Waters Q4 adjusted EPS beats estimates on pharma, industrial markets growth

Overview

• Analytical instruments firm's Q4 sales slightly beat analyst expectations, growing 7% yr/yr

• Adjusted EPS for Q4 beat analyst expectations, growing by double digits

• Company completed acquisition of BD Biosciences and Diagnostic Solutions

Outlook

• Waters expects full-year 2026 revenue between $6.405 bln and $6.455 bln

• Company anticipates full-year 2026 non-GAAP EPS of $14.30 to $14.50

• Waters sees Q1 2026 revenue between $1.198 bln and $1.211 bln and non-GAAP EPS of $2.25 to $2.35

Result Drivers

• PHARMA AND INDUSTRIAL MARKETS - Growth in these markets led Q4 results, with high single-digit constant currency growth

• CHEMISTRY DEMAND - Chemistry sales grew 12% in constant currency, driven by demand for new bioseparations products

• INSTRUMENT SALES - Instruments grew 3% in constant currency, with LC-MS growth partially offset by transition to subscription model

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 10 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the advanced medical equipment & technology peer group is "buy"

• Wall Street's median 12-month price target for Waters Corp is $412.50, about 8.2% above its February 6 closing price of $381.29

• The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 25 three months ago

Press Release: ID:nPnbKDxKBa

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