Why Is Hologic (HOLX) Up 1% Since Last Earnings Report?

It has been about a month since the last earnings report for Hologic (HOLX). Shares have added about 1% in that time frame, outperforming the S&P 500.But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Hologic due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.Hologic Surpasses Q4 Earnings and Revenue EstimatesHologic, Inc. reported adjusted earnings per share of $1.13 in the fourth quarter of fiscal 2025, up 11.9% year over year. The metric surpassed the Zacks Consensus Estimate by 2.73%.The adjustments include charges and benefits related to the amortization of acquired intangible assets, restructuring charges, facility closure and consolidation charges and many others. The company’s GAAP earnings per share was 83 cents in the quarter, which increased 9.2% year over year.Meanwhile, fiscal 2025 adjusted earnings per share was $4.26, up 4.4% from fiscal 2024.HOLX’s RevenuesRevenues totaled $1.05 billion in the quarter, up 6.2% year over year (5.4% at the constant exchange rate or CER). The top line beat the Zacks Consensus Estimate by 1.49%.Fiscal 2025 revenues of $4.10 billion were up 1.7% relative to fiscal 2024.HOLX’s Q4 Revenues by RegionIn the fiscal fourth quarter, U.S. revenues increased 5.2% to $784.4 million. This surpassed our model’s projection of $763.7 million.International revenues amounted to $265.1 million, up 9.4% year over year (6% at CER). Our model’s projection was $265.7 million.HOLX’s Segmental Breakdown of Q4 RevenuesDiagnosticsRevenues in the segment increased 2.4% year over year (up 01.5% at CER) to $454.1 million in the quarter, mainly driven by higher core U.S. molecular diagnostics sales. This compares with our model’s segmental projection of $447.3 million.Excluding COVID-19 revenues, organic Diagnostics revenues jumped 5.4% on a reported basis.Within the division, Cytology & Perinatal revenues of $123.1 million rose 4.1% at CER. Molecular Diagnostics revenues of $323.1 million increased 0.4% at CER, thanks to higher sales of the BV CV/TV and Panther Fusion assays.  Blood Screening revenues of $7.9 million were up 5.3% year over year at CER.Breast HealthThe segment’s revenues surged 4.8% from the year-ago period (up 4.2% at CER) to $393.7 million. Our model projected revenues of $375.8 million for this segment.Excluding sales from the divested SSI business as well as July sales from the acquired Endomagnetics business, organic Breast Health revenues increased 3.3% (2.7% at constant currency).GYN SurgicalSurgical revenues grew 10.2% year over year (9.5% at CER) to $172.5 million, mainly driven by increased sales of MyoSure and Fluent, and the acquired Gynesonics business. Our model projected revenues of $175.1 million in this segment.Skeletal HealthRevenues surged 129.9% year over year (128.1% at CER) to $29.2 million. Our model projected revenues of $31.1 million for this segment.Hologic’s Operational UpdateIn the fiscal fourth quarter, the company-provided adjusted gross margin decreased 60 basis points (bps) to 60.9%, mainly due to the product mix and higher tariff expenses. Hologic’s adjusted operating margin was 31.2%, up 120 bps, due to increased leverage on operating expenses from revenue growth.HOLX’s Financial UpdateHologic ended the fourth quarter of fiscal 2025 with cash and cash equivalents of $1.96 billion compared with $2.16 billion at the end of fiscal 2024.Total long-term debt (including the current portion) was $2.51 billion compared with $2.53 billion at the end of fiscal 2024.Net cash provided by operating activities at the end of the fiscal fourth quarter was $1.06 billion compared with $1.29 billion a year ago.How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a upward trend in estimates review.VGM ScoresAt this time, Hologic has a nice Growth Score of B, a grade with the same score on the momentum front. Following the exact same course, the stock has a score of B on the value side, putting it in the second quintile for this investment strategy.Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, Hologic has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.Performance of an Industry PlayerHologic is part of the Zacks Medical - Instruments industry. Over the past month, Thermo Fisher Scientific (TMO), a stock from the same industry, has gained 2.7%. The company reported its results for the quarter ended September 2025 more than a month ago.Thermo Fisher reported revenues of $11.12 billion in the last reported quarter, representing a year-over-year change of +4.9%. EPS of $5.79 for the same period compares with $5.28 a year ago.For the current quarter, Thermo Fisher is expected to post earnings of $6.43 per share, indicating a change of +5.4% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.1% over the last 30 days.Thermo Fisher has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D.Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.See "2nd Wave" AI stocks now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Hologic, Inc. (HOLX): Free Stock Analysis Report Thermo Fisher Scientific Inc. (TMO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks