Benchmark maintains Buy rating on Bio-Techne stock amid tariff impact

Published 05/06/2025, 14:40
Benchmark maintains Buy rating on Bio-Techne stock amid tariff impact

On Thursday, Benchmark analysts reaffirmed a Buy rating and a $75.00 price target for Bio-Techne Corp. (NASDAQ:TECH) stock, representing a 52% upside from the current price of $49.38. The decision reflects expectations of slower-than-anticipated revenues and margins for the current quarter ending June 30, 2025, as noted by the analysts. According to InvestingPro data, eight analysts have recently revised their earnings estimates downward for the upcoming period.

Benchmark analysts have adjusted their estimates for Bio-Techne’s fourth quarter of fiscal year 2025, forecasting revenues of $315.0 million, which represents a 3% increase compared to the same quarter last year. The revised earnings estimate is $0.50 per share, slightly up from $0.49 one year ago, but down from the prior estimate of $0.56 per share. Despite trading at a high P/E ratio of 60.19, InvestingPro’s Fair Value analysis suggests the stock may be undervalued at current levels.

The adjustments stem from the escalation of U.S. tariffs that began on April 2, 2025, along with proposed funding cuts of up to 40% for U.S. agencies, including the National Institutes of Health (NIH). These factors are anticipated to have a more significant impact on Bio-Techne than initially expected, particularly affecting revenues and gross margins.

Despite these challenges, Benchmark analysts are maintaining their Buy rating and $75 price target on Bio-Techne stock, citing the long-term potential of the company’s life science products. The analysts remain optimistic about the company’s future prospects despite the current hurdles.

Bio-Techne, a global life sciences company, continues to navigate these economic pressures while focusing on its strategic growth initiatives. The company maintains a strong financial position with a current ratio of 3.71 and has consistently paid dividends for 18 consecutive years. For deeper insights into Bio-Techne’s financial health and growth prospects, including 10+ additional ProTips and comprehensive analysis, visit InvestingPro.

In other recent news, Bio-Techne Corp reported its third-quarter earnings for 2025, revealing an adjusted earnings per share (EPS) of $0.56, which surpassed the forecasted $0.51. However, the company’s revenue slightly fell short of expectations, coming in at $316.2 million against a projected $317.5 million. The Protein Sciences segment showed strong performance with a 7% organic revenue growth, although challenges in the Chinese market led to a mid-single-digit decline. Additionally, Wells Fargo (NYSE:WFC) initiated coverage on Bio-Techne with an Overweight rating and a price target of $59.00, citing the company’s solid financial standing and potential for strategic acquisitions. The firm anticipates Bio-Techne might purchase the remaining 80% of Wilson Wolf for approximately $1 billion by 2028. Despite the recent decline in share price, Wells Fargo sees this as an opportunity for investors, given Bio-Techne’s growth prospects in the coming years. The company continues to face uncertainties due to economic conditions in China and potential NIH funding cuts, which could impact future academic market growth.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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