its product portfolio, thus driving future revenue growth.

Hologic Financial Statement Overview

Summary

Hologic's financial performance is strong, with a robust balance sheet and efficient cash flow management. The company's low debt levels and high equity ratio indicate financial stability. However, the slight decline in revenue growth and negative free cash flow growth are areas for improvement.

Income Statement

Hologic's income statement indicates stability with moderate profitability. The Gross Profit Margin is strong at around 51.7% for TTM, indicating efficient production. The Net Profit Margin is moderate at 13.8%, reflecting decent profitability. However, the TTM Revenue Growth Rate is slightly negative, indicating a decline in revenue compared to the previous annual period. Despite this, the EBIT and EBITDA margins remain healthy at 17.8% and 20.7% respectively, showing controlled operating costs.

Balance Sheet

The balance sheet of Hologic is robust, with a Debt-to-Equity Ratio of 0.012, indicating low leverage and strong financial health. The Return on Equity (ROE) is solid at 12.0% for TTM, signifying effective use of equity to generate profits. The Equity Ratio stands at 54.1%, showing a strong equity position relative to total assets, enhancing financial stability.

Cash Flow

Hologic demonstrates strong cash flow management. The Free Cash Flow to Net Income Ratio is 1.87, indicating excellent cash conversion from net income. The Operating Cash Flow to Net Income Ratio is high at 2.03, suggesting strong cash generation relative to net income. However, the Free Cash Flow Growth Rate is negative, indicating a decline compared to the previous annual period, which could be a point of concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.04B	4.03B	4.03B	4.86B	5.63B	3.78B
Gross Profit	2.09B	2.23B	2.07B	3.00B	3.80B	2.23B
EBITDA	1.01B	1.30B	1.11B	2.11B	2.86B	1.50B
Net Income	557.10M	789.50M	456.00M	1.30B	1.87B	1.12B
Balance Sheet
Total Assets	8.81B	9.16B	9.14B	9.07B	8.92B	7.20B
Cash, Cash Equivalents and Short-Term Investments	1.88B	2.33B	2.72B	2.34B	1.17B	701.00M
Total Debt	2.52B	2.66B	2.82B	2.82B	3.03B	3.04B
Total Liabilities	3.96B	4.03B	4.12B	4.20B	4.70B	4.49B
Stockholders Equity	4.84B	5.13B	5.02B	4.88B	4.22B	2.71B
Cash Flow
Free Cash Flow	978.20M	1.15B	901.00M	2.00B	2.17B	740.20M
Operating Cash Flow	1.07B	1.29B	1.05B	2.13B	2.33B	896.60M
Investing Cash Flow	-946.30M	-781.00M	-152.10M	-206.30M	-1.33B	-141.60M
Financing Cash Flow	-835.60M	-1.11B	-483.20M	-756.00M	-529.80M	-659.90M

Hologic Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 67.81
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HOLX, the sentiment is Positive. The current price of 67.81 is above the 20-day moving average (MA) of 66.89, above the 50-day MA of 65.58, and above the 200-day MA of 66.70, indicating a bullish trend. The MACD of 0.95 indicates Negative momentum. The RSI at 57.69 is Neutral, neither overbought nor oversold. The STOCH value of 64.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HOLX.

Hologic Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WST	78 Outperform	$17.70B	36.88	17.72%	0.34%	2.88%	-5.50%
RMD	76 Outperform	$41.69B	29.95	25.86%	0.77%	9.84%	37.48%
HOLX	75 Outperform	$15.14B	28.13	11.38%	―	1.28%	-17.73%
BDX	73 Outperform	$55.89B	35.07	6.26%	2.08%	7.86%	14.24%
COO	73 Outperform	$14.65B	35.62	5.15%	―	6.88%	21.11%
BAX	54 Neutral	$12.56B	136.07	-3.30%	3.31%	-27.41%	67.01%
Sector *	51 Neutral	$7.46B	-0.16	-46.00%	2.25%	22.76%	-2.28%

Hologic Corporate Events

Hologic Refinances Loan to Enhance Financial Flexibility

On July 15, 2025, Hologic, Inc. and its subsidiaries refinanced their term loan and revolving credit facility by entering into a Refinancing Amendment to their existing Credit and Guaranty Agreement. This amendment extends the maturity date to July 15, 2030, and provides additional financial flexibility under certain covenants, impacting the company’s operational capabilities and financial strategy.

The most recent analyst rating on (HOLX) stock is a Buy with a $90.00 price target. To see the full list of analyst forecasts on Hologic stock, see the HOLX Stock Forecast page.