Avantor, Inc. (AVTR) AI Stock Analysis
AVTR AI stock analysis summary
AI ResearchAvantor, Inc. (NYSE: AVTR) provides mission-critical products, consumables, and services for biopharma, healthcare, and industrial applications. Over the trailing twelve months, the company generated $6.56B in revenue with an operating margin of 7.2% and a net loss margin of -8.8%. In FY2025, free cash flow stood at $495.0M despite an annual net loss of -$530.2M.
- Market cap
- $11.11B
- Revenue (TTM)
- $6.56B
- P/E
- — fwd 16.9x
- 1Y return
- 12.7% S&P 500 16.8%
- Avg. target
- $15.46 -5.8% vs last close
Bull case
- Avantor generated positive free cash flow of $495.0M in FY2025 despite an annual accounting net loss.
- The stock trades at a price-to-sales ratio of 1.7x, well below the US-listed Healthcare median of 4.1x.
- The company maintains solid liquidity with a current ratio of 1.78 and $5.63B in shareholders' equity as of June 30, 2026.
Bear case
- Revenue contracted 3.4% in FY2025 to $6.55B, accompanied by an annual net loss of -$530.2M.
- The balance sheet carries $3.39B in net debt with only $306.8M in cash and short-term investments as of June 30, 2026.
- The analyst mean price target of $15.46 sits 5.8% below the stock's last close of $16.42.
What Avantor does
Avantor, Inc. is a global provider of mission-critical products and services established in 1904 and based in Radnor, Pennsylvania. Serving biopharma, healthcare, education, government, advanced technologies, and applied materials sectors, the company supplies purity chemicals, reagents, lab products, silicone materials, single-use assemblies, and chromatography resins. Its equipment catalog includes filtration systems, virus inactivation systems, incubators, analytical instruments, and ultra-low-temperature freezers. Avantor also provides lab management, clinical trial support, biopharmaceutical material scale-up, chemical and equipment tracking, and research services like DNA extraction and biorepository management.
Growth and profitability
From FY2021 to FY2025, Avantor's revenue moved from $7.39B to $6.55B, reflecting a 5-year compound annual growth rate of 0.5%. Gross margin was 33.9% in FY2021, reached 53.0% in FY2022, and settled at 32.7% in FY2025. Operating margin declined from 13.2% in FY2021 to -3.8% in FY2025, resulting in an annual net income drop from $572.6M to -$530.2M. Over the trailing twelve months, revenue was $6.56B with an operating margin of 7.2% and EPS of -$0.84. In the latest quarter ended June 30, 2026, quarterly revenue grew 0.5% year-over-year while quarterly earnings declined 37.4%.
Balance sheet and cash flow
As of June 30, 2026, Avantor held $306.8M in cash and short-term investments against $3.70B in total debt, bringing net debt to $3.39B. Shareholders' equity was $5.63B and total assets were $11.60B, with a debt-to-equity ratio of 0.66 and a current ratio of 1.78. In FY2025, operating cash flow reached $623.8M. For capital allocation, the company directed $128.8M toward capital expenditures and $80.7M toward share buybacks, while the 5-year share count change was 9.4%.
Valuation and performance
Avantor carries a market cap of $11.11B and an enterprise value of $13.37B. The stock trades at a forward P/E of 16.9x, compared to 17.3x for the median of its US-listed Healthcare peers. Its price-to-sales multiple is 1.7x, below the peer median of 4.1x, while its EV-to-EBITDA stands at 118.5x compared to the peer median of 12.0x. Over the past year, AVTR gained 12.7%, trailing the S&P 500 (SPY) return of 16.8%, and its 5-year return of -57.2% compares to an 83.0% return for the S&P 500.
What analysts expect
Wall Street analysts hold 2 Strong Buy, 0 Buy, 13 Hold, 1 Sell, and 0 Strong Sell recommendations on Avantor. The mean price target is $15.46, representing a 5.8% discount from the last close of $16.42 on October 16, 2026. For the fiscal year ending December 31, 2026, analysts estimate an EPS of $0.81 (a 9.7% decline) and revenue of $6.59B. For FY2027, 16 analysts project an EPS of $0.88 and revenue of $6.74B. Avantor beat EPS estimates in 2 of the last 4 quarters, and its next earnings date is October 28, 2026.
Key risks and what to watch
- Quarterly earnings fell 37.4% year-over-year in the period ended June 30, 2026, showing near-term profitability pressure.
- The company carries $3.70B in total debt, creating ongoing refinancing and debt service obligations.
- Short interest stands at 7.1% of the float, indicating active market skepticism.
- Avantor met or beat earnings per share estimates in only 2 of the last 4 quarters.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this AVTR AI stock analysis
This page is an AI-written research summary of Avantor, Inc. (AVTR). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: AVTR income statement, AVTR balance sheet, AVTR key metrics, AVTR analyst forecast, AVTR chart. See the AVTR stock overview for the latest quote and news.
AVTR AI stock analysis FAQ
What is Avantor's net debt?
As of June 30, 2026, Avantor had total debt of $3.70B and cash of $306.8M, resulting in net debt of $3.39B.
What are analysts expecting for Avantor's revenue in 2026?
Analysts forecast full-year FY2026 revenue of $6.59B, alongside an EPS estimate of $0.81.
Does Avantor pay a dividend?
Avantor does not pay a dividend based on the provided data.
When is Avantor's next earnings report?
Avantor's next earnings release is scheduled for October 28, 2026.