Has Waters Corporation's stock lagged behind the performance of the S&P 500?
In the world of large-cap stocks, Waters Corporation has experienced a turbulent year, with shares dropping 8.1% over the past 52 weeks, while the S&P 500 Index has returned over 18%. This downturn, however, does not tell the whole story.
Waters Corporation, a global leader in liquid chromatography, mass spectrometry, thermal analysis, rheometry, calorimetry, software, and consumables, serves a diverse customer base that includes pharmaceutical, life sciences, industrial, academic, and government entities worldwide. The company operates through two segments: Waters and TA.
Despite the recent dip, analysts maintain a moderately optimistic view on Waters Corporation, with a consensus rating of 'Moderate Buy' from 17 analysts in coverage. The mean price target for the company stands at $361.88, representing a premium of 18.1% to current levels.
However, the acquisition of Becton Dickinson's bioscience and diagnostics unit has been viewed as a 'high-priced deal of a weaker business' with potential integration risks. This acquisition, announced earlier this year, caused Waters' stock to fall 1.6% on Aug. 4.
The company's stock has also been trading below its 200-day moving average since April. Despite these challenges, Waters Corporation raised its annual EPS guidance to $12.95 - $13.05.
In Q2 2025, the company reported stronger-than-expected adjusted EPS of $2.95 and revenue of $771.3 million. However, academic and government sales declined 3% amid uncertainty around U.S. research funding.
Waters Corporation's biggest competitors include Agilent Technologies, Thermo Fisher Scientific, and Shimadzu Corporation. Analyst opinions on these companies' stocks currently show a generally positive outlook due to their strong positions in life sciences and analytical instruments markets.
Interestingly, rival Quest Diagnostics Incorporated (DGX) has outperformed Waters Corporation, with a YTD gain of 21.5% and a 52-week gain of 17.9%.
Despite the recent decline, it's important to note that the information and data presented here are solely for informational purposes. Readers are advised to refer to the website's Disclosure Policy for more information.
As of the publication date, Sohini Mondal did not have positions in any of the securities mentioned in the article.
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