NasdaqGS:IDXX

Stock Analysis Report

Executive Summary

IDEXX Laboratories, Inc., together with its subsidiaries, develops, manufactures, and distributes products and services primarily for the companion animal veterinary, livestock and poultry, dairy, and water testing markets worldwide.


Snowflake Analysis

Proven track record with mediocre balance sheet.


Similar Companies

Share Price & News

How has IDEXX Laboratories's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: IDXX has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.7%

IDXX

1.1%

US Medical Equipment

0.5%

US Market


1 Year Return

37.6%

IDXX

21.9%

US Medical Equipment

20.3%

US Market

Return vs Industry: IDXX exceeded the US Medical Equipment industry which returned 21.9% over the past year.

Return vs Market: IDXX exceeded the US Market which returned 20.3% over the past year.


Shareholder returns

IDXXIndustryMarket
7 Day2.7%1.1%0.5%
30 Day1.8%0.4%2.0%
90 Day11.6%8.3%9.4%
1 Year37.6%37.6%22.9%21.9%22.8%20.3%
3 Year104.5%104.5%82.5%77.4%50.1%40.4%
5 Year270.5%270.5%116.4%93.7%73.1%54.1%

Price Volatility Vs. Market

How volatile is IDEXX Laboratories's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is IDEXX Laboratories undervalued compared to its fair value and its price relative to the market?

58.58x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: IDXX ($290.97) is trading above our estimate of fair value ($122.83)

Significantly Below Fair Value: IDXX is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: IDXX is poor value based on its PE Ratio (58.6x) compared to the Medical Equipment industry average (47.5x).

PE vs Market: IDXX is poor value based on its PE Ratio (58.6x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: IDXX is poor value based on its PEG Ratio (4.8x)


Price to Book Ratio

PB vs Industry: IDXX is overvalued based on its PB Ratio (140.1x) compared to the US Medical Equipment industry average (4.1x).


Next Steps

Future Growth

How is IDEXX Laboratories forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

12.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IDXX's forecast earnings growth (12.1% per year) is above the savings rate (1.7%).

Earnings vs Market: IDXX's earnings (12.1% per year) are forecast to grow slower than the US market (14.2% per year).

High Growth Earnings: IDXX's earnings are forecast to grow, but not significantly.

Revenue vs Market: IDXX's revenue (9.2% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: IDXX's revenue (9.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if IDXX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has IDEXX Laboratories performed over the past 5 years?

20.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IDXX has high quality earnings.

Growing Profit Margin: IDXX's current net profit margins (17.8%) are higher than last year (17%).


Past Earnings Growth Analysis

Earnings Trend: IDXX's earnings have grown by 20% per year over the past 5 years.

Accelerating Growth: IDXX's earnings growth over the past year (13.4%) is below its 5-year average (20% per year).

Earnings vs Industry: IDXX earnings growth over the past year (13.4%) exceeded the Medical Equipment industry 7.1%.


Return on Equity

High ROE: Whilst IDXX's Return on Equity (240.57%) is outstanding, this metric is skewed due to their high level of debt.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is IDEXX Laboratories's financial position?


Financial Position Analysis

Short Term Liabilities: IDXX's short term assets ($679.6M) do not cover its short term liabilities ($725.3M).

Long Term Liabilities: IDXX's short term assets ($679.6M) do not cover its long term liabilities ($929.3M).


Debt to Equity History and Analysis

Debt Level: IDXX's debt to equity ratio (555.4%) is considered high.

Reducing Debt: IDXX's debt to equity ratio has reduced from 772.1% to 555.4% over the past 5 years.

Debt Coverage: IDXX's debt is well covered by operating cash flow (46.5%).

Interest Coverage: IDXX's interest payments on its debt are well covered by EBIT (18.1x coverage).


Balance Sheet

Inventory Level: IDXX has a high level of physical assets or inventory.

Debt Coverage by Assets: IDXX's debt is not covered by short term assets (assets are 0.7x debt).


Next Steps

Dividend

What is IDEXX Laboratories's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate IDXX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate IDXX's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IDXX's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IDXX's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IDXX's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.4yrs

Average management tenure


CEO

Jay Mazelsky (58yo)

0.7yrs

Tenure

US$2,897,125

Compensation

Mr. Jonathan J. Mazelsky, also known as Jay, has been President, Chief Executive Officer and Director at IDEXX Laboratories, Inc. since October 23, 2019. Mr. Mazelsky was an Interim President and Chief Exe ...


CEO Compensation Analysis

Compensation vs Market: Jay's total compensation ($USD2.90M) is below average for companies of similar size in the US market ($USD10.78M).

Compensation vs Earnings: Jay's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jonathan Mazelsky
President0.7yrsUS$2.90m0.050% $12.2m
Brian McKeon
CFO, Executive VP & Treasurer6.1yrsUS$2.91m0.055% $13.6m
Kathy Turner
Chief Marketing Officer & Corporate VP0.08yrsUS$1.94m0.014% $3.5m
Jonathan Ayers
Senior Advisor & Director18.1yrsUS$6.82m1.21% $296.0m
Michael Lane
Executive VP and GM of Reference Laboratories & Information Technology0.08yrsUS$1.36m0.0024% $575.0k
John Hart
Corporate Vice President of Worldwide Operations2.4yrsno datano data
Jeffery Chadbourne
Senior Director of Accounting & Financial Reporting5.1yrsno datano data
Jeffrey Thomas
Corporate VP & Chief Technology Officer4.8yrsno datano data
Ken Grady
Corporate VP & Chief Information Officer4yrsno datano data
Kerry Bennett
Vice President of Investor Relations0yrsno datano data

2.4yrs

Average Tenure

57.5yo

Average Age

Experienced Management: IDXX's management team is considered experienced (2.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jonathan Mazelsky
President0.7yrsUS$2.90m0.050% $12.2m
Jonathan Ayers
Senior Advisor & Director18.1yrsUS$6.82m1.21% $296.0m
M. Szostak
Independent Director7.6yrsUS$282.53k0.012% $2.9m
Daniel Junius
Independent Director5.9yrsUS$280.03k0.0033% $807.5k
Bruce Claflin
Independent Director4.6yrsUS$275.03k0.0016% $403.7k
Stuart Essig
Independent Director2.6yrsUS$260.03k0.0010% $244.7k
Rebecca Henderson
Independent Director16.6yrsUS$270.03k0.017% $4.2m
Lawrence Kingsley
Independent Chairman & Lead Director0.3yrsUS$272.53k0.0079% $1.9m
Sophie Vandebroek
Independent Director6.6yrsUS$260.03k0.010% $2.5m
Sam Samad
Director0.6yrsno datano data

5.3yrs

Average Tenure

58yo

Average Age

Experienced Board: IDXX's board of directors are considered experienced (5.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

IDEXX Laboratories, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: IDEXX Laboratories, Inc.
  • Ticker: IDXX
  • Exchange: NasdaqGS
  • Founded: 1983
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$24.468b
  • Shares outstanding: 85.33m
  • Website: https://www.idexx.com

Number of Employees


Location

  • IDEXX Laboratories, Inc.
  • One IDEXX Drive
  • Westbrook
  • Maine
  • 4092
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IDXXNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 1991
IX1DB (Deutsche Boerse AG)YesCommon StockDEEURJun 1991
IDXXWBAG (Wiener Boerse AG)YesCommon StockATEURJun 1991
0J8PLSE (London Stock Exchange)YesCommon StockGBUSDJun 1991
IX1ETLX (Eurotlx)YesCommon StockITEURJun 1991
I1DX34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 5 REPR 1 COMBRBRLJan 2020

Biography

IDEXX Laboratories, Inc., together with its subsidiaries, develops, manufactures, and distributes products and services primarily for the companion animal veterinary, livestock and poultry, dairy, and water testing markets worldwide. The company operates through Companion Animal Group; Water Quality Products; Livestock, Poultry and Dairy; and Other segments. It provides point-of-care veterinary diagnostic products, including instruments, consumables, and rapid assay test kits; veterinary reference laboratory diagnostic and consulting services; practice management and diagnostic imaging systems and services for veterinarians; and health monitoring, biological materials testing, and laboratory animal diagnostic instruments and services for biomedical research community, as well as diagnostic and health-monitoring products for livestock, poultry, and dairy; products that test water for various microbiological contaminants; and point-of-care electrolytes and blood gas analyzers that are used in the human point-of-care medical diagnostics market. It markets its products through marketing, customer service, sales, and technical service groups, as well as through independent distributors and other resellers. IDEXX Laboratories, Inc. was incorporated in 1983 and is headquartered in Westbrook, Maine. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 23:57
End of Day Share Price2020/02/19 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.