UBS Starts Bio-Rad Labs (BIO) at Buy

UBS analyst Dan Leonard initiates coverage on Bio-Rad Labs (NYSE: BIO) with a Buy rating and a price target of $395.00.

The analyst comments "Our Buy rating on Bio-Rad (BIO) reflects our constructive view of the company's margin expansion opportunity and product cycles. The spread between Bio-Rad's industry lagging operating margins (~14.5%) and incremental margins on volume growth (35% +) is high, which we believe positions the company for outsized margin expansion once volumes recover from 2024 to 2026. Relatedly, we believe Bio-Rad's product cycles are underappreciated. Benefits from continued market expansion in digital PCR (dPCR) and a rebound in bioprocessing should accelerate sales growth. We expect Bio-Rad's multiple to increase towards peers in line with sales and margin progression."

For an analyst ratings summary and ratings history on Bio-Rad Labs click here. For more ratings news on Bio-Rad Labs click here.

Shares of Bio-Rad Labs closed at $310.73 yesterday.

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