Should You Continue to Retain QIAGEN Stock in Your Portfolio Now?

QIAGEN N.V.’s QGEN solid potential in the molecular diagnostics area is poised to help it grow in the coming quarters. The company continues to progress with its test menu expansion, building a solid foundation to achieve its long-term targets. Strategic collaborations with Eli Lilly are helping it develop and market its existing and potential products. Meanwhile, the adverse impact of macroeconomic challenges as well as intense competition remain a concern for QIAGEN’s operations.In the past year, this Zacks Rank #3 (Hold) company's shares have risen 2.4% against the industry's 0.8% decline. The S&P 500 composite has increased 33.3% in the same time frame.The renowned global provider of sample and assay technologies has a market capitalization of $9.88 billion. QGEN’s earnings surpassed estimates in three of the trailing four quarters and missed on one occasion, delivering an average surprise of 3.5%.Find the latest earnings estimates and surprises on the Zacks Earnings Calendar.Tailwinds for QIAGEN Huge Potential in Molecular Diagnostics: QIAGEN offers one of the broadest portfolios of molecular technologies for healthcare. The company has established itself as a preferred partner to co-develop companion diagnostics paired with targeted drugs, together with a rich pipeline of molecular tests transforming the treatment of cancer and other diseases.In the third quarter of 2024, sales in the Diagnostic Solutions product group grew 10% compared to the year-ago period, driven by solid gains in consumables sales. The QuantiFERON test delivered its sixth consecutive quarter of sales above $100 million, supported by solid demand in all regions from conversion gains against the tuberculin skin test. QIAstat-Dx testing system grew 41%, consistently gaining consumables and a good level of instrument placement.Progress With Test Menu Expansion: QIAGEN marked several important product launches and key milestones, positioning it well to meet its 2028 goals. In September 2024, the QIAstat-Dx syndromic testing systems and associated assays received CE marking under the European Union's new In-Vitro Diagnostic Medical Devices Regulation.Image Source: Zacks Investment ResearchBuilding on the success in syndromic testing, QIAGEN is also expanding the ecosystem for QIAstat into precision medicine, signing a number of pharma collaborations to use this technology in precision medicine applications. The company made significant strides in the QIAcuity digital PCR system, including the addition of 100 new validated assays in areas such as cancer research, inherited genetic disorders and infectious disease surveillance. Moreover, the recent expansion of the U.S. test menu boosts the company’s confidence in exceeding the 2024 sales target of at least $100 million.Strategic Collaborations to Drive Growth: QIAGEN’s long-term business strategy involves entering into strategic alliances as well as marketing and distribution arrangements with academic, corporate and other partners relating to the development, commercialization, marketing and distribution of certain of their existing and potential products.In September 2024, the company announced a collaboration with Eli Lilly and Company to support the development of a QIAstat-Dx in-vitro diagnostic (IVD) to detect APOE genotypes, which can play a key role in Alzheimer’s disease diagnosis. QIAGEN has named Bode Technology its exclusive global commercial partner for the GEDmatch PRO genealogy database, used to assist police and forensic teams with investigative comparisons of genetic data. The company also extended its strategic partnership with Bio-Manguinhos/Fiocruz to enhance malaria and dengue detection in Brazil’s national screening programs.Downsides for QIAGEN Macro Headwinds Hamper Global Sales: QIAGEN’s international operations are subject to a variety of risks arising from the economy, political outlook, language and cultural barriers in the countries it operates. In many of these emerging markets, economies may be dependent on only a few products and are therefore subject to significant fluctuations, weak legal systems that may affect the ability to enforce contractual rights, exchange controls, unstable governments, and privatization or other government actions affecting the flow of goods and currency. In the quarter under review, the company’s sales in the Asia Pacific, Japan and the Rest of World region declined 2% year over year, reflecting challenging macro demand trends in China.Competitive Headwinds: Considering QIAGEN’s huge gamut of services, the company is facing increasing competition from firms that provide competitive pre-analytical solutions and other products used by customers. The markets for some of the company’s products are very competitive and price-sensitive. Other product suppliers may have significant advantages in terms of financial, operational, sales and marketing resources and experience in research and development.QGEN Stock Estimate TrendIn the past 30 days, the Zacks Consensus Estimate for QIAGEN’s 2024 earnings per share has increased 1.4% to $2.18. The Zacks Consensus Estimate for the company’s 2024 revenues is pegged at $1.98 billion. This suggests an increase of 0.6% from the year-ago reported number.Key PicksSome better-ranked stocks in the broader medical space are Haemonetics HAE, Boston Scientific BSX and Phibro Animal Health PAHC.Haemonetics has an earnings yield of 5.41% compared with the industry’s 1.75%. Haemonetics’ earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed on one occasion, the average surprise being 2.82%. Its shares have risen 1.5% compared with the industry’s 20.9% growth in the past year.HAE carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Boston Scientific, carrying a Zacks Rank #2 at present, has a long-term estimated earnings growth rate of 13.8%. Shares of the company have surged 65.7% compared with the industry’s 21% growth. BSX’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 8.29%.Phibro Animal Health, carrying a Zacks Rank #2 at present, has an estimated earnings growth rate of 35.3% for fiscal 2025 compared with the industry’s 11.1%. Shares of the company have risen 81.2% compared with the industry’s 14.5% growth over the past year. PAHC’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 25.47%.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Boston Scientific Corporation (BSX): Free Stock Analysis Report Haemonetics Corporation (HAE): Free Stock Analysis Report QIAGEN N.V. (QGEN): Free Stock Analysis Report Phibro Animal Health Corporation (PAHC): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks