QuidelOrtho (QDEL): Revisiting the Valuation After Insider Buying and a Recent Shift in Investor Sentiment

QuidelOrtho (QDEL) is back on investors radar after a fresh round of insider buying, with both a director and the CEO adding to their positions and giving traders a reason to revisit the stock.

See our latest analysis for QuidelOrtho.

Even with the fresh insider confidence and upcoming healthcare conference appearances, QuidelOrtho's recent 1 month share price return of around 1.6 percent sits against a sharply negative year to date move. This suggests long term momentum is still rebuilding from a weak base.

If this kind of sentiment shift has you scanning the broader sector, it could be a smart moment to explore other potential opportunities across healthcare stocks.

Yet with the shares still down sharply over one and three years, but trading at a sizable discount to analyst targets, should QuidelOrtho now be seen as undervalued, or is the market already pricing in a turnaround in growth?

Most Popular Narrative: 26.1% Undervalued

With QuidelOrtho last closing at $27.82 against a narrative fair value of $37.67, the prevailing view prices in a meaningful recovery path ahead.

Continued operational improvements such as indirect procurement cost reductions, manufacturing site consolidation, and successful ERP system integration are yielding significant margin and EBITDA gains, with incremental savings expected to directly benefit net margins and EPS into 2026 and beyond.

Read the complete narrative.

Curious how modest revenue growth expectations can still back a higher value? The narrative leans on a radical margin reset and a re-rated profit multiple. Want to see the exact road map behind that jump in earnings power and valuation? Dive in to uncover the assumptions driving this fair value call.

Result: Fair Value of $37.67 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, lingering post-pandemic COVID testing declines and execution risks around major integrations could still derail the hoped-for margin reset and re-rating.

Find out about the key risks to this QuidelOrtho narrative.

Build Your Own QuidelOrtho Narrative

If you see the story differently or want to test your own assumptions against the numbers, you can build a custom view in just minutes: Do it your way

A great starting point for your QuidelOrtho research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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