QuidelOrtho (QDEL) AI Stock Analysis

• Market Cap: $1.91B
• Dividend Yield: N/A
• Average Volume (3M): 1.29M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.15
• Revenue Growth: -3.00%
• EPS Growth: 76.48%
• Country: US
• Employees: 6,600
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.12
• Shares Outstanding: 67,900,470
• 10 Day Avg. Volume: 1,139,500
• 30 Day Avg. Volume: 1,289,370
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 1.06
• P/FCF Ratio: -26.38
• Enterprise Value/Market Cap: 2.41
• Enterprise Value/Revenue: 1.68
• Enterprise Value/Gross Profit: 3.68
• Enterprise Value/Ebitda: 20.64
• 1Y Price Target: $39.50
• Price Target Upside: 40.42% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 52 Neutral
• Price Target: $29.00 ▲(3.09% Upside)

QuidelOrtho's stock score is primarily impacted by its financial performance, which shows significant challenges with declining revenues and profitability. Technical analysis indicates potential stability, but valuation metrics are unattractive due to negative earnings. The earnings call highlighted growth in specific segments, but overall challenges remain.

Positive Factors

Improved Profitability Metrics

The improvement in EBITDA margin indicates enhanced operational efficiency, which can lead to better cash flow and financial health, supporting long-term growth.

Strong International Growth

Strong international growth diversifies revenue streams and reduces reliance on any single market, enhancing resilience against regional economic fluctuations.

Successful ERP System Conversion

The successful ERP conversion can streamline operations and reduce future integration costs, improving efficiency and supporting scalability.

Negative Factors

Decline in North America Revenue

A decline in North America revenue suggests challenges in a key market, which could impact overall revenue growth and market position if not addressed.

Decreased COVID Revenue

The significant drop in COVID-related revenue reflects reduced demand, impacting short-term revenue and necessitating a shift in focus to other growth areas.

Challenges in Donor Screening Business

The decline in the Donor Screening segment indicates strategic challenges, requiring reallocation of resources to more promising areas to maintain growth.

QuidelOrtho Business Overview & Revenue Model

Company Description

QuidelOrtho Corporation focuses on the development and manufacture of diagnostic testing technologies across the continuum of healthcare testing needs. The company operates through Labs, Transfusion Medicine, Point-of-Care, and Molecular Diagnostics business units. The Labs business unit provides clinical chemistry laboratory instruments and tests that measure target chemicals in bodily fluids for the evaluation of health and the clinical management of patients; immunoassay laboratory instruments and tests, which measure proteins as they act as antigens in the spread of disease, antibodies in the immune response spurred by disease, or markers of proper organ function and health; testing products to detect and monitor disease progression across a spectrum of therapeutic areas; and specialized diagnostic solutions. The Transfusion Medicine business unit offers immunohematology instruments and tests used for blood typing to ensure patient-donor compatibility in blood transfusions; and donor screening instruments and tests used for blood and plasma screening for infectious diseases. The Point-of-Care business unit provides tests to provide rapid results across a continuum of point-of-care settings. The Molecular Diagnostics business unit offers polymerase chain reaction thermocyclers; and analyzers and amplification systems. The company sells its products directly to end users through a direct sales force; and through a network of distributors for professional use in physician offices, hospitals, clinical laboratories, reference laboratories, urgent care clinics, universities, retail clinics, pharmacies, wellness screening centers, blood banks, and donor centers, as well as for individual, non-professional, and over-the-counter use. It operates in North America, Europe, the Middle East, Africa, China, and internationally. The company was founded in 1979 and is headquartered in San Diego, California.

How the Company Makes Money

QuidelOrtho generates revenue through the sale of its diagnostic products and services. The company primarily earns money from its extensive portfolio of rapid diagnostic tests, which are used in various clinical settings, including hospitals, laboratories, and physician offices. Key revenue streams include sales of immunoassay and molecular diagnostic products, as well as related consumables and accessories. Additionally, QuidelOrtho benefits from strategic partnerships with healthcare providers, distributors, and research institutions that enhance its market reach and product offerings. The company's ability to innovate and introduce new products, especially in response to emerging health needs, further contributes to its earnings.

QuidelOrtho Financial Statement Overview

Summary

QuidelOrtho faces significant financial challenges, with declining revenues, negative profitability, and fluctuating cash flows. While the balance sheet shows balanced leverage, the negative return on equity and operational inefficiencies are concerning. The company needs to address its revenue decline and improve operational efficiency to stabilize its financial position.

Income Statement

QuidelOrtho's income statement shows significant challenges, with declining revenue and negative profit margins. The TTM data reveals a substantial revenue drop of 76.7% and a negative net profit margin of -17.0%. Historical data indicates a consistent decline in revenue growth and profitability, with EBIT and EBITDA margins turning negative in recent periods. These trends highlight operational inefficiencies and market challenges.

Balance Sheet

The balance sheet reflects a stable debt-to-equity ratio of 1.0 in the TTM period, indicating balanced leverage. However, the return on equity is negative, suggesting inefficiencies in generating returns from equity. The equity ratio remains reasonable, but the declining equity and increasing debt levels pose potential risks to financial stability.

Cash Flow

Cash flow analysis shows improvement in free cash flow growth in the TTM period, with a significant increase of 305.6%. The operating cash flow to net income ratio is positive, indicating some operational cash generation despite net losses. However, historical fluctuations in free cash flow and negative free cash flow in previous periods highlight volatility in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2021	Dec 2020	Dec 2019
Income Statement
Total Revenue	2.74B	2.78B	3.00B	1.70B	1.66B	534.89M
Gross Profit	1.25B	1.29B	1.49B	1.28B	1.35B	320.81M
EBITDA	222.70M	-1.46B	607.00M	955.44M	1.09B	143.76M
Net Income	-466.40M	-2.05B	-10.10M	704.20M	810.29M	72.92M
Balance Sheet
Total Assets	6.38B	6.42B	8.56B	2.43B	1.87B	910.87M
Cash, Cash Equivalents and Short-Term Investments	151.70M	98.30M	167.30M	828.50M	489.94M	52.77M
Total Debt	2.79B	2.68B	2.61B	139.30M	108.50M	112.30M
Total Liabilities	3.59B	3.44B	3.56B	501.00M	538.46M	351.05M
Stockholders Equity	2.79B	2.98B	5.01B	1.93B	1.33B	559.82M
Cash Flow
Free Cash Flow	123.30M	-112.10M	70.90M	513.14M	564.84M	107.26M
Operating Cash Flow	200.40M	83.00M	280.20M	805.87M	629.76M	134.49M
Investing Cash Flow	-183.60M	-149.90M	-187.60M	-319.53M	-63.32M	-27.23M
Financing Cash Flow	25.70M	48.80M	-265.80M	-173.18M	-130.28M	-98.28M

QuidelOrtho Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.13
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QDEL, the sentiment is Positive. The current price of 28.13 is below the 20-day moving average (MA) of 28.24, above the 50-day MA of 27.81, and below the 200-day MA of 32.22, indicating a neutral trend. The MACD of -0.18 indicates Positive momentum. The RSI at 50.29 is Neutral, neither overbought nor oversold. The STOCH value of 52.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for QDEL.

QuidelOrtho Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HOLX	69 Neutral	$15.54B	28.98	11.38%	―	1.28%	-17.73%
HAE	68 Neutral	$2.42B	15.34	18.27%	―	0.91%	45.81%
MASI	58 Neutral	$7.97B	116.65	-20.54%	―	-8.36%	-669.36%
BAX	54 Neutral	$11.86B	136.07	-3.30%	2.94%	-27.41%	67.01%
QDEL	52 Neutral	$1.91B	―	-14.80%	―	-3.00%	76.48%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
STAA	45 Neutral	$1.24B	55.81	-25.55%	―	-32.59%	-667.81%

QuidelOrtho Corporate Events

QuidelOrtho Completes Major Debt Refinancing Transaction

On August 21, 2025, QuidelOrtho Corporation completed a significant debt refinancing transaction, entering into a Credit Agreement with Bank of America and other lenders. This agreement includes a $1.15 billion senior secured term loan A, a $100 million delayed draw term loan A, a $1.45 billion senior secured term loan B, and a $700 million revolving credit facility. The refinancing allows QuidelOrtho to extend its debt maturities, reduce required amortization payments, and improve financial flexibility, supporting future growth and strengthening its capital structure.