On July 19, 2023, Revvity Inc (RVTY, Financial) saw a 3.48% increase in its stock price, reaching $126.53. With an estimated GF Value of $116.28, the market capitalisation of the company stands at $15.9 billion. These figures suggest that Revvity's stock is currently fairly valued.
Revvity operates in the pharmaceutical, biomedical, chemical, environmental, and general industrial markets, providing a range of products and services. The company's offerings span from genetic screening and environmental analytical tools to informatics and enterprise software. It operates through two main segments: diagnostics, which includes immunodiagnostics, reproductive health, and applied genomics, and discovery and analytical solutions, catering to life science, industrial, environmental, and food applications.
Revvity's GF Value
The GF Value of Revvity (RVTY, Financial) is based on historical trading multiples, an adjustment factor from GuruFocus based on past performance and growth, and estimates of future business performance. The current GF Value suggests that the stock is fairly valued. With the stock's current price aligning with its GF Value, the long-term return of Revvity's stock is likely to be close to the rate of its business growth.
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Financial Strength Analysis
Revvity's financial strength is crucial in determining the risk of permanent capital loss. The company's cash-to-debt ratio stands at 0.55, ranking lower than 65.98% of companies in the Medical Diagnostics & Research industry. This results in an overall financial strength rating of 6 out of 10, indicating fair financial health.
Profitability
Revvity has been profitable for the past 10 years, reporting a revenue of $3.4 billion and an EPS of $7.68 over the past twelve months. The company's operating margin is 17.11%, ranking better than 78.51% of companies in the industry. This leads to a profitability rank of 8 out of 10, indicating strong profitability.
Growth
The 3-year average annual revenue growth of Revvity is 0.4%, which is lower than 74.88% of companies in the Medical Diagnostics & Research industry. However, the 3-year average EBITDA growth rate is 26.5%, outperforming 67.88% of industry peers.
ROIC vs WACC
Revvity's return on invested capital (ROIC) over the past 12 months is 3.58, while its weighted average cost of capital (WACC) is 7.26. This indicates that the company's return on invested capital is lower than its cost of capital.
Conclusion
In conclusion, Revvity (RVTY, Financial) is fairly valued with a strong profitability and fair financial health. Its growth ranks better than 67.88% of companies in the Medical Diagnostics & Research industry. To learn more about Revvity stock, you can check out its 30-Year Financials here.
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