LANSING, Mich.--(BUSINESS WIRE)--Neogen® Corporation (NASDAQ: NEOG) announced today that it will host an Investor Day on Wednesday, October 7, 2026, at 9 a.m. ET in New York City. The focus of the event will be on Neogen’s strategic transformation as the Company provides additional details on its commercial prowess, high-impact innovation, and operational excellence to drive sustainable improvement in financial performance.
Mike Nassif, President and Chief Executive Officer; Bryan Riggsbee, Chief Financial Officer; Dr. Tammi Ranalli, Senior Vice President and General Manager, Global Food Safety; Joe Freels, Chief Commercial Officer; Jeremy Yarwood, Chief Scientific Officer; and Jim Walter, Senior Vice President, Manufacturing and Operations will discuss the company’s plans to deliver long-term profitable growth with the goal of creating value for shareholders. The presentations will be followed by a Q&A session.
A live webcast of the event and presentation materials will be available through the Neogen Investor Relations website, and a replay of the webcast will be available following the event. In-person attendance is by invitation only, and advanced registration is required. Institutional investors and analysts interested in attending should contact Neogen’s Investor Relations team at [email protected].
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
Corient Private Wealth LP acquired a new stake in shares of Neogen Corporation (NASDAQ:NEOG – Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 46,234 shares of the company’s stock, valued at approximately $416,000.
Other hedge funds have also made changes to their positions in the company. BlackRock Inc. acquired a new stake in Neogen in the 2nd quarter worth approximately $300,545,000. Dimensional Fund Advisors LP grew its holdings in Neogen by 23.4% during the first quarter. Dimensional Fund Advisors LP now owns 9,132,021 shares of the company’s stock valued at $84,831,000 after purchasing an additional 1,733,767 shares during the last quarter. T. Rowe Price Investment Management Inc. grew its holdings in Neogen by 249.2% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 8,181,768 shares of the company’s stock valued at $57,191,000 after purchasing an additional 5,838,570 shares during the last quarter. Mackenzie Financial Corp raised its position in shares of Neogen by 1.0% in the fourth quarter. Mackenzie Financial Corp now owns 7,898,439 shares of the company’s stock valued at $55,574,000 after purchasing an additional 79,010 shares during the period. Finally, Cibc World Markets Corp bought a new position in shares of Neogen in the fourth quarter valued at approximately $47,983,000. Institutional investors and hedge funds own 96.73% of the company’s stock.
Wall Street Analyst Weigh In NEOG has been the subject of a number of analyst reports. Piper Sandler upgraded shares of Neogen from a “neutral” rating to an “overweight” rating and boosted their price objective for the stock from $13.00 to $14.00 in a research note on Wednesday, August 26th. Weiss Ratings upgraded shares of Neogen from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Friday, August 7th. Three equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $12.00.
Read Our Latest Stock Analysis on Neogen Neogen Price Performance Shares of NASDAQ:NEOG opened at $11.83 on Tuesday. The business has a 50 day moving average price of $10.77 and a 200 day moving average price of $9.90. Neogen Corporation has a twelve month low of $4.90 and a twelve month high of $12.85. The company has a market cap of $2.58 billion, a price-to-earnings ratio of -394.33, a PEG ratio of 4.44 and a beta of 1.76. The company has a quick ratio of 2.91, a current ratio of 3.82 and a debt-to-equity ratio of 0.38.
Neogen (NASDAQ:NEOG – Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The company reported $0.09 EPS for the quarter, topping the consensus estimate of $0.06 by $0.03. Neogen had a positive return on equity of 2.78% and a negative net margin of 0.91%.The company had revenue of $225.30 million for the quarter, compared to the consensus estimate of $212.35 million. During the same period in the previous year, the business posted ($2.82) EPS. The company’s revenue for the quarter was down .1% on a year-over-year basis. Research analysts predict that Neogen Corporation will post 0.27 earnings per share for the current year.
Neogen Company Profile (Free Report)
Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.
In the food safety arena, Neogen’s product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.
See Also Five stocks we like better than Neogen 3 Under-the-Radar Defense Stocks With Record Backlogs This Korea ETF Has Soared, But the Rally May Not Be Over Why Guidewire’s Post-Earnings Plunge May Not Last Ride-Share Reckoning: Tesla Drives Into Uber’s Lane Want to see what other hedge funds are holding NEOG? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Neogen Corporation (NASDAQ:NEOG – Free Report).
Receive News & Ratings for Neogen Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Neogen and related companies with MarketBeat.com's FREE daily email newsletter.
Key Takeaways Neogen shares climbed 102.8% in a year, far outpacing the industry's 24.7% decline. Food Safety core growth reached 5.8% in fiscal Q4 2026, its highest quarterly rate since fiscal 2023. NEOG plans to raise fiscal 2027 R&D spending about 50%, targeting innovation and pathogen detection. Neogen Corporation (NEOG - Free Report) has witnessed strong momentum over the past year. Shares of the company have risen 102.8%, outperforming the industry’s 24.7% decline. The S&P 500 composite has increased 21.4% during the same time frame.
With healthy fundamentals and strong growth opportunities, this Zacks Rank #2 (Buy) company appears to be a solid wealth creator for its investors at the moment.
Neogen develops and markets food and animal safety products. The company’s Food Safety Division markets culture media and diagnostic test kits to detect foodborne bacteria, natural toxins, food allergens, drug residues, plant diseases and sanitation concerns.
The Animal Safety division provides veterinary instruments, pharmaceuticals, vaccines, topicals, diagnostic products, rodenticides, cleaners, disinfectants, insecticides and genomics testing services for the global animal safety market.
Factors Favoring NEOG’s Share Price GrowthNeogen’s share price is trending upward, prompted by its research and development efforts, which include new launches like Neogen MPNTray, the Listeria Right Now molecular detection assay, Igenity BCHF and MDA2 Quantitative Salmonella. The company plans to increase fiscal 2027 R&D spending by about 50%, with investment focused on Petrifilm innovation, digital connectivity, licensed technologies and next-generation pathogen detection and sanitation platforms.
Investors are also focused on the company’s Food Safety segment’s quarterly performance. In the fourth quarter of fiscal 2026, segment revenues increased 3.1% year over year, while core growth reached 5.8%, the highest quarterly rate since fiscal 2023. Indicator Testing and Culture Media revenues rose 9.5%, while Bacterial and General Sanitation increased 9.9%. The company is also shifting toward global solutions-based selling, with resources focused on strategic accounts, disciplined segmentation and higher-return geographies. It expects this model to deepen portfolio penetration and improve customer engagement.
Another growth prospective for Neogen is the Animal Safety business, which entered fiscal 2027 with a cleaner supply position after resolving the majority of third-party supplier issues. The company also cited better conditions in production animal markets, with higher meat prices supporting producer profitability and U.S. herd sizes showing signs of stabilization.
Neogen’s 2022 merger with 3M’s Food Safety business is expected to generate significant long-term value for shareholders of the combined company. The merger continues to strengthen Neogen’s portfolio, with Petrifilm remaining a key asset. The company is shifting Petrifilm production to its Lansing facility, with sellable production expected to begin in November 2026.
Image Source: Zacks Investment Research
Factors That May Offset NEOG’s GainsNeogen remains materially exposed to foreign currency movements because international sales accounted for 51.2% of fiscal 2026 revenues. The company does not hedge foreign currency translation risk, and its primary exposures include the euro, British pound and Mexican peso. Foreign currency losses increased to $5.8 million in fiscal 2026 from $3.7 million in fiscal 2025. The company’s fiscal 2027 guidance assumes a 1% negative currency impact on reported growth based on prevailing exchange rates. This exposure can create volatility in reported revenues and earnings even when underlying demand is stable.
Additionally, the company faces intense competition from businesses ranging from small firms to divisions of large multinational corporations. Some of these organizations have substantially greater financial resources than the company. These could affect the marketability and profitability of Neogen’s products.
As of the end of fiscal 2026, the company held $185.5 million in cash versus approximately $800 million in debt.
A Look at NEOG’s EstimatesThe Zacks Consensus Estimate for fiscal 2027 EPS has moved north 10.7% to 31 cents in the past 30 days.
The company has an estimated long-term EPS growth rate of 10% compared with the industry’s 10.8%.
Other Key PicksSome other top-ranked stocks in the broader medical space are Globus Medical (GMED - Free Report) , Veracyte (VCYT - Free Report) and Illumina (ILMN - Free Report) .
Globus Medical has an earnings yield of 5.8% against the industry’s negative 1.7% yield. Its earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 27.9%. GMED’s shares have rallied 42.3% against the industry’s 6.3% decline over the past year.
GMED sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Veracyte, sporting a Zacks Rank #1 at present, has an earnings yield of 4.6% against the industry’s negative 1.7% yield. Shares of the company have risen 38% against the industry’s 6.3% decline. VCYT’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 41.8%.
Illumina, presently carrying a Zacks Rank #2, has an estimated long-term earnings growth rate of 13% compared with the industry’s 23% growth. Its earnings beat estimates in each of the trailing four quarters, the average surprise being 9.7%. ILMN’s shares have rallied 194.6% compared with the industry’s 24.6% growth over the past year.
Investors with an interest in Medical - Products stocks have likely encountered both Perrigo (PRGO) and Neogen (NEOG). But which of these two stocks is more attractive to value investors?
American Capital Management Inc. bought a new stake in Neogen Corporation (NASDAQ:NEOG – Free Report) during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm bought 133,457 shares of the company’s stock, valued at approximately $1,200,000. American Capital Management Inc. owned about 0.06% of Neogen as of its most recent SEC filing.
Several other institutional investors also recently added to or reduced their stakes in the business. UMB Bank n.a. raised its stake in Neogen by 238.2% during the 4th quarter. UMB Bank n.a. now owns 6,422 shares of the company’s stock valued at $45,000 after purchasing an additional 4,523 shares during the last quarter. Hantz Financial Services Inc. grew its position in Neogen by 816.9% in the 4th quarter. Hantz Financial Services Inc. now owns 7,592 shares of the company’s stock worth $53,000 after purchasing an additional 6,764 shares during the last quarter. Northwestern Mutual Wealth Management Co. grew its position in Neogen by 3,158.4% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 8,309 shares of the company’s stock worth $58,000 after purchasing an additional 8,054 shares during the last quarter. Los Angeles Capital Management LLC bought a new position in shares of Neogen during the 4th quarter worth about $65,000. Finally, Merit Financial Group LLC bought a new position in shares of Neogen during the 4th quarter worth about $71,000. 96.73% of the stock is owned by institutional investors.
Wall Street Analysts Forecast Growth NEOG has been the topic of a number of recent research reports. Wall Street Zen raised Neogen from a “hold” rating to a “buy” rating in a research report on Saturday, May 9th. Piper Sandler raised Neogen from a “neutral” rating to an “overweight” rating and upped their price target for the company from $13.00 to $14.00 in a report on Wednesday. Finally, Weiss Ratings upgraded Neogen from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Friday, August 7th. Three investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $12.00.
Check Out Our Latest Research Report on NEOG Trending Headlines about Neogen Here are the key news stories impacting Neogen this week:
Positive Sentiment: Piper Sandler upgraded Neogen on new management. The brokerage’s improved view suggests investors may expect management changes to improve execution, profitability, or growth. Neogen upgraded at Piper Sandler on new management Positive Sentiment: Zacks Research raised several future EPS forecasts. Estimates increased for the second and third quarters of fiscal 2027, the fourth quarter of fiscal 2027, and the third and fourth quarters of fiscal 2028. The full-year fiscal 2028 forecast also rose to $0.29 per share from $0.28, indicating modestly better expected earnings momentum. The current-year consensus remains $0.25 per share. Positive Sentiment: Neogen is receiving attention from value-oriented investors. A Zacks comparison of Neogen and Perrigo highlights investor interest in the medical-products sector and could increase visibility for NEOG among investors seeking a relatively attractive valuation. PRGO or NEOG: Which Is the Better Value Stock Right Now? Neutral Sentiment: Analysts’ price target is near the recent trading level. The reported consensus target of $11.67 suggests limited near-term upside based on that estimate, although targets can change following the Piper Sandler upgrade. Analysts Set Neogen Corporation PT at $11.67 Neutral Sentiment: Short-interest data provides no meaningful signal. The report lists zero shares sold short and a zero-day short ratio, figures that appear anomalous and do not indicate either significant short-covering potential or notable bearish positioning. Negative Sentiment: Not all forecasts improved. Zacks lowered its fiscal first-quarter 2028 EPS estimate to $0.05 from $0.06, signaling that the earnings outlook remains uneven despite the broader upward revisions. Neogen Price Performance Neogen stock opened at $11.70 on Thursday. The business has a 50 day simple moving average of $10.37 and a 200 day simple moving average of $9.85. The company has a debt-to-equity ratio of 0.38, a current ratio of 3.82 and a quick ratio of 2.91. The company has a market capitalization of $2.55 billion, a PE ratio of -390.00, a price-to-earnings-growth ratio of 4.59 and a beta of 1.77. Neogen Corporation has a one year low of $4.90 and a one year high of $12.85.
Neogen (NASDAQ:NEOG – Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The company reported $0.09 earnings per share for the quarter, beating analysts’ consensus estimates of $0.06 by $0.03. The firm had revenue of $225.30 million for the quarter, compared to analysts’ expectations of $212.35 million. Neogen had a positive return on equity of 2.78% and a negative net margin of 0.91%.The business’s revenue was down .1% compared to the same quarter last year. During the same period in the prior year, the business posted ($2.82) earnings per share. On average, sell-side analysts forecast that Neogen Corporation will post 0.25 EPS for the current fiscal year.
Neogen Profile (Free Report)
Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.
In the food safety arena, Neogen’s product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.
Further Reading Five stocks we like better than Neogen Williams-Sonoma’s Quarter Gave Bulls More Than Just a Beat-and-Raise Alcoa’s Gallium Project Opens a New Door Beyond Aluminum Oura’s $16 Billion IPO Could Put a New Price on Wearable Tech Can Tesla’s Flying Roadster Distract From Its Real Risks?
Receive News & Ratings for Neogen Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Neogen and related companies with MarketBeat.com's FREE daily email newsletter.
Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
While many investors like to look for momentum in stocks, this can be very tough to define. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at Neogen (NEOG - Free Report) , which currently has a Momentum Style Score of B. We also discuss some of the main drivers of the Momentum Style Score, like price change and earnings estimate revisions.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Neogen currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market?Let's discuss some of the components of the Momentum Style Score for NEOG that show why this maker of medical testing kits shows promise as a solid momentum pick.
A good momentum benchmark for a stock is to look at its short-term price activity, as this can reflect both current interest and if buyers or sellers currently have the upper hand. It is also useful to compare a security to its industry, as this can help investors pinpoint the top companies in a particular area.
For NEOG, shares are up 2.58% over the past week while the Zacks Medical - Products industry is flat over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 27.13% compares favorably with the industry's 5.26% performance as well.
Considering longer term price metrics, like performance over the last three months or year, can be advantageous as well. Shares of Neogen have increased 33.22% over the past quarter, and have gained 111.88% in the last year. On the other hand, the S&P 500 has only moved 3.37% and 21.73%, respectively.
Investors should also pay attention to NEOG's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. NEOG is currently averaging 2,382,204 shares for the last 20 days.
Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with NEOG.
Over the past two months, 1 earnings estimate moved higher compared to none lower for the full year. This revision helped boost NEOG's consensus estimate, increasing from $0.28 to $0.30 in the past 60 days. Looking at the next fiscal year, 1 estimate has moved upwards while there have been no downward revisions in the same time period.
Bottom LineTaking into account all of these elements, it should come as no surprise that NEOG is a #2 (Buy) stock with a Momentum Score of B. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep Neogen on your short list.
Neogen (NEOG - Free Report) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company.
The upward trend in estimate revisions for this maker of medical testing kits reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. This insight is at the core of our stock rating tool -- the Zacks Rank.
The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.
Consensus earnings estimates for the next quarter and full year have moved considerably higher for Neogen, as there has been strong agreement among the covering analysts in raising estimates.
The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:
12 Month EPS
Current-Quarter Estimate RevisionsThe earnings estimate of $0.05 per share for the current quarter represents a change of +25.0% from the number reported a year ago.
Over the last 30 days, two estimates have moved higher for Neogen compared to no negative revisions. As a result, the Zacks Consensus Estimate has increased 8.33%.
Current-Year Estimate RevisionsThe company is expected to earn $0.30 per share for the full year, which represents a change of -6.3% from the prior-year number.
In terms of estimate revisions, the trend for the current year also appears quite encouraging for Neogen. Over the past month, one estimate has moved higher compared to no negative revisions, helping the consensus estimate increase 13.43%.
Favorable Zacks RankOur research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.
Bottom LineNeogen shares have added 18.1% over the past four weeks, suggesting that investors are betting on its impressive estimate revisions. So, you may consider adding it to your portfolio right away to benefit from its earnings growth prospects.
Investors with an interest in Medical - Products stocks have likely encountered both Perrigo (PRGO - Free Report) and Neogen (NEOG - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Perrigo has a Zacks Rank of #2 (Buy), while Neogen has a Zacks Rank of #3 (Hold) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that PRGO has an improving earnings outlook. But this is just one piece of the puzzle for value investors.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
PRGO currently has a forward P/E ratio of 5.94, while NEOG has a forward P/E of 40.96. We also note that PRGO has a PEG ratio of 1.48. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. NEOG currently has a PEG ratio of 4.10.
Another notable valuation metric for PRGO is its P/B ratio of 0.71. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, NEOG has a P/B of 1.19.
Based on these metrics and many more, PRGO holds a Value grade of A, while NEOG has a Value grade of C.
PRGO stands above NEOG thanks to its solid earnings outlook, and based on these valuation figures, we also feel that PRGO is the superior value option right now.
Arrowstreet Capital Limited Partnership bought a new stake in shares of Neogen Corporation (NASDAQ:NEOG – Free Report) in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor bought 320,808 shares of the company’s stock, valued at approximately $2,980,000. Arrowstreet Capital Limited Partnership owned about 0.15% of Neogen at the end of the most recent reporting period.
Other large investors have also recently added to or reduced their stakes in the company. Caxton Associates LLP grew its holdings in shares of Neogen by 115.8% in the 1st quarter. Caxton Associates LLP now owns 173,061 shares of the company’s stock worth $1,608,000 after acquiring an additional 92,870 shares during the last quarter. Sei Investments Co. increased its stake in Neogen by 69.1% in the 1st quarter. Sei Investments Co. now owns 230,403 shares of the company’s stock worth $2,141,000 after purchasing an additional 94,148 shares in the last quarter. Dimensional Fund Advisors LP raised its holdings in Neogen by 23.4% during the 1st quarter. Dimensional Fund Advisors LP now owns 9,132,021 shares of the company’s stock worth $84,831,000 after buying an additional 1,733,767 shares during the period. Roubaix Capital LLC acquired a new stake in Neogen during the 1st quarter worth about $4,630,000. Finally, Bessemer Group Inc. lifted its stake in Neogen by 160,972.5% during the first quarter. Bessemer Group Inc. now owns 1,565,625 shares of the company’s stock valued at $14,545,000 after buying an additional 1,564,653 shares in the last quarter. 96.73% of the stock is currently owned by institutional investors.
Analyst Ratings Changes A number of analysts have recently issued reports on the company. Piper Sandler restated a “neutral” rating and issued a $13.00 target price (up from $11.00) on shares of Neogen in a report on Monday. Wall Street Zen raised Neogen from a “hold” rating to a “buy” rating in a research report on Saturday, May 9th. Finally, Weiss Ratings downgraded Neogen from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Friday, July 24th. Two equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $11.67.
View Our Latest Analysis on Neogen
Neogen Stock Down 0.8% Shares of Neogen stock opened at $11.81 on Wednesday. Neogen Corporation has a 12-month low of $4.63 and a 12-month high of $12.85. The company has a quick ratio of 2.91, a current ratio of 3.82 and a debt-to-equity ratio of 0.38. The stock has a 50 day moving average price of $9.55 and a two-hundred day moving average price of $9.66. The stock has a market capitalization of $2.58 billion, a P/E ratio of -393.67, a PEG ratio of 5.33 and a beta of 1.77.
Neogen (NASDAQ:NEOG – Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The company reported $0.09 EPS for the quarter, beating analysts’ consensus estimates of $0.06 by $0.03. Neogen had a negative net margin of 0.91% and a positive return on equity of 2.78%. The company had revenue of $225.30 million for the quarter, compared to analyst estimates of $212.35 million. During the same quarter last year, the firm posted ($2.82) earnings per share. The company’s quarterly revenue was down .1% compared to the same quarter last year. Equities analysts expect that Neogen Corporation will post 0.22 earnings per share for the current year.
Neogen Profile (Free Report)
Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.
In the food safety arena, Neogen’s product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.
Featured Articles Five stocks we like better than Neogen System Upgrade: First Internet Bancorp Options Surge AI Security Breaches Raise New Risks for Microsoft and Amazon’s Agent Push The AI Chip Blockade Is Creating a Shadow Market Grab Holdings Stock Forms Bottom After Strong Beat-and-Raise Quarter
Receive News & Ratings for Neogen Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Neogen and related companies with MarketBeat.com's FREE daily email newsletter.
« PREVIOUS HEADLINEFloor & Decor Holdings, Inc. $FND Shares Sold by Amundi
NEXT HEADLINE »Amundi Has $14.16 Million Holdings in Saia, Inc. $SAIA
Neogen Corporation (NEOG) Q4 2026 Earnings Call July 30, 2026 8:00 AM EDT
Company Participants
Scott Gleason
Mikhael Nassif - CEO, President & Director
Joe Freels
R. Riggsbee - CFO & Senior Vice President
Conference Call Participants
Subhalaxmi Nambi - Guggenheim Securities, LLC, Research Division
David Westenberg - Piper Sandler & Co., Research Division
Bob Labick - CJS Securities, Inc.
Presentation
Operator
Hello, everyone. Thank you for joining us, and welcome to the Neogen 4Q '26 Earnings Call. [Operator Instructions] I will now hand the conference over to Scott Gleason. Scott, please go ahead.
Scott Gleason
Thank you for joining us this morning to discuss our fiscal fourth quarter and full year 2026 results. I will briefly cover our non-GAAP and forward-looking disclosures before turning the call over to our CEO, Mike Nassif; our CFO, Bryan Riggsbee; and our CCO, Joe Freels.
Earlier this morning, we issued our fourth quarter and full year results and accompanying presentation, both of which are available on the Investor Relations section of our website. During today's call, we will reference certain non-GAAP financial measures that we believe provide useful insight into our performance. Reconciliations of historical non-GAAP measures are included in our earnings release and presentation. Please also refer to Slide 2 of the presentation, which contains reminders regarding forward-looking statements under the Private Securities Litigation Reform Act. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. These risks are described in our most recent annual report on Form 10-K and in other filings with the SEC. We undertake no obligation to update these forward-looking statements.
With that, I'm pleased to turn the call over to Mike.
Mikhael Nassif
CEO, President & Director
Thank you, Scott. Good morning, and thank you for joining us. We operate in a
Neogen (NEOG - Free Report) came out with quarterly earnings of $0.09 per share, beating the Zacks Consensus Estimate of $0.05 per share. This compares to earnings of $0.05 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +80.00%. A quarter ago, it was expected that this maker of medical testing kits would post earnings of $0.04 per share when it actually produced earnings of $0.09, delivering a surprise of +125%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Neogen, which belongs to the Zacks Medical - Products industry, posted revenues of $225.3 million for the quarter ended May 2026, surpassing the Zacks Consensus Estimate by 6.29%. This compares to year-ago revenues of $225.46 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Neogen shares have added about 34.5% since the beginning of the year versus the S&P 500's gain of 6.9%.
What's Next for Neogen?While Neogen has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Neogen was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.05 on $205.46 million in revenues for the coming quarter and $0.28 on $859.09 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Products is currently in the bottom 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Zimmer Biomet (ZBH - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 5.
This orthopedic device maker is expected to post quarterly earnings of $2.01 per share in its upcoming report, which represents a year-over-year change of -2.9%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Zimmer Biomet's revenues are expected to be $2.13 billion, up 2.5% from the year-ago quarter.
For the quarter ended May 2026, Neogen (NEOG - Free Report) reported revenue of $225.3 million, down 0.1% over the same period last year. EPS came in at $0.09, compared to $0.05 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $211.96 million, representing a surprise of +6.29%. The company delivered an EPS surprise of +80%, with the consensus EPS estimate being $0.05.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Neogen performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Revenues- Animal Safety: $58.5 million compared to the $53.54 million average estimate based on three analysts. The reported number represents a change of -8.1% year over year.Revenues- Food Safety: $166.8 million compared to the $158.44 million average estimate based on three analysts. The reported number represents a change of +3.1% year over year.Revenues- Animal Safety- Life Sciences: $1.8 million versus the two-analyst average estimate of $1.69 million. The reported number represents a year-over-year change of +10%.Revenues- Animal Safety- Veterinary Instruments & Disposables: $15.8 million versus the two-analyst average estimate of $15.6 million. The reported number represents a year-over-year change of -2.8%.Revenues- Animal Safety- Animal Care & Other: $7 million versus $7.03 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -9.1% change.Revenues- Food Safety- Genomics Services: $6.6 million compared to the $11.75 million average estimate based on two analysts. The reported number represents a change of +4.3% year over year.Revenues- Animal Safety- Genomics Services: $17.2 million versus the two-analyst average estimate of $4.07 million. The reported number represents a year-over-year change of +4.1%.Revenues- Food Safety- Bacterial & General Sanitation: $46.7 million versus $42.96 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +10% change.Revenues- Food Safety- Natural Toxins & Allergens: $19.2 million versus the two-analyst average estimate of $18.47 million. The reported number represents a year-over-year change of +3.3%.View all Key Company Metrics for Neogen here>>>
Shares of Neogen have returned +1% over the past month versus the Zacks S&P 500 composite's -1.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
LANSING, Mich.--(BUSINESS WIRE)--Neogen® Corporation (NASDAQ: NEOG), an innovative leader in food safety solutions, announced its financial results for the fiscal fourth quarter and full fiscal year 2026 and provided financial guidance for its fiscal year first quarter and full fiscal year 2027. “We ended fiscal year 2026 with significant momentum and have a number of initiatives underway to further enhance our commercial efforts and the way we approach customers and our core markets. Fiscal ye.
Neogen NASDAQ: NEOG reported fiscal fourth-quarter revenue of $225.3 million, with core revenue growth of 4.3%, its highest growth rate of fiscal 2026. The company said momentum improved across both its food safety and animal safety businesses as it entered fiscal 2027, while management outlined increased spending on research and development, commercial capabilities and technology.
Chief Executive Officer Mike Nassif said the company exceeded its adjusted EBITDA guidance for fiscal 2026 and ended the year with improved growth trends. “Fiscal year 2026 was all about stabilization and foundation building,” Nassif said. “In fiscal year 2027, the focus will be on accelerating profitable growth.”
Get Neogen alerts:
Food Safety Growth Accelerates Food safety revenue totaled $166.8 million in the fourth quarter and grew 5.8% on a core basis, which Nassif said was the segment’s highest growth rate since 2023, shortly after Neogen’s acquisition of 3M’s food safety business.
Indicator Testing and Culture Media products grew 9%, while bacteria and general sanitation products grew 10%, according to Chief Financial Officer Bryan Riggsbee. Food safety grew in every global division during the quarter, and the company’s Latin America business posted double-digit growth.
Riggsbee said the company has seen signs of improving food-production volumes, citing public comments from food producers indicating volume growth turned positive in the first calendar quarter of 2026 after a largely weak 2025. However, he said food producers still face inflationary pressures linked to the Ukraine war, leading Neogen to retain a measured view of near-term demand.
The company also cited broader food safety trends, including an eight-year peak in food safety recalls and recalled food volume during calendar 2025, food safety regulatory reforms in China, and a 50% increase in food safety litigation and class-action lawsuits over the past five years.
Commercial Overhaul and Product Portfolio Recovery Chief Commercial Officer Joe Freels said Neogen is restructuring its commercial organization around a new go-to-market strategy, including resource allocation across priority countries, customer segments and product lines. The company has identified 14 priority countries where it believes it can generate the greatest returns.
Freels said the company plans to focus direct sales efforts on higher-value accounts while expanding service to smaller customers through e-commerce and customer-service automation. About 40% of food safety revenue currently flows through e-commerce, though that activity is concentrated among larger accounts because of platform limitations.
The company is also creating a strategic-account function to engage senior decision-makers rather than selling primarily at individual plant locations. Management said it is moving from a product-centric sales approach toward selling integrated solutions, services and technology, including the Neogen Analytics platform.
Freels said Neogen entered fiscal 2027 with a restored product portfolio after resolving prior supply and quality problems and improving full and on-time delivery performance. In animal safety, core revenue grew 0.5% year over year and total revenue increased 7% sequentially as the company resolved the majority of supply-related headwinds.
Neogen has also received authorization to sell two topical aerosol products in Texas and Florida to help address the New World screwworm outbreak. Riggsbee said the company expects a modest contribution from those products in the first quarter, while noting that the path and scale of the outbreak remain uncertain.
Margins, Cash Flow and Debt Reduction Fourth-quarter gross margin was 47.8%, while adjusted gross margin was 49.7%, improving 330 basis points from a year earlier. Management said freight and material costs remained elevated, although losses in the sample collection business narrowed to their lowest level of the year.
Adjusted EBITDA was $45.4 million, up 12% year over year, representing a 20.2% margin. Adjusted net income was $18.7 million, or $0.09 per share. Cash flow from operations exceeded $30 million in the quarter and free cash flow exceeded $26 million.
Neogen ended the quarter with about $794 million in gross debt and $185.5 million in cash. The company repaid $20 million of its term loan in late June and said it remained compliant with all debt covenants.
Management said inventory declined by more than $36 million year over year following implementation of a sales and operations planning process. Meanwhile, its on-time and full delivery rate improved 40% since that process began, according to Nassif.
Fiscal 2027 Outlook Includes Higher Investment For fiscal 2027, Neogen guided for revenue of $880 million to $885 million and adjusted EBITDA of $180 million to $182 million. The outlook assumes approximately 3% core growth, including about $92 million of revenue and $13 million of adjusted EBITDA from the Genomics business.
The company expects to update its outlook once the planned sale of the Genomics business to Zoetis closes. The transaction remains subject to regulatory approvals in Australia and New Zealand, which have moved into second-phase reviews. Neogen continues to target closing by the end of the first half of fiscal 2027 and expects to use the estimated $140 million in net proceeds for debt repayment and investment.
First-quarter fiscal 2027 revenue guidance: $207 million to $209 million. First-quarter adjusted EBITDA guidance: approximately $37 million. Fiscal 2027 R&D spending: expected to rise about 50%. Transformation investments: expected to total $25 million, compared with about $22 million in fiscal 2026. Management said the planned investment increase will limit the pace of margin expansion in fiscal 2027, even as operational efficiency initiatives are expected to offset part of the spending. The company is targeting inventory write-downs, purchase price variance, pricing execution, supplier management and sample collection margins as areas for savings.
Neogen also said its Petrifilm manufacturing transition remains on schedule. It expects to fully validate its first SKU in August and begin a multi-quarter transition to manufacture sellable product in November 2026. Management expects the transition to ultimately contribute 200 to 300 basis points of gross-margin expansion as production ramps and is optimized in fiscal 2028.
Looking longer term, Nassif said Neogen aims to lift adjusted EBITDA margins to about 30%. The company plans to expand R&D toward a long-term target approaching 5% of revenue, with investments spanning Petrifilm, pathogens, sanitation, digital connectivity and potential technology licensing opportunities. Management said these initiatives are expected to begin making a more meaningful contribution to revenue growth starting in fiscal 2029 and beyond.
About Neogen (NASDAQ:NEOG)Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.
In the food safety arena, Neogen's product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
Should You Invest $1,000 in Neogen Right Now?Before you consider Neogen, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Neogen wasn't on the list.
While Neogen currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
With the proliferation of data centers and electric vehicles, the electric grid will only get more strained. Download this report to learn how energy stocks can play a role in your portfolio as the global demand for energy continues to grow.
American Capital Management Inc. trimmed its holdings in Neogen Corporation (NASDAQ:NEOG – Free Report) by 90.4% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 133,657 shares of the company’s stock after selling 1,264,241 shares during the period. American Capital Management Inc. owned 0.06% of Neogen worth $1,242,000 at the end of the most recent reporting period.
Several other hedge funds and other institutional investors also recently added to or reduced their stakes in NEOG. JPMorgan Chase & Co. grew its holdings in Neogen by 19.9% in the third quarter. JPMorgan Chase & Co. now owns 1,680,212 shares of the company’s stock valued at $9,594,000 after purchasing an additional 278,886 shares during the period. SG Americas Securities LLC increased its position in Neogen by 929.6% during the fourth quarter. SG Americas Securities LLC now owns 1,617,597 shares of the company’s stock worth $11,307,000 after purchasing an additional 1,460,488 shares during the last quarter. Granahan Investment Management LLC purchased a new position in Neogen during the first quarter worth approximately $2,323,000. Roubaix Capital LLC purchased a new position in Neogen during the first quarter worth approximately $4,630,000. Finally, Bessemer Group Inc. raised its stake in Neogen by 160,972.5% during the first quarter. Bessemer Group Inc. now owns 1,565,625 shares of the company’s stock worth $14,545,000 after purchasing an additional 1,564,653 shares during the period. Hedge funds and other institutional investors own 96.73% of the company’s stock.
Neogen Trading Down 0.6% NASDAQ NEOG opened at $9.34 on Tuesday. Neogen Corporation has a one year low of $4.56 and a one year high of $11.43. The company’s 50 day moving average price is $9.29 and its 200 day moving average price is $9.58. The company has a debt-to-equity ratio of 0.38, a quick ratio of 2.84 and a current ratio of 3.92. The firm has a market capitalization of $2.03 billion, a price-to-earnings ratio of -3.34, a PEG ratio of 4.21 and a beta of 1.80.
Analysts Set New Price Targets NEOG has been the subject of several research reports. Wall Street Zen raised shares of Neogen from a “hold” rating to a “buy” rating in a research note on Saturday, May 9th. Weiss Ratings cut Neogen from a “sell (d-)” rating to a “sell (e+)” rating in a report on Friday. Two research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Hold” and an average price target of $10.67.
Get Our Latest Stock Analysis on Neogen
Neogen Profile (Free Report)
Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.
In the food safety arena, Neogen’s product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.
See Also Five stocks we like better than Neogen AirJoule’s Kubota Deal Is a Major Validation—But the Hard Part Comes Next Dividend Stocks May Be the Quiet Rotation Trade Investors Are Missing Now Refiner Stocks Are Near Record Highs—Can Iran-Driven Margins Keep Them There? Verizon May Be an AI Infrastructure Stock Hiding in Plain Sight Want to see what other hedge funds are holding NEOG? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Neogen Corporation (NASDAQ:NEOG – Free Report).
Receive News & Ratings for Neogen Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Neogen and related companies with MarketBeat.com's FREE daily email newsletter.
« PREVIOUS HEADLINEAshford Capital Management Inc. Has $41.44 Million Holdings in Ligand Pharmaceuticals Incorporated $LGND
NEXT HEADLINE »American Capital Management Inc. Trims Holdings in Qualys, Inc. $QLYS
LANSING, Mich.--(BUSINESS WIRE)--Neogen® Corporation (NASDAQ: NEOG) will issue its fourth-quarter earnings release before the opening of the market on Thursday, July 30, 2026. Executives from the company will host a webcast and conference call later that morning, beginning at 8:00 a.m. Eastern time. During the call, Neogen management will provide a financial overview and business update of the company's performance for the fourth-quarter of fiscal year 2026. The conference call can be accessed.
Key Takeaways Neogen climbed on strong Food Safety performance and raised fiscal 2026 revenue guidance.NEOG expanded its portfolio with new testing products and advanced integration of 3M's Food Safety business. Neogen faces inflation, higher freight costs and ended Q3 fiscal 2026 with $793 million in debt. Neogen Corporation (NEOG - Free Report) has witnessed strong momentum over the past year. Shares of the company have risen 101.1%, outperforming the industry’s 30.4% decline. The S&P 500 composite has increased 22.5% during the same time frame.
With healthy fundamentals and strong growth opportunities, this Zacks Rank #3 (Hold) company appears to be a solid wealth creator for its investors at the moment.
Neogen develops and markets food and animal safety products. The company’s Food Safety Division markets culture media and diagnostic test kits to detect foodborne bacteria, natural toxins, food allergens, drug residues, plant diseases and sanitation concerns.
The Animal Safety division provides veterinary instruments, pharmaceuticals, vaccines, topicals, diagnostic products, rodenticides, cleaners, disinfectants, insecticides and genomics testing services for the worldwide animal safety market.
Factors Favoring NEOG’s Share Price GrowthNeogen’s share price is trending upward, prompted by its strong Food Safety segment’s quarterly performance. In the third quarter of fiscal 2026, revenues totaled $157.6 million, with core revenue growth of 4% being relatively in line with existing market growth rates. Performance was driven by continued strength in indicator testing and culture media products, along with solid growth in pathogen test kits within the bacteria and general sanitation category.
Investors are also focused on the company’s research and development efforts. In late 2025, the company introduced Neogen MPNTray, a new extension of its Colitag Water Testing System, designed for water testing laboratories and municipalities. Other key launches include the Listeria Right Now molecular detection assay, Igenity BCHF and MDA2 Quantitative Salmonella (MDA2QSAL96).
Additionally, Neogen’s 2022 merger with 3M’s Food Safety business is expected to generate significant long-term value for shareholders of the combined company. Neogen has made significant progress in integrating the former 3M Food Safety business, navigating through a complex process amid execution and macroeconomic challenges. The transaction also added 3M’s flagship indicator testing brand, Petrifilm, which is now part of Neogen Culture Media.
Given these positive developments, the company raised its fiscal 2026 revenue guidance to $857-$860 million from $845-$855 million.
Factors That May Offset NEOG’s GainsNeogen’s operating results have been pressured by input cost inflation, including higher raw material expenses. These are further compounded by supplier shifts linked to global tariff changes.
Amid geopolitical tensions involving Iran, Neogen is seeing more tangible pressure in global logistics and freight, with disruptions around key global transit routes, such as the Suez Canal, and the impact of higher energy prices on transportation rates. It is experiencing freight and transportation cost increases in the high single-digit to low double-digit range, equating to approximately $1.5 million per quarter in incremental costs at current rates.
Image Source: Zacks Investment Research
From a solvency standpoint, Neogen exited the third quarter of fiscal 2026 with cash and cash equivalents of $159.9 million and a relatively high total outstanding debt of $793 million.
A Look at NEOG’s EstimatesThe Zacks Consensus Estimate for fiscal 2026 EPS has remained unchanged at 29 cents in the past 30 days.
The company has an estimated long-term EPS growth rate of 10% compared with the industry’s 12.5%.
Stocks to ConsiderSome better-ranked stocks in the broader medical space are Globus Medical (GMED - Free Report) , Integra LifeSciences (IART - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Globus Medical has an earnings yield of 5.5%, well ahead of the industry’s negative 3% yield. Its earnings surpassed estimates in each of the trailing four quarters, the average surprise being 26.3%. The company’s shares have rallied 43.8% against the industry’s 4.8% decline over the past year.
GMED carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Integra LifeSciences, carrying a Zacks Rank #2 at present, has an earnings yield of 16% against the industry’s negative 3% yield. Shares of the company have gained 22.8% compared with the industry’s 4.8% growth. IART’s earnings topped estimates in each of the trailing four quarters, the average surprise being 16.8%.
Phibro Animal Health, carrying a Zacks Rank #2 at present, has an earnings yield of 9.2% compared with the industry’s 2.8% yield. Shares of the company have climbed 43.1% against the industry’s 27.9% decline. PAHC’s earnings beat estimates in each of the trailing four quarters, the average surprise being 16.3%.
Key Takeaways Neogen is advancing growth with new product launches and more diagnostics planned for fiscal 2026. NEOG continues integrating the former 3M Food Safety business to expand reach and offerings. Neogen ended Q3 fiscal 2026 with $793M debt, while competition remains a key challenge. Neogen Corporation (NEOG - Free Report) is well poised to gain in the coming quarters, thanks to its continued product development efforts that enhance its existing offerings and advance its business strategy. The integration of the former 3M Food Safety business is also very promising. An unfavorable solvency position and competitive pressure remain concerns for Neogen’s operations.
The Zacks Rank #3 (Hold) stock has gained 88.5% in the past year, outperforming the industry’s 30.9% decline as well as the S&P 500 composite’s 24.4% gain.
The renowned food and animal safety product provider has a market capitalization of $1.31 billion. Neogen’s earnings yield of 3.2% is on par with the industry’s yield. The company beat on earnings in two of the trailing four quarters and missed in two, delivering an average surprise of 27.6%.
Let’s delve deeper.
Tailwinds for NEOG StockProduct Launches: Neogen’s product development efforts focus on bringing new products to market that advance its business strategy and enhance its existing offerings. In October 2025, the company introduced Neogen MPNTray, a new extension of its Colitag Water Testing System, designed for water testing laboratories and municipalities. Other key launches include the Listeria Right Now molecular detection assay, Igenity BCHF and MDA2 Quantitative Salmonella (MDA2QSAL96).
Neogen has ongoing development projects for several new and improved diagnostic tests and other complementary products for both the Food Safety and Animal Safety markets, many of which are expected to be commercially available at various times during fiscal 2026.
3M Integration Synergy Impressive: Neogen’s 2022 merger with 3M’s Food Safety business is expected to generate significant long-term value for shareholders of the combined company. The former 3M business had built a broad global presence, with products used in more than 60 countries and a diversified revenue base of more than 100,000 end-user customers.
The combined company now has an enhanced geographic footprint and product offerings, digitization capabilities, and financial flexibility to capitalize on robust growth trends in sustainability, food safety and supply-chain integrity.
The transaction also added 3M’s flagship indicator testing brand, Petrifilm, which is now part of Neogen Culture Media. Neogen has made significant progress in integrating the former 3M Food Safety business, navigating through a complex process amid execution and macroeconomic challenges.
Image Source: Zacks Investment Research
What Concerns Neogen?Weak Solvency: Neogen exited the third quarter of fiscal 2026 with cash and cash equivalents of $159.9 million and a significantly high total outstanding debt of $793 million. Debt to capital ratio was 27.4%, which remained unchanged from the prior-quarter levels.
Competitive Landscape Tough: Neogen faces intense competition from companies ranging from small businesses to divisions of large multinational companies. Some of these organizations have substantially greater financial resources than the company. Historically, Neogen has faced intense competition from competitors developing new technologies, which could adversely impact the marketability and profitability of its products.
NEOG Stock Estimate TrendIn the past 30 days, the Zacks Consensus Estimate for Neogen’s earnings for fiscal 2026 has remained constant at 29 cents.
The Zacks Consensus Estimate for fiscal 2026 revenues is pegged at $857.1 million, which indicates a 4.2% year-over-year decline.
Key PicksSome better-ranked stocks in the broader medical space are Globus Medical (GMED - Free Report) , Integra LifeSciences (IART - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Globus Medical has an earnings yield of 5.5%, well ahead of the industry’s negative 3% yield. Its earnings surpassed estimates in each of the trailing four quarters, the average surprise being 26.3%. The company’s shares have rallied 43.8% against the industry’s 4.8% decline over the past year.
GMED carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Integra LifeSciences, carrying a Zacks Rank #2 at present, has an earnings yield of 16% against the industry’s negative 3% yield. Shares of the company have gained 22.8% compared with the industry’s 4.8% growth. IART’s earnings topped estimates in each of the trailing four quarters, the average surprise being 16.8%.
Phibro Animal Health, carrying a Zacks Rank #2 at present, has an earnings yield of 9.2% compared with the industry’s 2.8% yield. Shares of the company have climbed 43.1% against the industry’s 27.9% decline. PAHC’s earnings beat estimates in each of the trailing four quarters, the average surprise being 16.3%.
CIBC Bancorp USA Inc. purchased a new stake in Neogen Corporation (NASDAQ: NEOG) during the third quarter, according to the company in its most recent disclosure with the SEC. The firm purchased 5,073,316 shares of the company's stock, valued at approximately $28,969,000. CIBC Bancorp USA Inc. owned approximately 2.33% of Neogen at the
Neogen (NASDAQ: NEOG - Get Free Report) and Sunny Optical Technology (Group) (OTCMKTS:SNPTF - Get Free Report) are both medical companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations. Profitability This table compares Neogen and Sunny
SG Americas Securities LLC boosted its position in shares of Neogen Corporation (NASDAQ:NEOG – Free Report) by 929.6% in the fourth quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 1,617,597 shares of the company’s stock after acquiring an additional 1,460,488 shares during the period. SG Americas Securities LLC owned 0.74% of Neogen worth $11,307,000 as of its most recent filing with the Securities & Exchange Commission.
Several other institutional investors also recently bought and sold shares of NEOG. GAMMA Investing LLC grew its holdings in Neogen by 34.2% in the fourth quarter. GAMMA Investing LLC now owns 31,347 shares of the company’s stock worth $219,000 after purchasing an additional 7,982 shares during the last quarter. JPMorgan Chase & Co. boosted its position in shares of Neogen by 19.9% in the 3rd quarter. JPMorgan Chase & Co. now owns 1,680,212 shares of the company’s stock worth $9,594,000 after purchasing an additional 278,886 shares in the last quarter. Tudor Investment Corp ET AL purchased a new position in Neogen during the 3rd quarter worth $62,000. Hudson Bay Capital Management LP acquired a new position in Neogen during the 3rd quarter valued at about $28,550,000. Finally, CIBC Bancorp USA Inc. acquired a new position in Neogen during the 3rd quarter valued at about $28,969,000. 96.73% of the stock is currently owned by institutional investors and hedge funds.
Neogen Stock Performance Shares of NEOG opened at $8.70 on Monday. The company has a debt-to-equity ratio of 0.38, a quick ratio of 2.80 and a current ratio of 3.91. The stock has a 50-day moving average of $10.14 and a two-hundred day moving average of $7.77. The stock has a market cap of $1.89 billion, a P/E ratio of -3.14 and a beta of 1.95. Neogen Corporation has a one year low of $3.87 and a one year high of $11.43.
Neogen (NASDAQ:NEOG – Get Free Report) last announced its quarterly earnings data on Thursday, January 8th. The company reported $0.10 earnings per share for the quarter, beating analysts’ consensus estimates of $0.07 by $0.03. Neogen had a positive return on equity of 2.14% and a negative net margin of 68.47%.The business had revenue of $224.69 million for the quarter, compared to analyst estimates of $208.50 million. During the same period in the prior year, the company earned $0.11 earnings per share. The company’s revenue was down 2.9% on a year-over-year basis. As a group, research analysts predict that Neogen Corporation will post 0.38 EPS for the current year.
Analyst Ratings Changes NEOG has been the subject of several recent analyst reports. Wall Street Zen raised Neogen from a “hold” rating to a “buy” rating in a report on Saturday, February 14th. William Blair restated a “market perform” rating on shares of Neogen in a report on Monday, March 2nd. CJS Securities raised shares of Neogen from a “market perform” rating to an “outperform” rating and set a $10.00 price objective for the company in a research report on Wednesday, December 10th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Neogen in a research note on Monday, December 29th. Finally, Guggenheim reissued a “buy” rating and set a $12.00 target price (up from $8.00) on shares of Neogen in a research report on Friday, January 9th. Two equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Hold” and an average target price of $10.67.
Read Our Latest Report on Neogen
Neogen Company Profile (Free Report)
Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.
In the food safety arena, Neogen’s product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.
See Also Five stocks we like better than Neogen
Receive News & Ratings for Neogen Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Neogen and related companies with MarketBeat.com's FREE daily email newsletter.
« PREVIOUS HEADLINEEastern Bank Sells 9,296 Shares of Uber Technologies, Inc. $UBER
NEXT HEADLINE »USA Financial Formulas Takes Position in Vanguard S&P 500 ETF $VOO
LANSING, Mich.--(BUSINESS WIRE)--Neogen® Corporation (NASDAQ: NEOG) will issue its third-quarter earnings release before the opening of the market on Thursday, April 9, 2026. Executives from the company will host a webcast and conference call later that morning, beginning at 8:00 a.m. Eastern time. During the call, Neogen management will provide a financial overview and business update of the company’s performance for the third-quarter of fiscal year 2026.
The conference call can be accessed by dialing:
Toll-Free - North America: 1-800-549-8228
International: (+1) 646-564-2877
Conference ID: 70064#
The live webcast can be accessed through Neogen’s Investor Relations webpage, neogen.com/investor-relations, under the “Events & Presentations” subheading.
A replay of the conference call and webcast will be available shortly following the conclusion of the call and can be accessed by dialing:
Toll-Free - North America: (1) 888-660-6264
International: (+1) 646-517-3975
Passcode: 70064 #
It will also be available on Neogen’s Investor Relations website at neogen.com/investor-relations.
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
The market expects Neogen (NEOG - Free Report) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended February 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on April 9, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis maker of medical testing kits is expected to post quarterly earnings of $0.04 per share in its upcoming report, which represents a year-over-year change of -60%.
Revenues are expected to be $204.46 million, down 7.5% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 8.33% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Neogen?For Neogen, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%.
On the other hand, the stock currently carries a Zacks Rank of #4.
So, this combination makes it difficult to conclusively predict that Neogen will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Neogen would post earnings of $0.07 per share when it actually produced earnings of $0.10, delivering a surprise of +42.86%.
Over the last four quarters, the company has beaten consensus EPS estimates just once.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Neogen doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
In its upcoming report, Neogen (NEOG - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $0.04 per share, reflecting a decline of 60% compared to the same period last year. Revenues are forecasted to be $204.46 million, representing a year-over-year decrease of 7.5%.
The consensus EPS estimate for the quarter has undergone a downward revision of 8.3% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
With that in mind, let's delve into the average projections of some Neogen metrics that are commonly tracked and projected by analysts on Wall Street.
Analysts predict that the 'Revenues- Animal Safety' will reach $56.02 million. The estimate indicates a change of -17.9% from the prior-year quarter.
It is projected by analysts that the 'Revenues- Food Safety' will reach $148.11 million. The estimate indicates a change of -3% from the prior-year quarter.
According to the collective judgment of analysts, 'Revenues- Food Safety- Indicator Testing, Culture Media & Other' should come in at $81.18 million. The estimate points to a change of +4.4% from the year-ago quarter.
Analysts' assessment points toward 'Revenues- Animal Safety- Veterinary Instruments & Disposables' reaching $15.38 million. The estimate indicates a year-over-year change of -0.2%.
Analysts expect 'Revenues- Animal Safety- Animal Care & Other' to come in at $9.61 million. The estimate suggests a change of -8.5% year over year.
The combined assessment of analysts suggests that 'Revenues- Food Safety- Natural Toxins & Allergens' will likely reach $17.65 million. The estimate indicates a year-over-year change of +0.3%.
The average prediction of analysts places 'Revenues- Animal Safety- Genomics Services' at $3.34 million. The estimate suggests a change of -80.4% year over year.
The consensus among analysts is that 'Revenues- Food Safety- Genomics Services' will reach $11.34 million. The estimate suggests a change of +99% year over year.
The consensus estimate for 'Revenues- Food Safety- Biosecurity Products' stands at $4.29 million. The estimate points to a change of -63.7% from the year-ago quarter.
Based on the collective assessment of analysts, 'Revenues- Food Safety- Bacterial & General Sanitation' should arrive at $40.39 million. The estimate indicates a change of +1.3% from the prior-year quarter.
The collective assessment of analysts points to an estimated 'Revenues- Animal Safety- Biosecurity Products' of $18.96 million. The estimate indicates a change of -20.4% from the prior-year quarter.
View all Key Company Metrics for Neogen here>>>
Shares of Neogen have demonstrated returns of -12% over the past month compared to the Zacks S&P 500 composite's -4.2% change. With a Zacks Rank #4 (Sell), NEOG is expected to lag the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Neogen Corporation (NASDAQ:NEOG) will release earnings for its third quarter before the opening bell on Thursday, April 9.
Analysts expect the Lansing, Michigan-based company to report quarterly earnings of 5 cents per share, down from 10 cents per share in the year-ago period. The consensus estimate for Neogen's quarterly revenue is $204.62 million (it reported $220.98 million last year), according to Benzinga Pro.
On March 2, Neogen announced the sale of Genomics business to Zoetis.
Neogen shares rose 1.6% to close at $9.56 on Monday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let's have a look at how Benzinga's most-accurate analysts have rated the company in the recent period.
Considering buying NEOG stock? Here’s what analysts think:
Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
Neogen Corporation (NASDAQ:NEOG) will release earnings for its third quarter before the opening bell on Thursday, April 9.
Analysts expect the Lansing, Michigan-based company to report quarterly earnings of 5 cents per share, down from 10 cents per share in the year-ago period. The consensus estimate for Neogen's quarterly revenue is $204.62 million (it reported $220.98 million last year), according to Benzinga Pro.
On March 2, Neogen announced the sale of Genomics business to Zoetis.
Neogen shares rose 1.6% to close at $9.56 on Monday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let's have a look at how Benzinga's most-accurate analysts have rated the company in the recent period.
Considering buying NEOG stock? Here’s what analysts think:
Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
LANSING, Mich.--(BUSINESS WIRE)--Neogen Corporation (NASDAQ: NEOG), an innovative leader in food safety solutions, today announced the appointment of Jennifer Evans Stacey as Chief Legal & Compliance Officer and Board Secretary.
Ms. Stacey is an accomplished chief legal and compliance officer and board secretary with extensive experience in the life sciences industry. She has served more than 10 years as a public company chief legal and compliance officer and board secretary, as well as five years as a public company board member. Over her more than 25-year career, she has led legal, compliance, government relations, corporate communications and human resources functions, operating in complex, fast-moving environments.
Most recently, Jennifer served as Chief Legal & Compliance Officer and Secretary at Galera Therapeutics, Inc., a publicly traded biopharmaceutical company focused on oncology. Prior to Galera, she held Chief Legal Officer roles at The Wistar Institute, Antares Pharma, Inc., FXI, Inc., Auxilium Pharmaceuticals, Inc., and Aventis Behring LLC. Jennifer currently serves on the Board of Directors of Context Therapeutics (NASDAQ:CNTX), a publicly traded, clinical stage biopharmaceutical company advancing T cell-engaging bispecific antibodies for solid tumors.
“Jennifer’s experience and life sciences background position her well to support Neogen’s focus on organic growth through innovation and technology licensing, as well as future inorganic growth opportunities,” said Mike Nassif, President and Chief Executive Officer of Neogen. “We’re pleased to welcome her to the leadership team and look forward to her contributions.”
Ms. Stacey holds a Bachelor of Arts degree, magna cum laude, from Princeton University and a Juris Doctor from the University of Pennsylvania Law School.
“Neogen plays an important role in helping to protect the global food supply, and that responsibility requires strong governance and a clear focus on execution,” said Ms. Stacey. “I’m looking forward to partnering with the leadership team to support the business, enhance our compliance framework, and help position the company for sustainable, long-term growth.”
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
LANSING, Mich.--(BUSINESS WIRE)--Neogen® Corporation (NASDAQ: NEOG), an innovative leader in food safety solutions, announced its financial results for the fiscal third quarter of 2026 and provided updated full fiscal year 2026 financial guidance.
“We continued to make significant progress on our strategic transformation in the third quarter as we look to stabilize and strengthen our core business. We are emboldened by the continued strength in core growth in our Food Safety segment. Combined with our major strategic sales initiatives such as our go-to-market strategy review, our increasing use of metric-based key performance indicators, and our transition to a standardized global solutions based selling approach, we believe we are well positioned for continued fundamental improvement across the organization,” said Mike Nassif, Neogen’s Chief Executive Officer and President.
He continued, “In the third quarter our Animal Safety business suffered several third-party, supply-based, setbacks leading to lower-than-anticipated growth, and we are actively engaged in improving these production-related challenges through our supplier qualification and sales and operations planning process. Despite these transient issues, we were able to deliver strong adjusted EBITDA through solid cost control and we continue to see opportunities to drive efficiency through technology and process across the company. We are confident that we will emerge from this fiscal year stronger and more capable as an organization, and increasingly focused on building upon our market leading position in Food Safety through discipline, improved enterprise capabilities, a renewed focus on innovation leadership, and a dramatically improved selling process.”
Financial Highlights
Revenue by Products and Geography
Three months ended
February 28,
Nine months ended
February 28,
2026
2025
Change %
2026
2025
Change %
Food Safety
Natural Toxins & Allergens
$
17.9
$
17.6
1.7
%
$
58.3
$
58.5
(0.3
)%
Bacterial & General Sanitation
42.1
39.9
5.5
%
128.7
122.3
5.2
%
Indicator Testing & Culture Media
83.0
74.8
11.0
%
245.9
232.9
5.6
%
Biosecurity Products
3.9
11.8
(66.9
)%
14.3
35.7
(59.9
)%
Genomics Services
6.2
5.7
8.8
%
18.0
17.1
5.3
%
Other
3.6
3.0
20.0
%
9.1
9.8
(7.1
)%
Total Food Safety Revenue
$
156.7
$
152.8
2.6
%
$
474.3
$
476.3
(0.4
)%
Animal Safety
Life Sciences
$
1.5
$
1.5
—
$
4.8
$
4.9
(2.0
)%
Veterinary Instruments & Disposables
15.5
15.5
—
41.1
45.4
(9.5
)%
Animal Care & Other
5.9
10.4
(43.3
)%
22.3
26.7
(16.5
)%
Biosecurity Products
15.0
23.8
(37.0
)%
52.2
66.6
(21.6
)%
Genomics Services
16.6
17.0
(2.4
)%
50.4
49.3
2.2
%
Total Animal Safety Revenue
$
54.5
$
68.2
(20.1
)%
$
170.8
$
192.9
(11.5
)%
Total Revenues
$
211.2
$
221.0
(4.4
)%
$
645.1
$
669.2
(3.6
)%
Three months ended
February 28,
Nine months ended
February 28,
2026
2025
Change %
2026
2025
Change %
Domestic
$
102.3
$
115.4
(11.4
)%
$
314.8
$
333.5
(5.6
)%
International
108.9
105.6
3.1
%
330.3
335.7
(1.6
)%
Total revenue
$
211.2
$
221.0
(4.4
)%
$
645.1
$
669.2
(3.6
)%
Revenues for the third quarter were $211.2 million, a decrease of 4.4% when compared to $221.0 million in the prior year. Core revenue, which excludes the impacts of foreign currency translation, as well as divestitures completed and product lines discontinued in the last 12 months, increased by 0.1%. Food Safety segment revenue was $156.7 million in the third quarter, increasing 2.6% relative to the third quarter of fiscal year 2025. Core Food Safety revenue increased 4.0% on a year-over-year basis. The company saw especially strong growth in the quarter from indicators and culture media which was up 11.0% and from bacterial and general sanitation which was up 5.5%. Animal Safety segment revenue was $54.5 million in the third quarter, decreasing 20.1% relative to the third quarter of fiscal year 2025. Core Animal Safety revenue decreased (8.7%) on a year-over-year basis. The company experienced a number of third-party supplier issues in the quarter, which negatively impacted revenue. Domestic revenue in the quarter was $102.3 million and international revenue was $108.9 million. The company saw strong growth in Europe and Latin America, and U.S growth was negatively impacted by the Animal Safety supplier challenges given sales of these products predominately occur in the U.S. Summary of Income Statement
Three months ended
February 28,
Nine months ended
February 28,
2026
2025
2026
2025
Revenue
$
211.2
$
221.0
$
645.1
$
669.2
Cost of revenues
112.2
110.7
344.4
340.7
Gross profit
99.0
110.3
300.7
328.5
Gross Margin
46.9
%
49.9
%
46.6
%
49.1
%
Operating expenses
102.3
104.9
325.4
778.3
Operating loss (income)
$
(3.3
)
$
5.4
$
(24.7
)
$
(449.8
)
Operating Margin
(1.6
)%
2.4
%
(3.8
)%
(67.2
)%
EBITDA
$
22.5
$
36.7
$
133.7
$
(360.7
)
EBITDA Margin
10.7
%
16.6
%
20.7
%
(53.9
)%
Net (Loss) Income
$
(17.0
)
$
(10.9
)
$
3.4
$
(479.8
)
Net (Loss) Earnings Per Diluted Share
$
(0.08
)
$
(0.05
)
$
0.02
$
(2.21
)
Adjusted Gross Profit
$
109.2
$
113.5
$
325.9
$
344.7
Adjusted Gross Margin
51.7
%
51.4
%
50.5
%
51.5
%
Adjusted Operating Income
$
42.2
$
42.6
$
114.8
$
126.1
Adjusted Operating Margin
20.0
%
19.3
%
17.8
%
18.8
%
Adjusted EBITDA
$
48.2
$
48.6
$
132.4
$
143.6
Adjusted EBITDA Margin
22.8
%
22.0
%
20.5
%
21.5
%
Adjusted Net Income
$
19.4
$
20.9
$
51.5
$
59.6
Adjusted Earnings Per Share
$
0.09
$
0.10
$
0.24
$
0.27
Gross margin was 46.9% in the third quarter of fiscal 2026. This compares to a gross margin of 49.9% in the same quarter a year ago, with the decrease primarily due to duplicative costs related to the company’s Petrifilm manufacturing transition with some impact from tariff costs and inventory write-offs. Excluding integration-related costs, third quarter Adjusted Gross Margin1 was 51.7% compared to 51.4% in the prior-year quarter. Net loss for the third quarter was $17.0 million, or $(0.08) per diluted share, compared to a net loss of $10.9 million, or $(0.05) per diluted share, in the prior-year period. Adjusted Net Income for the third quarter was $19.4 million, or $0.09 per diluted share, compared to $20.9 million, or $0.10 per diluted share, in the prior-year period. Third-quarter Adjusted EBITDA was $48.2 million, representing an Adjusted EBITDA Margin of 22.8%, compared to $48.6 million and a margin of 22.0% in the prior-year period. The higher adjusted EBITDA Margin was the result predominantly of cost saving initiatives implemented at the end of the first quarter of fiscal year 2027 leading to lower operating expense spend. Business and Operational Highlights
Neogen is currently completing a review of its global go-to-market strategy. As part of this review, the company plans to realign resources to higher‑return markets, establish unified solutions‑based selling standards for all global markets, and enhancing performance rigor through metric-based analysis under new commercial leadership Neogen advanced the transition to its new Petrifilm® manufacturing line. The company has completed validation on 100% of Petrifilm equipment and is actively engaged in both operational and performance validation of multiple SKUs. The company remains on track with previous timelines to have its manufacturing transition completed by November 2026. Neogen announced that it has entered into a definitive agreement to sell its global Genomics business to Zoetis Inc. for a purchase price of $160.0 million, subject to customary closing adjustments. The deal is expected to close by the end of the company’s second quarter of fiscal year 2027. Net proceeds from the transaction after closing costs and taxes are anticipated to be approximately $140.0 million. Financial Guidance
(in millions)
Updated FY26 Guidance
Previous FY26 Guidance
Increase at Midpoint
Revenue
$857 - $860
$845 - $855
$
8.5
Adjusted EBITDA1
Approximately $175
Approximately $175
$
—
The company is increasing its fiscal year 2026 revenue guidance and is now calling for revenue of $857 million to $860 million and is maintaining its adjusted EBITDA guidance of approximately $175 million. This compares with previous revenue guidance which called for revenue of $845 million to $855 million. Adjusted EBITDA is a non-GAAP measure. The Company is not able to reconcile the Adjusted EBITDA outlook to the most directly comparable GAAP measure, forecasted net income, on a forward-looking basis without unreasonable efforts. This is due to the inherent difficulty in forecasting certain items that are necessary for such reconciliation, including (without limitation) non-cash stock-based compensation expense, integration-related expenses, restructuring and transformation-related costs, impairment charges, and the related tax effects of these items. These items are uncertain, depend on various factors outside of the Company’s control, and could be material to the Company’s results calculated in accordance with GAAP. Accordingly, the Company is unable to provide a probable significance of the unavailable information, but such unavailable information could have a potentially significant impact on the Company’s actual net income for fiscal year 2026.
Conference Call and Webcast
Neogen Corporation will host a conference call today at 8:00 a.m. Eastern Time to discuss the Company’s financial results. The live webcast of the conference call and accompanying presentation materials can be accessed through Neogen’s website at neogen.com/investor-relations. For those unable to access the webcast, the conference call can be accessed by dialing 1-800-549-8228 (North America) or (+1) 646-564-2877 (International) and requesting the Neogen Corporation Third Quarter 2026 Earnings Call (conference ID 70064). A replay of the conference call and webcast will be available shortly following the conclusion of the call, and can be accessed domestically or internationally by dialing 1-888-660-6264 or (+1) 646-517-3975, respectively, and providing the entry code 70064#, or through Neogen’s Investor Relations website at neogen.com/investor-relations.
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, among others, statements regarding our outlook, guidance and objectives; plans and expectations relating to our manufacturing transitions (including Petrifilm), supply chain remediation, commercial initiatives and cost-efficiency programs; expected timing and effects of portfolio actions (including the announced divestiture of the genomics business); capital allocation and deleveraging goals; market conditions and demand trends; and any other statements that are not historical facts. In some cases, you can identify forward-looking statements by terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “project,” “should,” “target,” “will,” and similar expressions, and their negatives.
These “forward-looking statements” are management’s present expectations of future events as of the date hereof and are subject to a number of known and unknown risks and uncertainties that could cause actual results, conditions, and events to differ materially and adversely from those anticipated.
These risks include, but are not limited to risks relating to the integration of the 3M Food Safety business, risks related to potential tax benefits realized through the 3M transaction, risks related to tariffs and other trade measures, risks related to our international operations and expansion into new geographic markets, risks related to identified material weaknesses in our internal control over financial reporting, risks related to promoting internal growth and identifying and integrating acquisitions, risks related to failure of our systems infrastructure and security breaches of our information systems, risks related to disruption in our manufacturing and service operations, risks related to disruption of third-party package delivery services or pricing increases, risks related to dependence on key suppliers, risks related to the use of distributors for product sales, risks related to the development of new products and technologies, risks related to our ability to maintain a positive reputation, risks related to customer loss, risks related to increased raw material costs, risks related to anti-bribery, trade control, trade sanctions, and anti-corruption laws, risks related to changes in domestic and foreign laws and regulations, risks related to tax audits and changes in tax laws in different jurisdictions, risks related to deterioration in profitability, cash flow, and asset impairments, risks related to competition, risks related to agricultural marketplace, risks related to our substantial indebtedness, risks related to the outcomes of litigation and other legal proceedings, risks related to our ability to obtain and protect intellectual property, risks related to patent infringement challenges, risks related to governmental regulation, risks related to our ability to attract and retain key personnel, risks related to product or service liability claims, risks related to changing political conditions, risks related to climate change, risks related to our inability to meet stakeholder expectations around environmental, social, and governance objectives, risks related to tax legislation, and other factors discussed under the heading “Risk Factors” contained in Item 1A of the company’s Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (SEC) on July 30, 2025, as well as any updates to those risk factors filed from time to time in the company’s Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. Neogen is not under any obligation, and it expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise except as required by law.
Neogen Corporation
Condensed Consolidated Statements of Operations (unaudited)
(in millions, except per share amounts)
Three months ended
February 28,
Nine months ended
February 28,
2026
2025
2026
2025
Revenues
Product revenues
$
186.2
$
196.5
$
569.4
$
596.6
Service revenues
25.0
24.5
75.7
72.6
Total Revenues
211.2
221.0
645.1
669.2
Cost of Revenues
Cost of product revenues
96.0
95.8
296.6
293.5
Cost of service revenues
16.2
14.9
47.8
47.2
Total Cost of Revenues
112.2
110.7
344.4
340.7
Gross Profit
99.0
110.3
300.7
328.5
Operating Expenses
Sales and marketing
38.2
44.6
125.5
136.9
General and administrative
60.3
55.8
186.4
165.2
Goodwill impairment
—
—
—
461.4
Research and development
3.8
4.5
13.5
14.8
Total Operating Expenses
102.3
104.9
325.4
778.3
Operating Loss (Income)
(3.3
)
5.4
(24.7
)
(449.8
)
Other (Expense) Income
Interest expense, net
(13.9
)
(17.0
)
(43.7
)
(52.0
)
Gain on sale of business
—
—
76.4
—
Other, net
(3.1
)
1.9
(4.9
)
(0.1
)
Total Other (Expense) Income
(17.0
)
(15.1
)
27.8
(52.1
)
(Loss) Income Before Taxes
(20.3
)
(9.7
)
3.1
(501.9
)
Income Tax (Benefit) Expense
(3.3
)
1.2
(0.3
)
(22.1
)
Net (Loss) Income
$
(17.0
)
$
(10.9
)
$
3.4
$
(479.8
)
Net (Loss) Income Per Share
Basic
$
(0.08
)
$
(0.05
)
$
0.02
$
(2.21
)
Diluted
$
(0.08
)
$
(0.05
)
$
0.02
$
(2.21
)
Weighted Average Shares Outstanding
Basic
217.7
217.0
217.4
216.8
Diluted
217.7
217.0
217.9
216.8
Neogen Corporation
Condensed Consolidated Balance Sheets (unaudited)
(in millions, except per share amounts)
February 28, 2026
May 31, 2025
Assets
Current Assets
Cash and cash equivalents
$
159.9
$
129.0
Accounts receivable, net of allowance of $4.1 and $5.4
137.1
153.4
Inventories, net of reserves of $16.5 and $16.5
161.7
190.8
Prepaid expenses and other current assets
63.1
53.3
Assets held for sale
68.2
50.4
Total Current Assets
590.0
576.9
Net Property and Equipment
331.9
339.1
Other Assets
Right of use assets
15.7
17.2
Goodwill
1,047.8
1,064.9
Amortizable intangible assets, net
1,341.8
1,410.5
Other non-current assets
31.8
35.2
Total Assets
$
3,359.0
$
3,443.8
Liabilities and Stockholders’ Equity
Current Liabilities
Current portion of debt
$
—
$
19.3
Accounts payable
75.2
79.6
Accrued compensation
23.5
14.1
Income tax payable
9.9
5.6
Accrued interest
3.5
11.1
Deferred revenue
3.9
5.6
Other current liabilities
28.2
32.1
Liabilities held for sale
6.4
6.6
Total Current Liabilities
150.6
174.0
Deferred Income Tax Liability
269.2
280.9
Non-current debt
793.3
874.8
Other non-current liabilities
43.5
42.9
Total Liabilities
1,256.6
1,372.6
Commitments and Contingencies
Equity
Preferred stock, $1.00 par value, 100,000 shares authorized, none issued and outstanding
—
—
Common stock, $0.16 par value, 315.0 shares authorized, 217.7 and 217.0 shares issued and outstanding
34.8
34.7
Additional paid-in capital
2,613.1
2,601.8
Accumulated other comprehensive loss
(12.5
)
(28.9
)
Accumulated deficit
(533.0
)
(536.4
)
Total Stockholders’ Equity
2,102.4
2,071.2
Total Liabilities and Stockholders’ Equity
$
3,359.0
$
3,443.8
Neogen Corporation
Condensed Consolidated Statements of Cash Flows (unaudited)
(in millions)
Nine months ended February 28,
2026
2025
Cash Flows provided by Operating Activities
Net income (loss)
$
3.4
$
(479.8
)
Adjustments to reconcile net income (loss) to net cash from operating activities:
Depreciation and amortization
86.9
89.2
Deferred income taxes
(15.5
)
(33.1
)
Share-based compensation
10.4
13.0
Loss on disposal of property and equipment
1.2
0.1
Amortization of debt issuance costs
1.5
2.6
Goodwill and Other asset impairment
—
470.8
Loss on refinancing and extinguishment of debt
0.4
—
Gain on sale of business
(76.4
)
—
Other
(0.2
)
(0.3
)
Change in operating assets and liabilities:
Accounts receivable, net
16.6
9.1
Inventories, net
21.5
(25.1
)
Prepaid expenses and other current assets
(10.0
)
(6.4
)
Accounts payable and accrued liabilities
20.5
6.0
Interest expense accrual
(7.6
)
(7.5
)
Change in other non-current assets and non-current liabilities
0.3
3.2
Net Cash provided by Operating Activities
53.0
41.8
Cash Flows provided by (used for) Investing Activities
Purchases of property, equipment and intangible assets
(47.3
)
(88.5
)
Proceeds from the maturities of marketable securities
—
0.3
Proceeds from sale of business, net of cash divested
121.7
—
Proceeds from the sale of property and equipment and other
0.1
4.9
Net Cash provided by (used for) Investing Activities
74.5
(83.3
)
Cash Flows (used for) provided by Financing Activities
Issuance of shares related to equity compensation and employee stock purchase plan
1.7
2.2
Tax payments related to share-based awards
(0.7
)
(1.5
)
Repayment of finance lease
(0.1
)
(0.2
)
Repayment of outstanding debt
(100.0
)
—
Net Cash (used for) provided by Financing Activities
(99.1
)
0.5
Effects of Foreign Exchange Rate on Cash
2.5
(1.9
)
Net Increase (Decrease) in Cash and Cash Equivalents
30.9
(42.9
)
Cash and Cash Equivalents, Beginning of Year
129.0
170.6
Cash and Cash Equivalents, End of Year
$
159.9
$
127.7
Supplemental cash flow information
Property and equipment obtained for noncash consideration
$
—
$
0.9
Right of use assets obtained in exchange for new operating lease liabilities
$
4.4
$
7.0
Statement regarding use of non-GAAP financial measures
This press release includes certain non-GAAP financial measures, which management believes are useful to investors, securities analysts and other interested parties. Management uses Adjusted EBITDA as a key profitability measure. This is a non-GAAP measure that represents EBITDA before certain items that impact comparison of the performance of our business, either period-over-period or with other businesses. Adjusted EBITDA Margin is Adjusted EBITDA for a particular period expressed as a percentage of revenues for that period.
Management uses Adjusted Gross Profit as an additional measure of profitability. Adjusted Gross Profit is a non-GAAP measure that represents net income before certain items that impact comparison of the performance of our business, either period-over-period or with other businesses.
Management uses Adjusted Operating Income as an additional measure of profitability. Adjusted Operating Income is a non-GAAP measure that represents operating income before certain items that impact comparison of the performance of our business, either period-over-period or with other businesses.
Management uses Adjusted Net Income as an additional measure of profitability. Adjusted Net Income is a non-GAAP measure that represents net income before certain items that impact comparison of the performance of our business, either period-over-period or with other businesses.
Core revenue growth is a non-GAAP measure that represents net sales for the period excluding the effects of foreign currency translation rates and the impacts of acquisitions and discontinued product lines, where applicable. Core revenue growth is presented to allow for a meaningful comparison of year-over-year performance without the volatility caused by foreign currency translation rates, or the incomparability that would be caused by the impact of an acquisition, disposal or product line discontinuation.
These non-GAAP financial measures should be considered only as supplemental to, and not as superior to, financial measures prepared in accordance with GAAP. Please see below for a reconciliation of historical non-GAAP financial measures to the most directly comparable financial measures prepared in accordance with GAAP.
NEOGEN CORPORATION
RECONCILIATION OF NET (LOSS) INCOME TO ADJUSTED EBITDA (UNAUDITED)
(in millions)
Three months ended
February 28,
Nine months ended
February 28,
2026
2025
2026
2025
Net (Loss) Income
$
(17.0
)
$
(10.9
)
$
3.4
$
(479.8
)
Income tax (benefit) expense
$
(3.3
)
$
1.2
$
(0.3
)
(22.1
)
Depreciation and amortization
28.9
29.4
86.9
89.2
Interest expense, net
13.9
17.0
43.7
52.0
EBITDA
$
22.5
$
36.7
$
133.7
$
(360.7
)
Share-based compensation
1.1
4.2
10.4
13.0
FX transaction loss (gain) on loan and other revaluation (1)
1.9
(0.3
)
2.1
(0.2
)
Transaction costs (2)
3.7
0.5
8.9
1.6
3M integration costs (3)
0.4
0.6
1.1
5.4
Sample collection transition and ramp up costs (4)
4.6
2.9
13.4
4.7
Petrifilm duplicate manufacturing costs (5)
4.1
0.7
9.8
0.8
Transformation initiatives and related costs (6)
5.3
2.5
16.2
3.3
Restructuring (7)
0.4
0.2
6.9
10.1
Goodwill impairment
—
—
—
461.4
Contingent consideration adjustments
0.9
0.5
0.9
0.5
ERP expense (8)
0.6
0.6
1.7
3.2
Gain on sale of business
—
—
(76.4
)
—
Other
2.7
(0.5
)
3.7
0.5
Adjusted EBITDA
$
48.2
$
48.6
$
132.4
$
143.6
Adjusted EBITDA margin (% of sales)
22.8
%
22.0
%
20.5
%
21.5
%
(1) Net foreign currency transaction loss (gain) associated with the revaluation of foreign-currency-denominated intercompany loans.
(2) Includes legal, accounting, tax, consulting and other related costs to execute corporate transactions and capital structure initiatives.
(3) Includes costs associated with 3M transition agreements and related integration costs.
(4) Includes costs associated with transitioning off the 3M transition contract manufacturing agreement and ramp-up costs associated with our sample collection product line.
(5) Duplicate costs associated with the startup of Petrifilm manufacturing.
(6) Includes consulting and other costs, including severance, associated with transformation initiatives.
(7) Severance, non-cash impairment, and other related exit costs primarily associated with a reduction in our global headcount and global genomics business.
(8) Expenses related to ERP implementation.
NEOGEN CORPORATION
RECONCILIATION OF NET (LOSS) INCOME TO ADJUSTED NET INCOME (UNAUDITED)
(in millions)
Three months ended
February 28,
Nine months ended
February 28,
2026
2025
2026
2025
Net (Loss) Income
$
(17.0
)
$
(10.9
)
$
3.4
$
(479.8
)
Amortization of acquisition-related intangibles
22.0
22.9
66.9
69.2
Share-based compensation
1.1
4.2
10.4
13.0
FX transaction loss (gain) on loan and other revaluation (1)
1.9
(0.3
)
2.1
(0.2
)
Transaction costs (2)
3.7
0.5
8.9
1.6
3M integration costs (3)
0.4
0.6
1.1
5.4
Sample collection transition and ramp up costs (4)
4.6
2.9
13.4
4.7
Petrifilm duplicate manufacturing costs (5)
4.1
0.7
9.8
0.8
Transformation initiatives and related costs (6)
5.3
2.5
16.2
3.3
Restructuring (7)
0.4
0.2
6.9
10.1
Goodwill impairment
—
—
-
461.4
Contingent consideration adjustments
0.9
0.5
0.9
0.5
ERP expense (8)
0.6
0.6
1.7
3.2
Gain on sale of business
—
—
(76.4
)
—
Other
2.7
(0.5
)
3.7
0.5
Estimated tax effect of above adjustments (9)
(11.3
)
(3.0
)
(17.5
)
(34.1
)
Adjusted Net Income
19.4
$
20.9
$
51.5
59.6
Adjusted Earnings Per Share
$
0.09
$
0.10
$
0.24
$
0.27
(1) Net foreign currency transaction loss (gain) associated with the revaluation of foreign-currency-denominated intercompany loans.
(2) Includes legal, accounting, tax, consulting and other related costs to execute corporate transactions and capital structure initiatives.
(3) Includes costs associated with 3M transition agreements and related integration costs.
(4) Includes costs associated with transitioning off the 3M transition contract manufacturing agreement and ramp-up costs associated with our sample collection product line.
(5) Duplicate costs associated with the startup of Petrifilm manufacturing.
(6) Includes consulting and other costs, including severance, associated with transformation initiatives.
(7) Severance, non-cash impairment, and other related exit costs primarily associated with a reduction in our global headcount and global genomics business.
(8) Expenses related to ERP implementation.
(9) Tax effect of adjustments is calculated using projected effective tax rates for each applicable item.
NEOGEN CORPORATION
RECONCILIATION OF GROSS PROFIT TO ADJUSTED GROSS PROFIT (UNAUDITED)
(in millions)
Three months ended February 28,
Nine months ended February 28,
2026
2025
2026
2025
Gross Profit
$
99.0
$
110.3
$
300.7
$
328.5
Transaction costs (1)
0.5
—
0.5
—
3M integration costs (2)
0.4
0.6
1.1
5.4
Sample collection transition and ramp up costs (3)
4.6
2.9
13.4
4.7
Petrifilm duplicate manufacturing costs (4)
4.1
0.7
9.8
0.8
Restructuring (5)
—
(0.3
)
—
4.6
Other
0.6
(0.7
)
0.4
0.7
Adjusted Gross Profit
$
109.2
$
113.5
$
325.9
$
344.7
(1) Includes certain manufacturing costs to execute corporate transactions.
(2) Includes costs associated with 3M transition agreements and related integration costs.
(3) Includes costs associated with transitioning off the 3M transition contract manufacturing agreement and ramp-up costs associated with our sample collection product line.
(4) Duplicate costs associated with the startup of Petrifilm manufacturing.
(5) Non-cash impairment and other related exit costs primarily associated with a reduction in our global genomics business.
NEOGEN CORPORATION
RECONCILIATION OF OPERATING (LOSS) INCOME TO ADJUSTED OPERATING INCOME (UNAUDITED)
(in millions)
Three months ended
February 28,
Nine months ended
February 28,
2026
2025
2026
2025
Operating (Loss) Income
$
(3.3
)
$
5.4
$
(24.7
)
$
(449.8
)
Amortization of acquisition-related intangibles
22.0
22.9
66.9
69.2
Share-based compensation
1.1
4.2
10.4
13.0
Transaction costs (1)
3.7
0.5
8.3
1.6
3M Integration costs (2)
0.4
0.6
1.1
5.4
Sample collection transition and ramp up costs (3)
4.6
2.9
13.4
4.7
Petrifilm duplicate manufacturing costs (4)
4.1
0.7
9.8
0.8
Transformation initiatives and related costs (5)
5.3
2.5
16.2
3.3
Restructuring (6)
0.4
0.2
6.9
10.1
Goodwill impairment
—
—
—
461.4
ERP expense (7)
0.6
0.6
1.7
3.2
Other
3.3
2.1
4.8
3.2
Adjusted Operating Income
$
42.2
$
42.6
$
114.8
$
126.1
(1) Includes legal, accounting, tax, consulting and other related costs to execute corporate transactions and capital structure initiatives.
(2) Includes costs associated with 3M transition agreements and related integration costs.
(3) Includes costs associated with transitioning off the 3M transition contract manufacturing agreement and ramp-up costs associated with our sample collection product line.
(4) Duplicate costs associated with the startup of Petrifilm manufacturing.
(5) Includes consulting and other costs, including severance, associated with transformation initiatives.
(6) Severance, non-cash impairment, and other related exit costs primarily associated with a reduction in our global headcount and global genomics business.
Neogen (NEOG - Free Report) came out with quarterly earnings of $0.09 per share, beating the Zacks Consensus Estimate of $0.04 per share. This compares to earnings of $0.1 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +125.00%. A quarter ago, it was expected that this maker of medical testing kits would post earnings of $0.07 per share when it actually produced earnings of $0.1, delivering a surprise of +42.86%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Neogen, which belongs to the Zacks Medical - Products industry, posted revenues of $211.2 million for the quarter ended February 2026, surpassing the Zacks Consensus Estimate by 3.30%. This compares to year-ago revenues of $220.98 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Neogen shares have added about 47.9% since the beginning of the year versus the S&P 500's decline of 0.9%.
What's Next for Neogen?While Neogen has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Neogen was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.07 on $211.7 million in revenues for the coming quarter and $0.28 on $850.08 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Products is currently in the bottom 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Envista (NVST - Free Report) , has yet to report results for the quarter ended March 2026.
This maker of dental products is expected to post quarterly earnings of $0.31 per share in its upcoming report, which represents a year-over-year change of +29.2%. The consensus EPS estimate for the quarter has been revised 0.5% lower over the last 30 days to the current level.
Envista's revenues are expected to be $673.52 million, up 9.2% from the year-ago quarter.
For the quarter ended February 2026, Neogen (NEOG - Free Report) reported revenue of $211.2 million, down 4.4% over the same period last year. EPS came in at $0.09, compared to $0.10 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $204.46 million, representing a surprise of +3.3%. The company delivered an EPS surprise of +125%, with the consensus EPS estimate being $0.04.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Neogen performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Revenues- Animal Safety: $54.5 million versus the three-analyst average estimate of $56.02 million. The reported number represents a year-over-year change of -20.2%.Revenues- Food Safety: $156.7 million compared to the $148.11 million average estimate based on three analysts. The reported number represents a change of +2.6% year over year.Revenues- Food Safety- Indicator Testing, Culture Media & Other: $83 million versus the two-analyst average estimate of $81.18 million. The reported number represents a year-over-year change of +6.8%.Revenues- Animal Safety- Life Sciences: $1.5 million versus the two-analyst average estimate of $1.55 million. The reported number represents a year-over-year change of -0.3%.Revenues- Animal Safety- Veterinary Instruments & Disposables: $15.5 million versus $15.38 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +0.6% change.Revenues- Animal Safety- Animal Care & Other: $5.9 million versus the two-analyst average estimate of $9.61 million. The reported number represents a year-over-year change of -43.8%.Revenues- Food Safety- Natural Toxins & Allergens: $17.9 million versus the two-analyst average estimate of $17.65 million. The reported number represents a year-over-year change of +1.7%.Revenues- Animal Safety- Genomics Services: $16.6 million versus the two-analyst average estimate of $3.34 million. The reported number represents a year-over-year change of -2.4%.Revenues- Food Safety- Genomics Services: $6.2 million compared to the $11.34 million average estimate based on two analysts. The reported number represents a change of +8.9% year over year.Revenues- Food Safety- Biosecurity Products: $3.9 million versus the two-analyst average estimate of $4.29 million. The reported number represents a year-over-year change of -67%.Revenues- Food Safety- Bacterial & General Sanitation: $42.1 million versus $40.39 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +5.6% change.Revenues- Animal Safety- Biosecurity Products: $15 million compared to the $18.96 million average estimate based on two analysts. The reported number represents a change of -37.1% year over year.View all Key Company Metrics for Neogen here>>>
Shares of Neogen have returned +4.9% over the past month versus the Zacks S&P 500 composite's +0.8% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
U.S. stocks traded higher midway through trading, with the Dow Jones index gaining more than 350 points on Thursday.
The Dow traded up 0.77% to 48,278.43 while the NASDAQ rose 0.83% to 22,822.04. The S&P 500 also rose, gaining, 0.69% to 6,829.76.
Leading and Lagging Sectors
Utilities shares climbed by 1.7% on Thursday.
In trading on Thursday, health care stocks fell by 0.6%.
Top Headline
Neogen Corp (NASDAQ:NEOG) shares fell around 3% on Thursday after the company reported results for the third quarter.
The company reported quarterly earnings of 9 cents per share which beat the analyst consensus estimate of 6 cents per share. The company reported quarterly sales of $211.200 million which beat the analyst consensus estimate of $204.492 million.
Equities Trading UP
Equities Trading DOWN
Commodities
In commodity news, oil traded up 3.2% to $97.42 while gold traded up 0.1% at $4,782.30.
Silver traded down 1% to $74.650 on Thursday, while copper fell 0.5% to $5.7480.
Euro zone
European shares were lower today. The eurozone's STOXX 600 fell 0.5%, while Spain's IBEX 35 Index fell 0.6%. London's FTSE 100 slipped 0.3%, Germany's DAX dipped 1.6% and France's CAC 40 fell 0.8% during the session.
Asia Pacific Markets
Asian markets closed lower on Thursday, with Japan's Nikkei 225 falling 0.73%, China's Shanghai Composite falling 0.72%, Hong Kong's Hang Seng Index declining 0.54% and India's BSE Sensex dropping 1.20%.
Economics
Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
Key Takeaways NEOG reported Q3 adjusted EPS of 9 cents and revenues of $211.2M, both topping estimates.NEOG's core revenues were up slightly, but divestitures and Animal Safety weakness dragged down sales.Neogen sees gross margin contraction and operating loss despite higher revenue guidance. Neogen Corporation (NEOG - Free Report) reported third-quarter fiscal 2026 adjusted earnings per share (EPS) of 9 cents, down 10% year over year. However, the metric topped the Zacks Consensus Estimate by 125%.
Neogen’s Q3 RevenuesRevenues in the quarter decreased 4.4% on a year-over-year basis to $211.2 million. Meanwhile, core revenues increased 0.1%. Divestitures and discontinued product lines had a negative impact of 7.5%, while foreign currency had a positive impact of 3%. The metric topped the Zacks Consensus Estimate by 3.3%.
Following the announcement yesterday, NEOG stock fell 2.95% to close the session at $10.04.
Neogen’s Segments in DetailThe company's Food Safety segment registered revenues of $156.7 million in the fiscal third quarter, up 2.6% year over year. This consisted of 4% core revenue growth, a negative 5.4% impact of divestitures and discontinued product lines and a positive foreign currency impact of 4%. Our model projected Food Safety revenues to be $146.6 million for the fiscal third quarter.
Revenues from the Animal Safety segment totaled $54.5 million, down 20.1% year over year. This consisted of an 8.7% core revenue decrease, a favorable 0.5% foreign currency impact and a negative 11.9% impact of divestitures and discontinued product lines. Our model’s projection for the business was $57.1 million.
Neogen’s Margin DetailsIn the third quarter of fiscal 2026, gross profit declined 10.2% year over year to $99 million. The cost of revenues edged up 1.4% to $112.2 million. The gross margin contracted 303 basis points (bps) year over year to 46.9%.
Sales and marketing expenses amounted to $38.2 million, down 14.4% year over year, whereas administrative expenses increased 8.1% from the prior-year quarter’s level to $60 million. R&D expenses totaled $3.8 million, down 15.6% year over year. The quarter recorded an operating loss of $3.3 million compared to an operating profit of $5.4 million in the year-ago period.
Neogen’s Q3 Cash PositionNeogen’s cash and cash equivalents at the end of the fiscal third quarter totaled $137.1 million compared with $145.3 million at the end of the second quarter.
Cumulative net cash provided by operating activities came in at $53 million compared with $41.8 million a year ago.
Neogen’s Fiscal 2026 OutlookThe company raised its fiscal 2026 revenue projection, now expecting between $857 million and $860 million (previously $845 million-$855 million). The Zacks Consensus Estimate for the same currently stands at $850.1 million.
Adjusted EBITDA is expected to be roughly $175 million (same as earlier).
Our Take on NEOGNeogen ended the fiscal third quarter with better-than-expected earnings and revenues. However, both metrics were down on a year-over-year basis. The Animal Safety business experienced several third-party, supply-based setbacks, resulting in lower-than-anticipated growth. The contraction of gross margin in the quarter is also discouraging.
On a promising note, the Food Safety segment delivered another quarter of core revenue growth and was consistent with current market dynamics. Neogen made significant progress on its strategic initiatives, such as commercial prowess, high-impact innovation and operational efficiency, to stabilize and strengthen its core business. The raised revenue guidance for the year appears promising.
The company recently announced that it has entered into a definitive agreement to sell its global Genomics business to Zoetis Inc. for a purchase price of $160.0 million, subject to customary closing adjustments. The deal is expected to close by the end of the second quarter of fiscal year 2027.
NEOG’s Zacks Rank and Key PicksNeogen currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Globus Medical (GMED - Free Report) , Phibro Animal Health (PAHC - Free Report) and IDEXX Laboratories (IDXX - Free Report) .
Globus Medical, currently sporting a Zacks Rank #1 (Strong Buy), reported fourth-quarter 2025 adjusted EPS of $1.28, topping the Zacks Consensus Estimate by 20.76%. Revenues of $826.4 million beat the Zacks Consensus Estimate by 4.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.
GMED’s earnings yield of 4.8% favorably compares with the industry’s negative 1.6% yield. The company surpassed earnings estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 18.8%.
Phibro Animal Health, carrying a Zacks Rank #2 (Buy) at present, posted second-quarter fiscal 2026 adjusted EPS of 87 cents, exceeding the Zacks Consensus Estimate by 27.01%. Revenues of $373.9 million surpassed the Zacks Consensus Estimate by 4.72%.
PAHC has an estimated long-term earnings growth rate of 21.5% compared with the industry’s 12% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, with the average surprise being 20.15%.
IDEXX Laboratories, carrying a Zacks Rank #2, reported a fourth-quarter 2025 EPS of $3.08, which surpassed the Zacks Consensus Estimate by 18%. Revenues of $1.09 billion topped the Zacks Consensus Estimate by 1.86%.
IDXX has an earnings yield of 2.5% compared with the industry’s negative 1.6% yield. The company’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 6.11%.
LANSING, Mich.--(BUSINESS WIRE)--Neogen® Corporation (NASDAQ: NEOG), an innovative leader in food safety solutions, today announced that its Molecular Detection Assay - Listeria Right Now™ rapid environmental monitoring test has received AOAC® Performance Tested Methods℠ (PTM) certification (No. 042604), validating the test’s performance for the enrichment-free detection of viable and non-viable Listeria species on stainless steel surfaces. The technology allows technicians to perform the assay without first enriching the sample by growing the bacteria in culture media. Combined with the ease-of-use and speed advantages associated with Neogen’s Molecular Detection System ™, this makes Neogen’s test one of the fastest molecular tests available for Listeria species testing.
The AOAC PTM program is an internationally recognized third-party validation that confirms a method performs as claimed and meets rigorous performance standards. Certification of Listeria Right Now demonstrates Neogen’s commitment to delivering scientifically validated, regulator-recognized solutions that support food safety programs worldwide.
Listeria Right Now is designed to deliver clear, actionable results from samples, without an enrichment step, in about two hours. This allows food manufacturers to quickly identify potential contamination risks and strengthen environmental monitoring workflows. The test integrates seamlessly into existing food safety programs and supports proactive decision-making across a wide range of food production environments.
“Rapid and reliable detection of Listeria is critical for effective environmental monitoring programs,” said Dr. Jeremy Yarwood, Chief Scientific Officer at Neogen. “AOAC PTM certification of Listeria Right Now provides customers with added confidence that the test delivers dependable performance when and where it matters most, helping them take timely action to protect their facilities, brands, and reputation.”
Neogen offers one of the industry’s most comprehensive portfolios of environmental monitoring and pathogen detection solutions, backed by global validation, regulatory acceptance, and decades of scientific expertise. The addition of AOAC PTM certification for Listeria Right Now further strengthens Neogen’s position as a trusted partner to food producers around the world. To learn more about the Neogen® Molecular Detection Assay - Listeria Right Now™ visit info.neogen.com/listeriarightnow.
About Neogen
Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.
Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements related to the test’s ability to allow food manufacturers to quickly identify potential contamination risks and strengthen environmental monitoring workflows, the test’s ability to seamlessly integrate into existing food safety programs and support proactive decision-making across a wide range of food production environments, the future positioning of Neogen’s test one of the fastest molecular tests available for Listeria testing, and the addition of AOAC PTM certification for Listeria Right Now strengthening Neogen’s position as a trusted partner to food producers around the world.
These “forward-looking statements” are management’s present expectations of future events as of the date hereof and are subject to a number of known and unknown risks and uncertainties that could cause actual results, conditions, and events to differ materially and adversely from those anticipated.
These risks include, but are not limited to risks relating to the integration of the 3M Food Safety business, risks related to potential tax benefits realized through the 3M transaction, risks related to tariffs and other trade measures, risks related to our international operations and expansion into new geographic markets, risks related to identified material weaknesses in our internal control over financial reporting, risks related to promoting internal growth and identifying and integrating acquisitions, risks related to failure of our systems infrastructure and security breaches of our information systems, risks related to disruption in our manufacturing and service operations, risks related to disruption of third-party package delivery services or pricing increases, risks related to dependence on key suppliers, risks related to the use of distributors for product sales, risks related to the development of new products and technologies, risks related to our ability to maintain a positive reputation, risks related to customer loss, risks related to increased raw material costs, risks related to anti-bribery, trade control, trade sanctions, and anti-corruption laws, risks related to changes in domestic and foreign laws and regulations, risks related to tax audits and changes in tax laws in different jurisdictions, risks related to deterioration in profitability, cash flow, and asset impairments, risks related to competition, risks related to agricultural marketplace, risks related to our substantial indebtedness, risks related to the outcomes of litigation and other legal proceedings, risks related to our ability to obtain and protect intellectual property, risks related to patent infringement challenges, risks related to governmental regulation, risks related to our ability to attract and retain key personnel, risks related to product or service liability claims, risks related to changing political conditions, risks related to climate change, risks related to our inability to meet stakeholder expectations around environmental, social, and governance objectives, risks related to tax legislation, and other factors discussed under the heading “Risk Factors” contained in Item 1A of the company’s Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (SEC) on July 30, 2025, as well as any updates to those risk factors filed from time to time in the company’s Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. Neogen is not under any obligation, and it expressly disclaims any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise except as required by law.
