Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

Bio-Rad Built For Consistency, Not Short-Term Out-Performance

Within the life sciences and clinical diagnostics worlds, Bio-Rad (NYSE:BIO) is an odd duck. More like Techne (NASDAQ:TECH) than Illumina (NASDAQ:ILMN), Cepheid (NASDAQ:CPHD), or even Thermo Fisher (NYSE:TMO), Bio-Rad isn't looking to redefine its markets or change the game. Instead, this is a company that lets others be the first-movers and focuses on leveraging its large global distribution system and driving consistent, dependable financial results.

That's all well and good when the stock is priced that way. Unfortunately, Bio-Rad is often picked as an undervalued "hidden gem" in the life sciences/diagnostics space on the basis of its EV/EBITDA or EV/rev ratio, but without the acknowledgment of the differences in the...

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