Idexx Laboratories (IDXX) AI Stock Analysis

• Market Cap: $37.95B
• Dividend Yield: N/A
• Average Volume (3M): 1.03M
• Price to Earnings (P/E): 43.6
• Beta (1Y): 1.09
• Revenue Growth: 5.56%
• EPS Growth: 4.66%
• Country: US
• Employees: 11,000
• Sector: Healthcare
• Sector Strength: 57
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 10.82
• Shares Outstanding: 80,421,920
• 10 Day Avg. Volume: 1,005,733
• 30 Day Avg. Volume: 1,029,875
• PEG Ratio: 9.37
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 14.64
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $504.60
• Price Target Upside: 6.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

Idexx Laboratories scores well due to its robust financial performance, particularly in profitability and cash flow generation. While technical indicators show positive momentum, valuation concerns arise from a high P/E ratio. Positive earnings sentiment is tempered by challenges in U.S. clinical visits and macroeconomic conditions. Overall, the company is well-positioned for growth in the Medical Diagnostics & Research sector.

Positive Factors

Financial Performance

IDEXX delivered a solid beat on the top and bottom line in Q4.

Guidance and Expectations

Reiterated guidance will allow investors to take a sigh of relief as it suggests fundamentals are stable despite market volatility.

New Products and Innovations

IDEXX expects to deliver over one point of revenue growth from its new InVueDx system and place 4,500 systems this year alone.

Negative Factors

Market Conditions

Persistent end-market weakness might raise questions as to how the company can reach its reiterated guidance ranges.

Veterinary Visits

Veterinary office visits have been declining for the past 13 consecutive quarters in the US, impacting CAG growth.

Idexx Laboratories Business Overview & Revenue Model

Company Description

IDEXX Laboratories, Inc. develops, manufactures, and distributes products and services primarily for the companion animal veterinary, livestock and poultry, dairy, and water testing markets worldwide. The company operates through CAG; Water Quality Products; LPD; and Other segments. It provides point-of-care veterinary diagnostic products, including instruments, consumables, and rapid assay test kits; veterinary reference laboratory diagnostic and consulting services; practice management and diagnostic imaging systems and services for veterinarians; and health monitoring, biological materials testing, and laboratory animal diagnostic instruments and services for biomedical research community. The company also offers diagnostic and health-monitoring products for livestock, poultry, and dairy; products that test water for various microbiological contaminants; and point-of-care electrolytes and blood gas analyzers and SARS-CoV-2 RT-PCR that are used in the human point-of-care medical diagnostics market; in-clinic chemistry, blood and urine chemistry, hematology, and SediVue Dx analyzers; SNAP rapid assays test kits. In addition, it provides Colilert, Colilert-18, and Colisure tests, which detect the presence of total coliforms and E. coli in water; Enterolert, Pseudalert, Filta-Max and Filta-Max xpress, Legiolert, and Quanti-Tray products; veterinary software and services for independent veterinary clinics and corporate groups. The company markets its products through marketing, customer service, sales, and technical service groups, as well as through independent distributors and other resellers. IDEXX Laboratories, Inc. was incorporated in 1983 and is headquartered in Westbrook, Maine.

How the Company Makes Money

IDEXX Laboratories generates revenue primarily through the sale of diagnostic and information management products and services to veterinary practices. The company's revenue streams include the sale of diagnostic instruments and consumables, reference laboratory and consulting services, and digital imaging systems. Additionally, IDEXX offers practice management software solutions that provide data integration and workflow efficiencies to veterinary practitioners. Significant revenue is also derived from the water quality segment, which involves testing products for the detection of microbiological contaminants. IDEXX's earnings are bolstered by its global distribution network, strategic partnerships, and a growing emphasis on innovation, allowing it to maintain a competitive edge in the animal healthcare industry.

Idexx Laboratories Financial Statement Overview

Summary

Idexx Laboratories demonstrates strong profitability and cash flow metrics with a solid income statement, a stable balance sheet, and efficient cash conversion. High profitability ratios and consistent revenue growth position the company well, although attention to leverage management is recommended.

Income Statement

Idexx Laboratories demonstrates strong profitability with a TTM gross profit margin of 61.3% and a net profit margin of 22.8%. The company has shown consistent revenue growth, with a TTM revenue increase of 1.2% compared to the previous year. EBIT and EBITDA margins are robust at 29.2% and 32.0% respectively, indicating efficient operations. The company is performing well in terms of profitability, although the revenue growth rate has slowed compared to historical figures.

Balance Sheet

The company's balance sheet is relatively stable with a debt-to-equity ratio of 0.34, reflecting moderate leverage. The return on equity (ROE) is strong at 61.8%, demonstrating effective use of shareholder funds. However, the equity ratio of 45.1% suggests a balanced capital structure with room for improvement in asset financing. Overall, the balance sheet is solid, though attention to debt management is advised.

Cash Flow

Idexx Laboratories maintains healthy cash flow with a free cash flow growth rate of 5.0% over the last year. The operating cash flow to net income ratio is 1.08, indicating strong cash generation relative to profits. The free cash flow to net income ratio of 0.94 further underscores the company’s efficient cash conversion. While the cash flow metrics are robust, a slight decline in operating cash flow growth compared to past trends is noted.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.90B	3.66B	3.37B	3.22B	2.71B
	Gross Profit
2.38B	2.19B	2.00B	1.89B	1.57B
	EBIT
1.13B	1.10B	898.76M	932.03M	694.52M
	EBITDA
1.28B	1.22B	1.01B	1.04B	793.81M
	Net Income Common Stockholders
887.87M	845.04M	679.09M	744.85M	581.78M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
288.27M	453.93M	112.55M	144.45M	383.93M
	Total Assets
3.29B	3.26B	2.75B	2.44B	2.29B
	Total Debt
986.95M	1.07B	1.35B	923.70M	908.48M
	Net Debt
698.68M	613.42M	1.24B	779.25M	524.55M
	Total Liabilities
1.70B	1.78B	2.14B	1.75B	1.66B
	Stockholders Equity
1.60B	1.48B	608.74M	689.99M	632.09M
Cash Flow		Free Cash Flow
798.08M	772.88M	394.15M	636.00M	540.44M
	Operating Cash Flow
929.00M	906.51M	542.98M	755.55M	648.06M
	Investing Cash Flow
-207.06M	-125.25M	-195.35M	-292.97M	-109.38M
	Financing Cash Flow
-878.07M	-442.00M	-370.94M	-697.41M	-248.42M

Idexx Laboratories Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 471.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IDXX, the sentiment is Positive. The current price of 471.9 is above the 20-day moving average (MA) of 415.32, above the 50-day MA of 423.39, and above the 200-day MA of 447.27, indicating a bullish trend. The MACD of 11.13 indicates Negative momentum. The RSI at 68.74 is Neutral, neither overbought nor oversold. The STOCH value of 82.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IDXX.

Idexx Laboratories Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DGX	79 Outperform	$19.87B	22.49	13.35%	1.71%	9.38%	6.43%
IDXX	74 Outperform	$37.95B	43.61	59.33%	―	5.56%	4.66%
A	72 Outperform	$29.28B	23.60	20.61%	0.89%	-3.00%	3.67%
WAT	70 Outperform	$20.85B	32.71	42.82%	―	0.07%	-1.20%
MTD	66 Neutral	$22.93B	27.15	-680.23%	―	2.22%	12.78%
RVTY	65 Neutral	$11.29B	37.13	4.00%	0.30%	1.62%	―
Sector *	52 Neutral	$5.35B	3.96	-42.60%	2.86%	17.58%	1.27%

Idexx Laboratories Corporate Events

Idexx Laboratories Director Resigns, Board Size Reduced

On February 13, 2025, Dr. Asha Collins resigned from the Board of Directors of Idexx Laboratories, Inc., effective immediately. Her resignation was not due to any disagreements with the company regarding its operations, policies, or practices. Consequently, the board size was reduced from ten to nine directors, as the company expressed gratitude for Dr. Collins’s contributions and wished her well in her future endeavors.