Have you been paying attention to shares of BioLife Solutions, Inc. (BLFS)? Shares have been on the move with the stock up 9.8% over the past month. The stock hit a new 52-week high of $29.46 in the previous session. BioLife Solutions, Inc. has gained 9.8% since the start of the year compared to the -0.6% move for the Zacks Medical sector and the 20.9% return for the Zacks Medical - Products industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on November 12, 2024, BioLife Solutions reported EPS of $-0.02 versus consensus estimate of $-0.09 while it beat the consensus revenue estimate by 21.98%.
Valuation Metrics
BioLife Solutions may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.
BioLife Solutions has a Value Score of F. The stock's Growth and Momentum Scores are A and B, respectively, giving the company a VGM Score of B.
Zacks Rank
We also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, BioLife Solutions currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if BioLife Solutions passes the test. Thus, it seems as though BioLife Solutions shares could have potential in the weeks and months to come.
How Does BLFS Stack Up to the Competition?
Shares of BLFS have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Phibro Animal Health Corporation (PAHC). PAHC has a Zacks Rank of # 2 (Buy) and a Value Score of A, a Growth Score of A, and a Momentum Score of C.
Earnings were strong last quarter. Phibro Animal Health Corporation beat our consensus estimate by 52.17%, and for the current fiscal year, PAHC is expected to post earnings of $1.62 per share on revenue of $1.18 billion.
Shares of Phibro Animal Health Corporation have gained 4.7% over the past month, and currently trade at a forward P/E of 13.57X and a P/CF of 10.4X.
The Medical - Products industry is in the top 35% of all the industries we have in our universe, so it looks like there are some nice tailwinds for BLFS and PAHC, even beyond their own solid fundamental situation.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.3% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>BioLife Solutions, Inc. (BLFS) : Free Stock Analysis Report
Phibro Animal Health Corporation (PAHC) : Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
