HOLX Stock Analysis — Hologic
Sector: Healthcare
AI Verdict
Hologic trades at 17.0x next year's earnings while analysts expect a huge 76.6% EPS jump—cheap for the growth on offer if its entrenched diagnostics business keeps delivering.
Competitive Moat
Hologic specializes in diagnostic and medical imaging systems for women's health, with a defensible position built on proprietary technologies in breast and cervical cancer screening. Its installed base in hospitals and labs creates high switching costs and recurring revenue from consumables.
Summary
A sharp drop in forward P/E to 17.0x with 76.6% expected EPS growth makes Hologic's valuation reset stand out in the healthcare sector.
Where It Stands
Hologic delivered 2.2% revenue growth and trades at 17.0x forward earnings, a discount to the healthcare sector median of 22x, while its trailing P/E of 30.0x reflects past slower growth.
Key Metrics
- Trailing P/E: 30.0x
- Forward P/E: 17.0x
- PEG Ratio: 0.39
- Earnings Growth: +0.8%
- Revenue Growth: +0.0%
- Market Cap: $17.0B
- 52-Week High: $76.07
- 52-Week Low: $63.19
Analyst Consensus
0 Buy · 20 Hold · 3 Sell (23 analysts)
Bull Case
With analysts forecasting 76.6% EPS growth and a forward P/E of 17.0x, you're paying a low price for a big earnings jump if the company's diagnostic moat holds.
Bear Case
If the forward P/E reverts to the trailing 30.0x level, the stock would need to deliver on that 76.6% EPS growth or risk a sharp correction.
Catalyst to Watch
Watch the next quarterly earnings for confirmation that EPS growth is materializing at the expected 76.6% rate.