Revvity Stock Rallies Following Q3 Earnings Beat and Raised Full-Year Guidance
Revvity delivered higher third-quarter results and boosted its full-year earnings forecast, drawing an upgraded Zacks Rank and fueling debate among analysts over its current valuation.
Revvity, Inc. has drawn fresh attention after its third-quarter performance and an upward revision to earnings estimates led to a Zacks Rank upgrade. The company's recent results and an affirmation of its regular quarterly dividend arrived alongside strong stock momentum, with shares rising 33.69% over the past 90 days and gaining 58.03% year-to-date.
For the third quarter of 2026, the company posted sales of US$728.9 million and net income of US$62.3 million, translating to diluted earnings per share from continuing operations of US$0.56. In an earnings call report, total revenue was cited at $710 million, representing 7% pro forma organic growth. Life Sciences revenue reached $380 million, while Diagnostics generated $330 million. Free cash flow for the period reached $152 million, marking a 99% conversion of adjusted net income.
Following the stronger-than-expected results, management raised its full-year 2026 outlook. The company now projects pro forma revenue of approximately $2.86 billion and pro forma organic growth of about 5%. Adjusted earnings per share guidance was raised to a range of US$5.40 to US$5.45, supported by expanding margins and consistent demand across core franchises, including Signals software and reproductive health.
The board of directors reaffirmed a regular quarterly dividend of US$0.07 per share. Meanwhile, the recent rally has triggered a debate over whether the stock is fairly valued. While the stock closed at $155.11 according to Simply Wall St, one valuation model assessed fair value at $154, indicating shares are about 1% overvalued. An earlier assessment on Yahoo Finance estimated fair value at $147.53 against a previous close of $163.48, calling the stock 10.8% overvalued.