Due in no small part to the willingness of large life sciences
companies to grow by acquisition, there are not all that many
small-to-mid cap companies with solid technologies, products, or market
shares. Bruker (BRKR)
is definitely one of the outliers, as the company has established a
significant presence in areas like nuclear magnetic resonance, molecular
spectroscopy, and advanced X-ray technologies.
Bruker has
historically been more focused on product development and revenue growth
than profitability, but that has started to change. The company has
also started to alter its end-market focus, with clinical microbiology
emerging as a very worthwhile opportunity. Bruker certainly has to prove
that it can execute, and competing with companies like Agilent (A), Danaher (DHR), and Thermo Fisher (TMO)
is no picnic, but Bruker seems to offer some appealing growth
potential. The valuation isn't a slam-dunk at today's price, but there
are definitely some bull-case drivers that could emerge to propel even
better sales and margin performance down the line.
Continue reading here:
A Focus On Margins And Clinical Opportunities Could Transform Bruker
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