10Y annualized return is
positive but below market average
at 6.1% per year
RVTY has met or exceeded earnings expectations in
the majority of
recent quarters (7/10)
Reasonable Price-to-Book Ratio
Strong Gross Profit Margin
Healthy Net Profit Margin
Strong Liquidity Ratios
Manageable Debt Levels
📈 Strong Financial Performance
🔬 Innovative Product Pipeline
🌍 Diverse Customer Base
🚀 Expected Organic Growth
💡 Strategic Investments Planned
🔗 Strong Partnerships
High Price-to-Earnings Ratio
Elevated Price-to-Sales Ratio
Low Return on Equity
High EV/EBITDA Ratio
⚠️ Uncertain Market Conditions
📉 Instrumentation Challenges
💰 FX Headwinds
🛑 Cautious Market Outlook
Revvity exhibits strong business quality through solid financial performance, innovation, and a diverse customer base. However, uncertainties in the market and challenges in instrumentation pose risks. Future prospects look promising with anticipated organic growth and strategic investments, but FX headwinds and a cautious outlook temper expectations.
Analysis Date: January 31, 2025
Last Updated: March 12, 2025
Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.
Revvity, Inc. is a company that helps scientists and doctors by providing tools and services for medical testing and research. They create instruments and software that allow for the early detection of diseases and genetic disorders, like Down syndrome and infections. Revvity also offers solutions for studying the environment, such as testing air and water quality. Overall, their work supports healthcare, agriculture, and research to improve people's health and safety.
Streams of revenue
Geographic Distribution
Core Products
Business Type
Business to Business
Competitive Advantages
Key Business Risks
Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Benjamin Graham's value investing approach focuses on finding stocks with a significant margin of safety between their intrinsic value and market price.
Intrinsic Value
Estimated fair value based on Graham's formula
$28.15
Current Market Price: $87.52
IV/P Ratio: 0.32x (>1.0 indicates undervalued)
Margin of Safety
Gap between intrinsic value and market price
-211.0%
Graham recommended a minimum of 20-30% margin of safety
Higher values indicate a greater potential discount to fair value
Graham Criteria Checklist
Benjamin Graham's value investing checklist for RVTY
Positive earnings (5+ years)
Dividend history (5+ years)
P/E ratio ≤ 20 (42.12)
P/B ratio ≤ 1.5 (1.61)
Current ratio ≥ 2.0 (3.60x)
Long-term debt < Net current assets (1.95x)
Margin of safety (-211.0%)
RVTY does not meet all Graham criteria
Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.
Return on Equity (ROE)
Measures how efficiently a company uses its equity to generate profits
3.98%
Higher values indicate better returns for shareholders
TTM (as of 2025-04-30)
Gross Profit Margin
Percentage of revenue retained after accounting for cost of goods sold
52.50%
Higher values indicate better efficiency in production
TTM (as of 2025-04-30)
Net Profit Margin
Percentage of revenue retained after accounting for all expenses
10.64%
Higher values indicate better overall profitability
TTM (as of 2025-04-30)
The gross profit margin of 52.50% indicates the company retains a high percentage of revenue after covering the cost of goods sold, reflecting operational efficiency.
With a net profit margin of 10.64%, RVTY demonstrates solid profitability after all expenses, taxes, and interest, indicating a strong control over costs.
The return on equity of 3.75% is relatively low, suggesting that the company is not generating strong returns for its shareholders.
Financial health metrics assess a company's ability to meet its financial obligations and its overall financial stability.
Debt to Equity Ratio
Total debt divided by total equity
0.43x
Lower values indicate less financial leverage and risk
Less than 1.0 is conservative, 1.0-2.0 is moderate, >2.0 indicates high risk
Q4 2024
Current Ratio
Current assets divided by current liabilities
3.60x
Higher values indicate better short-term liquidity
Less than 1.0 is concerning, 1.0-2.0 is adequate, greater than 2.0 is good
Q4 2024
The current ratio of 3.60 and quick ratio of 3.03 indicate that the company has a strong liquidity position, enabling it to cover short-term liabilities comfortably.
A debt-to-equity ratio of 0.43 indicates that the company maintains a conservative level of debt relative to its equity, reducing financial risk.
The EV/EBITDA ratio of 17.96 indicates that the company may be overvalued when considering its earnings before interest, taxes, depreciation, and amortization.
Meeting Expectations
Higher values indicate better execution and credibility
Recent Results
EPS
Revvity demonstrated solid financial performance with a 6% organic growth in Q4 2024 and a 28.3% adjusted operating margin, indicating strong operational efficiency. The adjusted EPS of $1.42 was above expectations, showcasing their ability to manage costs effectively.
The company is actively innovating, with successful launches like the Phenologic.AI software and advancements in life sciences consumables. These innovations are driving growth in a competitive market.
Revvity's customer base includes pharma biotech, academic, and government sectors, providing resilience against market fluctuations. They are witnessing a return to growth from pharma biotech customers for the first time since early 2023.
The company noted ongoing uncertainties in the market, particularly related to regulatory and geopolitical factors, which may affect future spending and recovery.
High-ticket life science instrumentation continues to face challenges, with a noted decline in revenue and slower recovery compared to other segments, indicating a weaker position in this category.
For 2025, the company projects organic growth to improve to a range of 3% to 5%, showing signs of recovery from previous years and optimism about market normalization.
Revvity plans to increase strategic internal investments in 2025, focusing on digital and AI capabilities, which are expected to enhance their competitive position and drive future growth.
The expansion of partnerships, such as with Genomics England and Element Biosciences, positions Revvity well in emerging markets like neonatal sequencing, providing new revenue streams.
Foreign exchange fluctuations are expected to create a headwind for revenue growth and EPS, which could impact overall financial performance in 2025.
While there are positive trends, the company is adopting a conservative stance in its guidance due to geopolitical uncertainties and the ongoing normalization of demand, which may limit upside potential.
