CRL Intrinsic Value – Charles River Laboratories International Reports Second Quarter Financial Results for 2023
August 14, 2023
🌥️Earnings Overview
CHARLES RIVER LABORATORIES INTERNATIONAL ($NYSE:CRL) reported their financial results for the second quarter of 2023, ending June 30 2023, on August 9 2023. They earned a total revenue of USD 1059.9 million, 8.9% more than the previous year, while their net income was USD 97.0 million, which was 11.3% lower than the prior year.
Stock Price
Their stock opened at $212.3 and closed at $215.8, up by 4.6% from the previous closing price of 206.2. This marks a positive sign for the company’s second quarter performance. The financial report included several key points including the company’s income and expenses, its cash flow, and its operating activities. These positive results demonstrate Charles River Laboratories International’s success in the second quarter of 2023.
The stock closing price of $215.8 is an impressive figure that reflects the company’s success during the period. Investors are confident in the company’s continued growth in the future and the stock price looks to remain stable in the coming days. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for CRL. More…
| Total Revenues | Net Income | Net Margin |
| 4.18k | 484.03 | 11.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for CRL. More…
| Operations | Investing | Financing |
| 625.04 | -293.03 | -346.77 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for CRL. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 7.77k | 4.47k | 63.42 |
Key Ratios Snapshot
Some of the financial key ratios for CRL are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 15.0% | 20.2% | 17.8% |
| FCF Margin | ROE | ROA |
| 6.9% | 14.6% | 6.0% |
Analysis – CRL Intrinsic Value
At GoodWhale, we conducted an analysis of CHARLES RIVER LABORATORIES INTERNATIONAL’s financials and our proprietary Valuation Line showed that the fair value of CHARLES RIVER LABORATORIES INTERNATIONAL’s share is around $321.0. However, right now, CHARLES RIVER LABORATORIES INTERNATIONAL’s stock is trading at $215.8, meaning it is undervalued by 32.8%. This presents an interesting investment opportunity for those looking to invest in CHARLES RIVER LABORATORIES INTERNATIONAL. More…
Peers
The global market for contract research services is growing rapidly as more and more companies are outsourcing their research and development needs. This growth is being driven by the increasing costs of R&D, the need for faster timelines, and the desire to tap into the expertise of experienced professionals. As the market expands, so does the competition, and Charles River Laboratories International Inc is up against some stiff competition from the likes of Microba Life Sciences Ltd, IDenta Corp, and Eurofins Scientific SE.
– Microba Life Sciences Ltd ($ASX:MAP)
Denta Corp is a publicly traded company that provides dental products and services. The company has a market capitalization of 1.5 million as of 2022 and a return on equity of -10.42%. The company’s products and services include dental implants, dentures, and other dental prosthetics. Denta Corp also provides dental education and training services. The company was founded in 2006 and is headquartered in New York, New York.
– IDenta Corp ($OTCPK:IDTA)
Eurofins Scientific SE is a global leader in the provision of analytical testing and scientific services. The company has a market capitalization of 13.54 billion as of 2022 and a return on equity of 12.32%. The company provides a range of services including food testing, environmental testing, pharmaceutical testing, and forensics. Eurofins Scientific SE has a network of over 800 laboratories across 47 countries.
Summary
Charles River Laboratories International recently reported their second quarter financial results for the fiscal year 2023. The company achieved total revenue of $1059.9 million, representing an 8.9% increase year-over-year.
However, net income decreased 11.3% to $97.0 million. While the revenue growth was encouraging, the decrease in net income could be concerning for investors. On the other hand, the stock price increased on the news, which may indicate that investors believe management was able to take the necessary steps to improve long-term profitability and create shareholder value. Therefore, investors should continue to monitor the company closely to gain a better understanding of its financial health and future prospects.
