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Qiagen (QGEN)
:QGEN

Qiagen (QGEN) AI Stock Analysis

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QG

Qiagen

(NYSE:QGEN)

Rating:70Outperform
Price Target:
$47.00
▲(1.69%Upside)
Qiagen's overall stock score of 70 reflects its solid financial performance and positive earnings call results, which indicate strong operational execution and strategic initiatives. However, the high P/E ratio suggests potential overvaluation, and technical analysis shows only moderate positive momentum. These factors balance out to a moderate yet promising outlook for the stock.
Positive Factors
Capital Allocation
Qiagen is planning its first-ever dividend and a $500 million share buyback, indicating a strong capital allocation strategy.
Management Effectiveness
The management team has been effective in managing continued revenue growth and improving profitability despite challenges in the sector.
Strategic Initiatives
The acquisition of Genoox enhances Qiagen's clinical offering for small and mid-sized labs by unlocking cloud-based AI functionality.
Negative Factors
Core Growth Challenges
Core growth in the genomics and NGS segment declined and was below expectations, reflecting challenges in some areas.
Growth Uncertainty
There is a need for greater confidence in the durability of top-line growth in the latter half of 2025 and into 2026 before considering an upgrade in stock rating.
Product Segment Weakness
Sample technologies experienced a decline in core growth due to ongoing instrument softness ahead of new product launches.

Qiagen (QGEN) vs. SPDR S&P 500 ETF (SPY)

Qiagen Business Overview & Revenue Model

Company DescriptionQIAGEN N.V. offers sample to insight solutions that transform biological materials into molecular insights worldwide. The company provides primary sample technology consumables, such as nucleic stabilization and purification kits for primary sample materials, manual and automated processing for genotyping, gene expression, and viral and bacterial analysis, as well as silica membranes and magnetic bead technologies; secondary sample technology consumables, including kits and components for purification of nucleic acids from secondary sample materials; and instruments for nucleic acid purification and accessories. It also provides interferon-gamma release assay for TB testing, and assays for post-transplant testing and viral load monitoring; assays for prenatal testing and detection of sexually transmitted diseases and HPV, as well as assays for analysis of genomic variants, such as mutations, insertions, deletions, and fusions; and sample to insight instruments, including one-step molecular analysis of hard-to-diagnose syndromes, and integrated PCR testing. In addition, it offers PCR consumables, such as quantitative PCR, reverse transcription, and combinations kits for analysis of gene expression, genotyping, and gene regulation instruments and technologies; human ID and forensics assay consumables, including STR assays for human ID, and assays for food contamination; PCR instruments consist of digital PCR solutions; and developed and configured OEM consumables. Further, the company provides predefined and custom NGS gene panels, library prep kits and components, and whole genome amplification; QIAGEN consumables and instruments, as well as bioinformatics solutions; and custom laboratory and genomic services. It serves molecular diagnostics, academia, pharmaceutical, and applied testing customers. It has a strategic alliance agreement with Sysmex Corporation and OncXerna Therapeutics, as well as an agreement with Mirati. The company was founded in 1986 and is headquartered in Venlo, the Netherlands.
How the Company Makes MoneyQiagen generates revenue through the sale of its comprehensive portfolio of products and services tailored for molecular testing and diagnostics. The company's revenue model is primarily based on selling consumables such as reagents, test kits, and cartridges, which are used in sample preparation and analysis workflows. Additionally, Qiagen earns significant income from its instruments, which are designed to automate laboratory processes and improve efficiency. The company also provides bioinformatics software and services that enhance data analysis capabilities for its users. Key revenue streams include direct sales to laboratories, hospitals, and research institutions, as well as strategic partnerships and collaborations with pharmaceutical and biotechnology companies. Qiagen's position in the market is strengthened by its continuous investment in research and development, enabling it to innovate and expand its product offerings in response to the evolving needs of its customers.

Qiagen Earnings Call Summary

Earnings Call Date:May 07, 2025
(Q1-2025)
|
% Change Since: 8.42%|
Next Earnings Date:Aug 12, 2025
Earnings Call Sentiment Positive
Qiagen delivered a strong start to 2025, exceeding expectations for net sales and earnings. Key product lines showed robust growth, and profitability improved significantly. While challenges remain in the China market and cautious customer spending, the company reaffirmed its full-year outlook and expanded shareholder return options, indicating confidence in its strategy and execution.
Q1-2025 Updates
Positive Updates
Exceeded Q1 2025 Outlook
Qiagen delivered net sales of $483 million, representing a 7% increase at constant exchange rates (CER) compared to Q1 2024. Adjusted diluted earnings per share were $0.50, exceeding the outlook for at least $0.50.
Strong Performance of Key Products
QIAstat achieved double-digit sales growth, QuantiFERON tuberculosis test delivered another strong quarter of double-digit sales growth, and QIAcuity digital PCR platform continued to build momentum in high-growth fields.
Increased Profitability
Adjusted operating income margin rose to 29.8% of sales, up more than four percentage points from Q1 2024, driven by a favorable shift towards consumables and bioinformatics solutions.
Reaffirmed Full Year 2025 Outlook
Qiagen expects around 4% sales growth at CER, with an upgraded target for adjusted earnings per share of about $2.35, up $0.07 from the initial outlook for the year.
Expansion of Shareholder Returns
Introduction of an annual cash dividend and proposal for a synthetic share repurchase of up to $500 million for consideration over an 18-month period.
Negative Updates
Challenges in China
Ongoing weak trends in China, which represents about 3% to 4% of total sales, with a high teens CER decline compared to Q1 2024.
Decline in Genomics and NGS Sales
Sales in genomics and next-generation sequencing were down 2% at CER compared to Q1 2024, reflecting lower demand for some NGS consumables and services.
Cautious Customer Spending
Continued cautious environment on spending, especially for capital sales, and discussions around research funding in different countries.
Company Guidance
In the Q1 2025 earnings call, Qiagen reported exceeding their outlook with net sales of $483 million, reflecting a 7% increase at constant exchange rates (CER) compared to Q1 2024. Adjusted diluted earnings per share were $0.50 at CER, surpassing the expected minimum of $0.50. The company reaffirmed its full-year 2025 outlook, projecting around 4% sales growth at CER, and upgraded its adjusted earnings per share target to approximately $2.35 at CER, up $0.07 from the initial guidance. Key growth drivers included QIAstat's double-digit sales increase due to new panel launches, QuantiFERON's strong performance with double-digit sales growth, and the momentum in QIAcuity's digital PCR platform. Qiagen also highlighted its strategic initiatives, including the introduction of a cash dividend and a proposed $500 million synthetic share repurchase, as part of its goal to return at least $1 billion to shareholders by 2028.

Qiagen Financial Statement Overview

Summary
Qiagen demonstrates stable financial health with strong cash flow management and a balanced capital structure. While revenue and profit margins face industry pressures, the company's operational efficiency and sound balance sheet provide a firm foundation for future growth. Continued focus on improving profitability and maintaining cash flow strength will be key to enhancing financial performance.
Income Statement
75
Positive
Qiagen's TTM revenue of $2.00 billion is slightly higher than the previous annual revenue of $1.98 billion, indicating modest growth. The gross profit margin is 50.0%, showing solid profitability, although it's a decline from past years. The net profit margin stands at 4.7%, which is relatively low but consistent with industry standards in challenging periods. EBIT and EBITDA margins are 5.9% and 18.6%, respectively, suggesting stable operational efficiency despite fluctuations in EBIT over recent years.
Balance Sheet
70
Positive
The debt-to-equity ratio is 0.41, indicating a solid capital structure with manageable debt levels. Return on Equity (ROE) is a modest 2.7%, reflecting challenges in generating strong returns on equity, partially due to reduced profitability. The equity ratio is a healthy 61.5%, showcasing a strong reliance on equity financing and solid asset backing, which bolsters financial stability.
Cash Flow
80
Positive
The TTM operating cash flow to net income ratio is robust at 7.26, indicating efficient cash conversion from profits. Free cash flow remains strong at $503 million, with a free cash flow to net income ratio of 5.37, highlighting effective cash management and investment capacity. Free cash flow growth is steady, reinforcing cash flow resilience even as net income fluctuates.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
2.00B1.98B1.97B2.14B2.25B1.87B
Gross Profit
1.00B1.32B1.23B1.38B1.45B1.23B
EBIT
118.11M97.71M445.25M531.46M630.08M554.90M
EBITDA
372.10M368.26M688.55M779.36M895.24M715.80M
Net Income Common Stockholders
93.68M83.59M341.30M423.21M512.60M73.64M
Balance SheetCash, Cash Equivalents and Short-Term Investments
1.06B1.15B1.06B1.42B1.07B714.25M
Total Assets
6.12B5.69B6.12B6.29B6.15B5.97B
Total Debt
1.61B1.42B1.61B1.88B1.96B2.03B
Net Debt
943.04M752.33M943.04M1.15B1.08B1.43B
Total Liabilities
2.31B2.12B2.31B2.82B3.05B3.49B
Stockholders Equity
3.81B3.57B3.81B3.47B3.10B2.48B
Cash FlowFree Cash Flow
503.07M506.38M296.65M565.93M432.47M188.03M
Operating Cash Flow
680.21M673.55M459.45M715.26M639.00M492.27M
Investing Cash Flow
-135.58M-249.23M-87.66M-726.76M-202.43M-453.29M
Financing Cash Flow
-417.51M-422.90M-433.83M-125.80M-150.37M-74.32M

Qiagen Technical Analysis

Technical Analysis Sentiment
Positive
Last Price46.22
Price Trends
50DMA
42.46
Positive
100DMA
41.79
Positive
200DMA
42.98
Positive
Market Momentum
MACD
1.07
Negative
RSI
69.21
Neutral
STOCH
79.85
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QGEN, the sentiment is Positive. The current price of 46.22 is above the 20-day moving average (MA) of 43.90, above the 50-day MA of 42.46, and above the 200-day MA of 42.98, indicating a bullish trend. The MACD of 1.07 indicates Negative momentum. The RSI at 69.21 is Neutral, neither overbought nor oversold. The STOCH value of 79.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for QGEN.

Qiagen Risk Analysis

Qiagen disclosed 38 risk factors in its most recent earnings report. Qiagen reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Qiagen Peers Comparison

Overall Rating
UnderperformOutperform
Sector (54)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
DGDGX
79
Outperform
$19.81B22.4313.35%1.73%9.38%6.43%
70
Outperform
$10.01B110.732.67%3.31%
68
Neutral
$10.84B36.363.82%0.30%1.62%78.53%
67
Neutral
$22.56B-18.66%51.50%53.23%
61
Neutral
$10.35B-36.89%11.57%-315.25%
54
Neutral
$5.37B3.35-45.10%2.79%16.77%-0.01%
52
Neutral
$13.93B-23.82%-3.47%25.55%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
QGEN
Qiagen
46.22
2.00
4.52%
EXAS
Exact Sciences
56.18
14.04
33.32%
ILMN
Illumina
87.98
-17.47
-16.57%
RVTY
Revvity
96.25
-16.01
-14.26%
DGX
Quest Diagnostics
177.44
41.37
30.40%
NTRA
Natera
165.22
52.62
46.73%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.