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Avantor Inc . (NYSE: NYSE:AVTR) stock has tumbled to a 52-week low, reaching a price level of $15.36 USD, reflecting a significant downturn in the company’s market valuation to $10.38 billion. InvestingPro analysis suggests the stock is currently undervalued, trading at a modest P/E ratio of 14.8x. This latest price point underscores a challenging period for the global provider of mission-critical products and services for the biopharma, healthcare, education, and advanced technologies & applied materials industries. Over the past year, Avantor’s stock has experienced a steep decline, with a 1-year change showing a substantial drop of -41.05%. Investors are closely monitoring the company’s performance and potential market catalysts that may influence its recovery or further descent.
In other recent news, Avantor Inc. reported its fourth-quarter 2024 results, which showed an earnings per share (EPS) of $0.27, slightly surpassing the analyst estimate of $0.26, but the company missed revenue expectations with $1.69 billion compared to the anticipated $1.71 billion. The full-year 2024 net sales were $6.78 billion, marking a 3% decrease from the previous year. In response to these earnings, several firms adjusted their price targets for Avantor. RBC Capital Markets lowered its price target to $31, maintaining an Outperform rating, noting strong internal operations but a cautious market. Bernstein reduced its price target to $22, maintaining a Market Perform rating, citing concerns about the underperformance in the Laboratory Solutions segment. Stifel adjusted its price target to $26, holding a Buy rating, and highlighted Avantor’s attractive valuation and strategic market position despite the challenges. Analysts also noted Avantor’s strong operational expense control and impressive free cash flow conversion of 110%, which the company is using to reduce debt. As Avantor navigates these developments, its focus on cost reduction and margin improvement remains a key area of interest for investors.
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