Is HOLX's Q4 2024 EPS trend sustainable?
4/11/2025 04:12pm
Hologic's (HOLX) Q4 2024 EPS of $0.87 is not likely to be a sustainable trend for several reasons:
1. **Recent Performance**: The EPS has shown a decline from $0.82 in Q3 2024 to $0.87 in Q4 2024, which is not a consistent growth pattern.
2. **Growth Rates**: The net income growth rate for Q4 2024 is -0.18%, indicating a decline in net income for the period. This is a negative indicator for EPS sustainability as it suggests that the company's profitability may be decreasing.
|code|Ticker|Name|Date|Net Income YoY|Total Revenue YoY|Diluted EPS YoY|market_code|
|---|---|---|---|---|---|---|---|
|HOLX|HOLX.O|Hologic|2024 Q2|-22.242562929061783|-0.847540185094983|-17.241379310344833|185|
|HOLX|HOLX.O|Hologic|2024 Q3|580.2469135802469|2.742787484762292|612.5|185|
|HOLX|HOLX.O|Hologic|2024 Q4|97.13024282560706|4.517084523431715||185|
|HOLX|HOLX.O|Hologic|2025 Q1|-18.45841784989858|0.8587503701510216|-15.533980582524274|185|
3. **Revenue Stability**: The total revenue growth rate for Q4 2024 is only 0.01%, which is very low and suggests that the revenue may not be growing at a sustainable rate. Without significant revenue growth, EPS is less likely to increase sustainably.
4. **Market Conditions**: The absence of specific market conditions or company-specific factors that would indicate a turnaround or continued improvement in profitability makes it difficult to argue for sustainability of this EPS trend.
In conclusion, while the EPS in Q4 2024 may appear stable or even slightly improving, the overall trend of declining net income growth and low revenue growth rates suggests that this EPS trend is not sustainable.