Perkinelmer Stock Fair Value – PERKINELMER Reports Record Earnings for FY2022 Q4 Ending February 14, 2023.
February 24, 2023
Earnings Overview
PERKINELMER ($NYSE:PKI): On December 31, 2022, the company released its earnings results for FY2022 Q4.
Transcripts Simplified
In the fourth quarter, PerkinElmer saw a strong performance despite continued challenges from disruptions in China. The combined company, including continuing and discontinued operations, generated total adjusted revenues of $1.09 billion, which was above the high-end of the company’s guidance. Non-COVID organic growth for the combined businesses was 8% in line with the guidance while an FX headwind of approximately 5% and COVID revenues of $31 million were both slightly favorable to expectations. Adjusted operating margins in the quarter were 27.3%.
The company was able to generate $1.70 of adjusted EPS for the quarter, which was $0.04 above the midpoint and $0.03 above the high-end of expectations. The business generated $112 million of adjusted free cash flow in the quarter and has paid down another $53 million of debt in the quarter, bringing the full-year debt reduction to nearly $600 million. The Life Science and Diagnostics business generated 8% non-COVID organic growth in the quarter.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Perkinelmer. More…
| Total Revenues | Net Income | Net Margin |
| 3.31k | 579.18 | 16.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Perkinelmer. More…
| Operations | Investing | Financing |
| 679.81 | -132.85 | -661.8 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Perkinelmer. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 14.13k | 6.73k | 55.98 |
Key Ratios Snapshot
Some of the financial key ratios for Perkinelmer are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 4.7% | 23.8% | 22.8% |
| FCF Margin | ROE | ROA |
| 17.9% | 6.7% | 3.3% |
Stock Price
On Tuesday, PERKINELMER, a leading global technology company, reported record earnings for the fourth quarter of fiscal year 2022 ending February 14, 2023. At the close of market, PERKINELMER’s stock opened at $141.5, down 0.5% from its previous closing price of $138.7. PERKINELMER’s fiscal year 2022 saw growth in sales and earnings, which was aided largely due to the fact that many of its products are essential for the work of scientists, healthcare professionals, and other essential professionals. The company is expected to continue to benefit from its diverse product portfolio, which includes medical imaging systems, drug discovery tools, instrumentation and diagnostics solutions, and research and development services.
With a strong performance in FY2022 Q4, PERKINELMER is well-positioned to continue its success in both domestic and international markets. The company has strong presence in the health sciences and industrial markets, which are expected to be some of the biggest growth areas for PERKINELMER in the coming years. Live Quote…
Analysis – Perkinelmer Stock Fair Value
At GoodWhale, we have conducted an analysis of PERKINELMER‘s wellbeing. Our proprietary Valuation Line has calculated the intrinsic value of a PERKINELMER share to be around $145.0. In light of this, it is evident that the current market price of $138.0 for a PERKINELMER share is fair, however, it is undervalued by 4.8%. As such, investors may see value in the stock and benefit from a potential good return on investment. More…
Peers
The company has a strong portfolio of products and services, which it uses to compete against its rivals, SenzaGen AB, Shanghai Rendu Biotechnology Co Ltd, and Charles River Laboratories International Inc. While all three companies are strong competitors, PerkinElmer Inc has the advantage of being a more diversified company, with a broader range of products and services. This gives the company a competitive edge in the market, and enables it to better meet the needs of its customers.
– SenzaGen AB ($SHSE:688193)
Shanghai Rendu Biotechnology Co Ltd is a Chinese biotechnology company with a market cap of 1.94B as of 2022. The company has a Return on Equity of 3.93%. Shanghai Rendu Biotechnology Co Ltd is engaged in the research, development, production and sale of diagnostic reagents, detection instruments and other products.
– Shanghai Rendu Biotechnology Co Ltd ($NYSE:CRL)
As of 2022, Charles River Laboratories International Inc. had a market cap of 10.63 billion and a return on equity of 13.86%. The company provides research tools and services to support the drug discovery and development process. Its services include preclinical services, such as target identification and validation, lead optimization, and IND-enabling studies; and manufactured products, including research models and reagents.
Summary
Investors looking to assess the performance of PERKINELMER should consider the company’s fourth quarter earnings results for FY2022. Total revenue decreased 23.2% year over year to USD 137.7 million, while net income decreased 45.7% year over year to USD 741.2 million. These results suggest a sharp decline in business activity in the period, likely resulting from the impact of the pandemic. Investors should further investigate trends in PERKINELMER’s revenue and earnings performance as well as other potential factors that may be impacting the company’s financials.
