Revvity (RVTY) AI Stock Analysis

• Market Cap: $11.06B
• Dividend Yield: 0.29%
• Average Volume (3M): 1.22M
• Price to Earnings (P/E): 39.6
• Beta (1Y): 0.73
• Revenue Growth: 3.33%
• EPS Growth: 32.86%
• Country: US
• Employees: 11,000
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 1.18
• Shares Outstanding: 116,072,580
• 10 Day Avg. Volume: 1,162,500
• 30 Day Avg. Volume: 1,223,153
• PEG Ratio: -0.13
• Price to Book (P/B): 1.78
• Price to Sales (P/S): 4.96
• P/FCF Ratio: 25.23
• Enterprise Value/Market Cap: 1.25
• Enterprise Value/Revenue: 4.96
• Enterprise Value/Gross Profit: 10.06
• Enterprise Value/Ebitda: 16.89
• 1Y Price Target: $110.54
• Price Target Upside: 15.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 14

• Rating: 67 Neutral
• Price Target: $99.00 ▲(3.47% Upside)

Revvity's overall stock score reflects a stable financial position with strong cash flow and operational efficiency. However, challenges in revenue growth and profitability, coupled with high valuation metrics, weigh on the score. The mixed outlook from the earnings call, with notable growth in certain segments but significant challenges in others, further tempers the overall assessment.

Positive Factors

Software Growth

The significant growth in the Signals software franchise indicates strong demand and potential for continued expansion, contributing positively to Revvity's revenue and market position in the software sector.

Cash Flow and Share Repurchase

Robust cash flow generation and aggressive share repurchases reflect strong financial health and management's confidence in the company's long-term value, enhancing shareholder returns.

Innovation in Diagnostics

The introduction of the IDS i20 platform represents a strategic advancement in diagnostics, potentially driving future growth and strengthening Revvity's competitive edge in the diagnostics market.

Negative Factors

Diagnostics Challenges in China

The DRG policy in China poses a structural challenge to Revvity's diagnostics segment, potentially affecting revenue and growth prospects in a key market.

Lowered Full-Year Guidance

The reduction in full-year growth guidance reflects ongoing challenges, particularly in the diagnostics segment, which may impact investor confidence and long-term growth expectations.

Academic and Government Revenue Weakness

Declining revenue from academic and government sectors highlights potential vulnerabilities in Revvity's customer base, which could affect future revenue stability and diversification.

Revvity Business Overview & Revenue Model

Company Description

Revvity (RVTY) is a technology company focused on providing innovative solutions in the fields of data analytics, artificial intelligence, and machine learning. The company operates primarily in the sectors of software development and digital transformation, offering a suite of products designed to enhance operational efficiency and decision-making for businesses across various industries. Revvity’s core offerings include advanced analytics platforms, AI-powered tools, and customized software solutions that enable organizations to leverage their data for strategic advantage.

How the Company Makes Money

Revvity generates revenue through multiple streams, including subscription fees for its software products, licensing agreements for its technology, and consulting services that support the implementation and optimization of its solutions. The company also engages in partnerships with other technology firms and industry leaders to expand its market reach and enhance its service offerings. Key revenue drivers include the growth of its customer base, the increasing demand for data-driven decision-making tools, and the continued investment in AI and machine learning technologies, which create ongoing opportunities for upselling and cross-selling additional services.

Revvity Financial Statement Overview

Summary

Revvity presents a stable financial profile with steady margins and a solid balance sheet. While profitability and revenue growth are under pressure, the company maintains strong operational cash flows and a healthy equity base, offering a balanced financial outlook with manageable risks.

Income Statement

Revvity's income statement shows moderate performance with a positive Gross Profit Margin of 55.93% and a decent Net Profit Margin of 10.19% for TTM. However, the company is facing challenges in revenue growth, with a slight increase of 1.58% from the previous year. EBIT Margin is satisfactory at 13.58%, although EBITDA Margin has decreased to 25.68% from last year's 30.50%.

Balance Sheet

The balance sheet reveals a stable financial position with a Debt-to-Equity Ratio of 0.45, indicating manageable leverage. Return on Equity (ROE) is moderate at 3.77% for TTM, reflecting a decrease in profitability compared to previous years. The Equity Ratio stands at a robust 61.11%, suggesting strong financial stability.

Cash Flow

Cash flow from operations is healthy, with an Operating Cash Flow to Net Income Ratio of 2.07, indicating efficient conversion of income into cash. However, Free Cash Flow declined by 6.05% from the previous year, and the Free Cash Flow to Net Income Ratio is 1.78, suggesting room for improvement in cash generation relative to income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.80B	2.76B	2.75B	3.31B	3.83B	3.78B
Gross Profit	1.38B	1.32B	1.32B	1.76B	2.28B	1.99B
EBITDA	821.91M	840.25M	713.56M	1.18B	1.62B	1.20B
Net Income	285.66M	295.83M	-118.38M	569.18M	943.16M	728.10M
Balance Sheet
Total Assets	12.36B	12.39B	13.56B	14.13B	15.00B	7.96B
Cash, Cash Equivalents and Short-Term Investments	991.85M	1.16B	1.60B	454.36M	603.32M	402.04M
Total Debt	3.37B	3.33B	4.07B	4.60B	5.16B	2.22B
Total Liabilities	4.81B	4.73B	5.69B	6.75B	7.86B	4.22B
Stockholders Equity	7.56B	7.67B	7.87B	7.38B	7.14B	3.74B
Cash Flow
Free Cash Flow	502.96M	541.65M	9.90M	594.18M	1.32B	828.54M
Operating Cash Flow	584.59M	628.30M	91.27M	679.81M	1.41B	892.18M
Investing Cash Flow	656.98M	776.16M	1.31B	-132.85M	-4.11B	-504.50M
Financing Cash Flow	-1.53B	-1.13B	-947.12M	-661.80M	2.94B	-202.87M

Revvity Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 95.68
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RVTY, the sentiment is Positive. The current price of 95.68 is above the 20-day moving average (MA) of 91.05, above the 50-day MA of 88.99, and below the 200-day MA of 99.00, indicating a neutral trend. The MACD of 2.01 indicates Negative momentum. The RSI at 61.85 is Neutral, neither overbought nor oversold. The STOCH value of 79.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RVTY.

Revvity Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DGX	73 Outperform	$21.29B	22.66	13.69%	1.74%	13.74%	14.87%
QGEN	70 Outperform	$10.54B	28.49	10.81%	2.58%	5.15%	412.41%
RVTY	67 Neutral	$11.06B	39.64	3.61%	0.29%	3.33%	32.86%
ILMN	63 Neutral	$15.29B	12.53	68.11%	―	-3.32%	―
EXAS	63 Neutral	$11.88B	―	-35.51%	―	12.56%	-464.28%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
GH	51 Neutral	$8.75B	―	―	―	28.74%	18.25%

Revvity Corporate Events

Revvity, Inc. Earnings Call: Mixed Sentiment and Strategic Moves

Revvity, Inc. recently held its earnings call, showcasing a mixed sentiment with strong performances in software and life sciences, alongside robust cash flow management and strategic share repurchases. However, the company faces significant challenges in China due to policy changes, pressures from tariffs, and declining academic and government revenues. Despite these hurdles, Revvity remains committed to innovation and has improved its ESG rating.