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With a market cap of $15.9 billion, Marlborough, Massachusetts-based Hologic, Inc. (HOLX) specializes in developing, manufacturing, and supplying diagnostics, medical imaging systems, and surgical products aimed at advancing women's healthcare. Operating across Diagnostics, Breast Health, GYN Surgical, and Skeletal Health segments, the company provides innovative solutions for early detection and treatment worldwide. The company is set to unveil its fiscal Q1 2025 earnings results after the market closes on Wednesday, Feb. 5.
Ahead of this event, analysts expect the medical device maker to report a profit of $1.01 per share, up 3.1% from $0.98 per share in the year-ago quarter. The company has surpassed Wall Street's bottom-line estimates in three of the past four quarters while missing on another occasion. In the most recent quarter, HOLX missed the consensus EPS estimate by nearly 1% margin.
For fiscal 2025, analysts expect HOLX to report EPS of $4.28, up 4.9% from $4.08 in fiscal 2024. Looking forward to fiscal 2026, EPS is expected to grow 8.9% year-over-year to $4.66.
HOLX has underperformed the broader markets over the past 52 weeks, with shares down 4.6%, compared to the S&P 500 Index's ($SPX) 24.1% gain and the Health Care Select Sector SPDR Fund's (XLV) marginal return over the same period.
Shares of Hologic dipped 5.9% following its Q4 earnings release on Nov. 4 due to several key factors. Adjusted EPS of $1.01 increased 13.5% year-over-year but missed the consensus estimate, raising concerns about the company's ability to meet expectations. The Skeletal Health segment saw a drastic 54.6% year-over-year revenue decline, falling to $12.7 million compared to the projected $28.4 million, indicating significant underperformance. The tempered fiscal 2025 guidance, which projected revenue growth of 3% - 4% and adjusted EPS projected at $4.25 - $4.35, was slightly below consensus estimates, contributing to the share price decline.
Analysts' consensus rating on HOLX stock is cautiously optimistic, with a "Moderate Buy" rating overall. Out of 18 analysts covering the stock, opinions include seven "Strong Buys,” two "Moderate Buys," and nine "Holds.” This configuration is slightly more bullish than three months ago, with six analysts suggesting a "Strong Buy." As of writing, HOLX is trading below the average analyst price target of $88.75.
