Bio-Rad Laboratories, Inc. BIO recently entered into a binding agreement to purchase all equity interests in Stilla Technologies ("Stilla"). Stilla’s next-generation digital PCR solutions complement Bio-Rad’s digital PCR portfolio. The acquisition should further expand Bio-Rad’s business into applied research and clinical diagnostics, where customers expect a higher degree of automation and throughput capabilities.

The acquisition is subject to consultation with relevant employee representatives, regulatory approvals and other customary closing conditions. The acquisition is expected to be closed by the end of the third quarter of 2025. 

BIO Stock Likely Trend Following the News

Since the announcement, BIO stock has lost 9.5% to $277.16 last Friday.

The company has been gaining synergies from its digital PCR platform’s increased penetration in advanced clinical diagnostic applications, both directly and through various partnerships. In 2024, Bio-Rad was involved in various collaborations, including an additional equity investment in OncoCyte Corporation and association with Allegheny Health Network. Accordingly, we expect the latest acquisition offer to bolster investor confidence and bring back the upward momentum in BIO's share price in the coming days.

Bio-Rad has a market capitalization of $7.94 billion. The Zacks Consensus Estimate for fiscal 2025 earnings indicates a 12.2% year-over-year increase on a 3.4% revenue improvement. 

Importance of Bio-Rad’s Acquisition of Stilla

Stilla develops and markets next-generation digital PCR instruments, consumables and assays. Its Nio family of all-in-one digital PCR systems aids the development of a wide range of genetic tests and molecular assays across multiple applications, including liquid biopsy for oncology diagnostics, cell and gene therapy, organ transplant testing, infectious diseases, and food and environmental testing.

The Stilla platform would allow Bio-Rad to serve the full range of digital PCR applications and help meet the evolving needs of customers in genomics research and applied science. In lieu of this, Bio-Rad plans to launch its QX Continuum system. 

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Industry Prospects Favor Bio-Rad

Per a report by Fortune Market Insights, the global digital PCR market was valued at $584.5 million in 2023 and is projected to grow to $3.68 billion by 2032, exhibiting a CAGR of 22.9% during the period. The rise in prevalence of infectious diseases, cancer, and genetic disorders, technological advancements, and the growing adoption of the technology by laboratories are some of the key factors expected to drive the market growth.

BIO’ Price Performance

In the past year, BIO’s shares have declined 18.6% against the industry’s 13.9% growth.

BIO’ Zacks Rank and Other Key Picks

The company currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the broader medical space are Veracyte VCYT, ResMed RMD and Omnicell OMCL.

Veracyte, carrying a Zacks Rank #1 (Strong Buy) at present, has an estimated earnings growth rate of 65.8% for 2025. You can see the complete list of today’s Zacks #1 Rank stocks here.

VCYT’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 520.58%. Veracyte’s shares have risen 49.2% in the past year compared with the industry’s 5.5% growth.

ResMed, carrying a Zacks Rank #2 at present, has an estimated growth rate of 21.1% for 2025. RMD’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 6.41%. Its shares have risen 34.1% compared with the industry’s 7.7% growth in the past year. 

Omnicell, carrying a Zacks Rank #2 at present, has an estimated earnings growth rate of 72.7% for fourth-quarter 2024. Its earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 121.74%. OMCL’s shares have risen 26.4% against the industry’s 15.7% decline in the past year. 

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