Azenta, Inc. (NASDAQ: AZTA)

Sector: Healthcare Industry: Medical Instruments & Supplies CIK: 0000933974
Market Cap 1.32 Bn
P/B 0.77
P/E -22.79
P/S 2.22
ROIC (Qtr) -1.61
Div Yield % 0.00
Rev 1y % (Qtr) 0.82
Total Debt (Qtr) 54.46 Mn
Debt/Equity (Qtr) 0.03

About

Azenta, Inc., also known as AZTA, is a prominent player in the life sciences industry, offering a wide range of solutions for biological and chemical compound sample exploration and management. The company has been in operation since 1978, initially established as a leading automation provider for the global semiconductor manufacturing industry. Over the years, Azenta has expanded its services and products through strategic acquisitions and internal investments, evolving into a life sciences company that specializes in comprehensive sample management...

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Price action

Investment thesis

Bull case

  • Strong operating cash flow of 62.40M provides robust 1.15x coverage of total debt 54.46M, indicating excellent debt servicing capability and financial flexibility.
  • Strong tangible asset base of 1.28B provides 23.42x coverage of total debt 54.46M, indicating robust asset backing and low credit risk.
  • Tangible assets of 1.28B provide exceptional 38.81x coverage of deferred revenue 32.86M, showing strong service capability backing.
  • Long-term investments of 155.91M provide solid 2.86x coverage of long-term debt 54.46M, indicating strategic financial planning.
  • Retained earnings of 1.40B provide full 25.79x coverage of long-term debt 54.46M, indicating strong internal capital position.

Bear case

  • Operating cash flow of 62.40M barely covers its investment activities of (129.94M), with a coverage ratio of -0.48, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (129.94M) provide weak support for R&D spending of 33.20M, which is -3.91x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • The company's operating cash flow of 62.40M shows concerning coverage of stock compensation expenses of 19.83M, with a 3.15 ratio indicating potential earnings quality issues.
  • Operating cash flow of 62.40M provides minimal -1.95x coverage of tax expenses of (32.04M), suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Operating earnings of (89.89M) show weak coverage of depreciation charges of 56.76M, with a -1.58 ratio indicating high capital intensity and potential reinvestment needs.

Geographical Breakdown of Revenue (2025)

Segments Breakdown of Revenue (2025)

Peer comparison

Companies in the Medical Instruments & Supplies
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 ISRG Intuitive Surgical Inc 174.27 Bn 61.02 17.31 0.00 Bn
2 BDX Becton Dickinson & Co 59.72 Bn 37.77 3.14 19.18 Bn
3 RMD Resmed Inc 39.76 Bn 26.76 7.37 0.85 Bn
4 ALC Alcon Inc 38.93 Bn 37.18 3.82 5.24 Bn
5 WST West Pharmaceutical Services Inc 17.69 Bn 133.13 12.54 0.30 Bn
6 HOLX Hologic Inc 16.81 Bn 30.91 4.07 2.52 Bn
7 COO Cooper Companies, Inc. 16.37 Bn 43.67 4.00 2.51 Bn
8 ALGN Align Technology Inc 13.73 Bn 36.29 3.45 0.09 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.52 2.75
EV to Cash from Ops. EV/CFO 17.43 39.87
EV to Debt EV to Debt 19.97 27.09
EV to EBIT EV/EBIT -12.10 32.86
EV to EBITDA EV/EBITDA 31.97 19.31
EV to Free Cash Flow [EV/FCF] EV/FCF 35.17 0.88
EV to Market Cap EV to Market Cap 0.82 -4.26
EV to Revenue EV/Rev 1.83 252.61
Price to Book Value [P/B] P/B 0.77 6.13
Price to Earnings [P/E] P/E -22.79 184.03
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 -1.09
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 1.36
Dividend per Basic Share Div per Share (Qtr) 0.00 0.25
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 8.74
Interest Coverage Int. cover (Qtr) 0.00 -117.83
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 7.04 -53.47
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -10.68 414.02
Dividend Growth (1y) % Div 1y % (Qtr) 0.00 -1.48
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 63.88 -57.42
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -21.30 -106.89
EBIT Growth (1y) % EBIT 1y % (Qtr) 41.04 -37.00
EBT Growth (1y) % EBT 1y % (Qtr) 41.04 -42.63
EPS Growth (1y) % EPS 1y % (Qtr) 58.55 -15.05
FCF Growth (1y) % FCF 1y % (Qtr) -3.14 56.29
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 1.38 67.95
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.29 0.54
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.03
Cash Ratio Cash Ratio (Qtr) 1.27 2.51
Current Ratio Curr Ratio (Qtr) 2.92 7.80
Debt to Equity Ratio Debt/Equity (Qtr) 0.03 0.55
Interest Cover Ratio Int Coverage (Qtr) 0.00 -117.83
Times Interest Earned Times Interest Earned (Qtr) 0.00 -117.83
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -5.60 -2,368.59
EBIT Margin % EBIT Margin % (Qtr) -15.11 -2,472.59
EBT Margin % EBT Margin % (Qtr) -15.11 -2,442.52
Gross Margin % Gross Margin % (Qtr) 44.60 30.06
Net Profit Margin % Net Margin % (Qtr) -9.70 -2,438.49