Neogen Corporation (NASDAQ: NEOG) is a company that specializes in food and animal safety products. It provides solutions for food safety testing, animal health diagnostics, and genomics. NEOG competes with companies like IDEXX Laboratories and Thermo Fisher Scientific in the food and animal safety industry.
In its third-quarter 2025 earnings report, NEOG announced an adjusted EPS of $0.10, which was below the Zacks Consensus Estimate of $0.13. This performance also marked a decline from the $0.12 per share earnings reported in the same quarter last year. The company has revised its guidance downward, citing macroeconomic challenges and concerns over tariffs as contributing factors, as highlighted by Zacks. The company's revenue was approximately $221 million, falling short of the expected $238 million.
NEOG's price-to-sales ratio stands at about 0.997, suggesting that the stock is valued at nearly its sales per share. The enterprise value to sales ratio is approximately 1.82, reflecting the company's total valuation relative to its sales. NEOG's enterprise value to operating cash flow ratio is quite high at around 88.54, indicating a significant premium on its cash flow.
The company's debt-to-equity ratio is relatively low at 0.33, suggesting a conservative use of debt in its capital structure. Additionally, NEOG has a strong current ratio of about 3.77, indicating good short-term financial health and the ability to cover its current liabilities with its current assets.
John Adent, Neogen's President and CEO, mentioned that the company made substantial progress in integrating its operations and achieved a strong performance in its Food Safety segment. Although the quarter experienced a decline in sample collection revenue, Neogen successfully enhanced its sample collection production and expanded its reach.
