Hologic (HOLX) AI Stock Analysis

• Market Cap: $14.77B
• Dividend Yield: N/A
• Average Volume (3M): 1.72M
• Price to Earnings (P/E): 27.7
• Beta (1Y): 0.10
• Revenue Growth: 1.28%
• EPS Growth: -17.73%
• Country: US
• Employees: 7,063
• Sector: Healthcare
• Sector Strength: 53
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 1.08
• Shares Outstanding: 222,419,280
• 10 Day Avg. Volume: 1,455,023
• 30 Day Avg. Volume: 1,722,937
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.04
• Enterprise Value/Revenue: 3.79
• Enterprise Value/Gross Profit: 7.31
• Enterprise Value/Ebitda: 15.19
• 1Y Price Target: $75.22
• Price Target Upside: 12.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 75 Outperform
• Price Target: $77.00 ▲(15.34% 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

Earnings Growth

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

Valuation

Shares are trading at 15 times next-twelve-month earnings, below the 10-year average, suggesting room for multiple expansion and share price increase.

Negative Factors

Geopolitical and Tariff Challenges

Management is addressing issues in Breast Health, but a softer capital expenditure environment and emerging tariff and funding challenges present a difficult path forward.

Sales Performance

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. is a global medical technology company primarily focused on women's health. Founded in 1985 and headquartered in Marlborough, Massachusetts, Hologic develops, manufactures, and markets a range of diagnostic, surgical, and medical imaging products. The company's core sectors include breast health, diagnostics, gynecological health, and skeletal health, with flagship products such as 3D mammography systems, molecular diagnostics tests, and surgical instruments designed for minimally invasive procedures.

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 shows resilience with strong revenue growth in the TTM period, but profitability margins have declined. The balance sheet remains stable with manageable leverage, though profitability metrics like ROE have weakened. Cash flow generation is solid, but declining free cash flow growth could be a concern if it continues. Overall, the company is navigating challenges with a stable financial position, but needs to focus on improving profitability and cash flow growth.

Income Statement

Hologic's income statement shows a mixed performance. The TTM data indicates a strong gross profit margin of 51.8%, but this is a decline from previous years. The net profit margin has also decreased to 13.8% from 19.6% in the last annual report. Revenue growth is positive at 30.8% TTM, indicating a recovery from previous declines. However, EBIT and EBITDA margins have decreased, suggesting pressure on operational efficiency.

Balance Sheet

The balance sheet reflects moderate leverage with a debt-to-equity ratio of 0.52, which is stable compared to the previous year. Return on equity has decreased to 11.5% TTM from 15.4% annually, indicating reduced profitability. The equity ratio remains stable, suggesting a balanced capital structure.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth, which is down by 3.11% TTM. The operating cash flow to net income ratio is healthy at 1.11, indicating good cash generation relative to net income. However, the free cash flow to net income ratio has slightly decreased, suggesting less cash available after capital expenditures.

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	2.90B	2.92B	3.14B	3.15B
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: Neutral
• Last Price: 66.76
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HOLX, the sentiment is Neutral. The current price of 66.76 is below the 20-day moving average (MA) of 67.42, above the 50-day MA of 66.31, and above the 200-day MA of 65.78, indicating a neutral trend. The MACD of 0.04 indicates Positive momentum. The RSI at 49.51 is Neutral, neither overbought nor oversold. The STOCH value of 39.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HOLX.

Hologic Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RMD	80 Outperform	$40.09B	28.80	25.86%	0.80%	9.84%	37.48%
ISRG	78 Outperform	$162.93B	63.43	16.02%	―	20.77%	23.16%
WST	78 Outperform	$17.80B	37.08	17.72%	0.34%	2.88%	-5.50%
HOLX	75 Outperform	$14.77B	27.70	11.38%	―	1.28%	-17.73%
BDX	71 Outperform	$54.82B	34.39	6.26%	2.12%	7.86%	14.24%
BAX	54 Neutral	$12.11B	136.07	-3.30%	2.78%	-27.41%	67.01%
Sector *	51 Neutral	$7.92B	-0.43	-41.67%	2.21%	22.29%	-1.85%

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.