BURLINGTON, MA—Martin D. Madaus, a director at Azenta, Inc. (NASDAQ:AZTA), has made a significant purchase of company stock, according to a recent SEC filing. On November 19, Madaus acquired 4,940 shares of Azenta common stock with a total transaction value of $201,403. The shares were purchased at a weighted average price of $40.77, with individual prices ranging between $40.59 and $40.90.
Following this transaction, Madaus holds a total of 7,405 shares in the company. The purchase indicates a continued investment in Azenta, which specializes in special industry machinery. This move may reflect confidence in the company's strategic direction and future prospects.
In other recent news, Azenta Inc. reported its fourth fiscal quarter of 2024 results, matching consensus on revenue and EBITDA, and exceeding expectations on earnings per share (EPS). However, the firm experienced a 2% decrease in annual revenue for FY 2024, totaling $656 million. Despite this, Azenta's core businesses, Sample Management Services (SMS) and Multiomics, experienced an organic growth of 4%, with Q4 revenue reaching $170 million.
Azenta announced strategic shifts, including the divestiture of B Medical (TASE:PMCN) Systems, which is expected to be finalized in the first half of fiscal year 2025. This move is anticipated to lead to a more stable growth trajectory for Azenta. In line with these changes, Azenta's fiscal year 2025 guidance has been adjusted to exclude B Medical's contributions.
Needham revised its price target for Azenta to $55.00, down from the previous $69.00, while reaffirming a Buy rating. Evercore ISI also adjusted its price target for Azenta from $50 to $48, maintaining an In Line rating. These adjustments came after the company's recent earnings report and the announcement of the divestiture.
Azenta forecasts 3% to 5% organic revenue growth for 2025, excluding B Medical, with growth expected in the low single digits for Multiomics and in the mid-single digits for SMS. These are the recent developments for Azenta.
InvestingPro Insights
Martin D. Madaus's recent purchase of Azenta (NASDAQ:AZTA) shares comes at a time when the stock is trading near its 52-week low, according to InvestingPro data. This insider buying activity aligns with several key insights from InvestingPro that may shed light on the company's current position and future outlook.
InvestingPro Tips highlight that Azenta holds more cash than debt on its balance sheet, suggesting a strong financial position. This could be a factor in Madaus's decision to increase his stake, as it indicates the company has financial flexibility to weather challenges or pursue growth opportunities.
Additionally, InvestingPro data shows that Azenta's revenue for the last twelve months as of Q4 2024 stood at $656.32 million, with a gross profit margin of 40.73%. While the company is not currently profitable, analysts predict it will turn a profit this year, which could be a positive sign for investors like Madaus.
It's worth noting that Azenta's stock has taken a significant hit recently, with a 12.22% decline in the past week alone. This downturn might have presented what Madaus perceives as a buying opportunity, especially considering the stock is trading at 58.81% of its 52-week high.
For investors seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for Azenta, providing a deeper understanding of the company's financial health and market position.
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