Pacific Biosciences of California, Inc. (PACB) AI Stock Analysis

Pacific Biosciences of California, Inc., headquartered in Menlo Park, California, specializes in the design, development, and manufacturing of advanced sequencing systems tailored to unravel genetically complex challenges. At the core of its portfolio are PacBio Systems, which execute, monitor, and analyze biochemical sequencing reactions. These systems rely on proprietary consumables, including single molecule real-time (SMRT) cells and customized reagent kits that convert DNA into SMRTbell double-stranded DNA library formats. The company markets its products directly in North America and Europe, and uses distribution partners in Asia, the Middle East, Africa, and Latin America to serve research institutions, commercial laboratories, genome centers, hospitals, pharmaceutical firms, and agricultural enterprises.

Pacific Biosciences expanded revenue from $130.5M in FY2021 to $160.0M in FY2025, generating a 5-year revenue CAGR of 15.2%. Top-line performance fluctuated significantly, rising 56.3% to $200.5M in FY2023 before declining 23.2% to $154.0M in FY2024 and rebounding 3.9% in FY2025. Profitability remained under pressure, with gross margin at 31.7% and operating margin at -348.5% in FY2025, resulting in a net loss of -$546.4M. Free cash flow was -$113.9M in FY2025, compared to -$212.2M in FY2024, supported by reduced R&D expenses of $97.3M. For the trailing twelve months ended June 30, 2026, revenue stood at $159.3M with an operating margin of -114.4%, while quarterly revenue declined 1.9% year-over-year.

As of June 30, 2026, Pacific Biosciences held $236.9M in cash and short-term investments, while total debt stood at $706.1M, resulting in net debt of $469.3M. Total assets were $751.9M against negative shareholders' equity of -$33.2M, though short-term liquidity remained supported by a current ratio of 4.92. During FY2025, capital expenditures were $2.7M and operating cash flow was -$111.2M. Over the past five years, the company's share count increased by 40.7%.

With a market cap of $537.7M and an enterprise value of $904.4M, Pacific Biosciences trades at a price-to-sales multiple of 3.4x, below the median of 4.1x for its US-listed Healthcare peers. Its EV-to-EBITDA ratio is 140.8x compared to the peer median of 12.0x, and its EV-to-revenue multiple is 5.7x. The stock has a price-to-book ratio of 170.7x. Over the past year, PACB shares dropped 1.7% while the S&P 500 (SPY) returned 16.8%, and over five years the stock is down 92.9% versus an 83.0% gain for the index.

Wall Street coverage on PACB includes 4 Strong Buy ratings, 3 Hold ratings, and 1 Sell rating. The mean price target is $2.40, which implies 38.7% upside compared to the last close of $1.73 on October 16, 2026. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $158.7M and an EPS of -$0.52. For the next fiscal year, seven analysts project revenue of $184.1M and an EPS of -$0.42. The company beat EPS estimates in 3 of the last 4 quarters, and its next earnings release is scheduled for November 4, 2026.

This page is an AI-written research summary of Pacific Biosciences of California, Inc. (PACB). 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: PACB income statement, PACB balance sheet, PACB key metrics, PACB analyst forecast, PACB chart. See the PACB stock overview for the latest quote and news.