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HOLX – Market expectations are for Uniform ROA to fade, but management is confident about their revenue growth, momentum, and Panther placements

June 14, 2021

  • Hologic, Inc. (HOLX:USA) currently trades below recent averages relative to UAFRS-based (Uniform) earnings, with a 12.8x Uniform P/E. At these levels, the market is pricing in bearish expectations for the firm, but management is confident about revenue growth targets, their business momentum, and Panther placements
  • Specifically, management is confident they can grow by more than 5% annually in the long-run, that they expect 18%-26% year-over-year revenue growth, and that their business momentum and recovery will help generate strong revenue growth. Additionally, they are confident their Panther placements are poised to give more options to customers and that the Aptima Combo 2 test has been in the US market for 20 years