Bio-Techne's 15-minute chart has recently experienced a MACD Death Cross and KDJ Death Cross at 09:45 on September 4, 2025. This technical indicator suggests that the stock price has the potential to continue falling, and the momentum of the stock price is shifting towards the downside, with a potential for further decrease.
Bio-Techne (NASDAQ: TECH), a leading player in life sciences tools and diagnostics, has recently encountered a significant technical setback. On September 4, 2025, at 09:45, the stock experienced both a MACD Death Cross and a KDJ Death Cross. These technical indicators suggest a potential continuation of the stock price decline, with a shift in momentum towards the downside, indicating further potential for depreciation.
The MACD Death Cross occurs when the MACD line (a moving average of the difference between two moving averages of a security's price) crosses below the signal line. This is often seen as a bearish signal, indicating a potential reversal in the stock's price trend. The KDJ Death Cross, similarly, is a bearish indicator that suggests a potential change in the stock's price direction.
Analysts have noted that these technical indicators align with broader sector challenges. According to RBC Capital, the biotech sector is facing margin compression and regulatory uncertainties, which could impact Bio-Techne's financial performance. Despite a 5% organic growth in revenue and a rise in adjusted EPS to $1.92 in 2025, the company's GAAP EPS declined due to restructuring costs and the impairment of its Exosome Diagnostics business [1].
The company's focus on high-margin protein sciences, which account for 72% of net sales, has been a source of strength. However, the Diagnostics and Spatial Biology segment has shown resilience, with a 32.0% adjusted operating margin in Q4 2025 despite a 1% year-over-year sales decline [2]. The recent strategic divestitures, such as the exit of Exosome Diagnostics, have allowed Bio-Techne to reallocate capital to higher-margin, high-growth areas.
Citi has upgraded Bio-Techne to "Buy" with a $70 target, citing strong Q2 performance and a $42 million capital investment plan for 2026 [3]. However, RBC Capital maintains a "Sector Perform" rating and a $61 price target, expressing concerns about margin compression in the Diagnostics segment [4].
The broader biotech M&A landscape is primed for a rebound, with a backlog of potential transactions and a more permissive stance from the Federal Trade Commission [5]. This could present Bio-Techne with opportunities for strategic acquisitions, but it also increases the likelihood of being acquired by larger pharma players.
In conclusion, while Bio-Techne faces near-term challenges, its disciplined approach to acquisitions and focus on high-margin segments make it a compelling long-term investment. The recent technical indicators suggest a potential continuation of the stock price decline, but investors should consider the broader industry trends and the company's strategic positioning.
References:
[1] Bio-Techne. "Fourth Quarter Fiscal 2025 Results." [https://investors.bio-techne.com/news/detail/500/bio-techne-releases-fourth-quarter-fiscal-2025-results]
[2] Ibid.
[3] Citi. "Bio-Techne Upgrade Amid Sector Challenges: Strong Q2 Performance." [https://www.ainvest.com/news/bio-techne-upgrade-sector-challenges-strong-q2-performance-easing-tariffs-china-2508]
[4] RBC Capital. "Bio-Techne: RBC Capital lowers PT to $61, maintains Sector Perform rating." [https://www.ainvest.com/news/bio-techne-rbc-capital-lowers-pt-61-maintains-sector-perform-rating-2508]
[5] RBC Capital Markets. "Healthcare trends indicate growing activity despite macro headwinds." [https://www.rbccm.com/en/story/2025/05/healthcare-trends-indicate-growing-activity-despite-macro-headwinds]
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