Head to Head Review: Bruker (NASDAQ:BRKR) & Azenta (NASDAQ:AZTA)

Bruker (NASDAQ:BRKR) and Azenta (NASDAQ:AZTA) are both healthcare companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, earnings, analyst recommendations, valuation and dividends.

Earnings & Valuation

This table compares Bruker and Azenta”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bruker	$3.50 billion	2.56	-$8.60 million	($0.70)	-84.06
Azenta	$613.81 million	2.69	-$55.76 million	($2.76)	-13.67

Bruker has higher revenue and earnings than Azenta. Bruker is trading at a lower price-to-earnings ratio than Azenta, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Bruker has a beta of 1.22, meaning that its share price is 22% more volatile than the S&P 500. Comparatively, Azenta has a beta of 1.52, meaning that its share price is 52% more volatile than the S&P 500.

Profitability

This table compares Bruker and Azenta’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bruker	-2.35%	12.47%	4.91%
Azenta	-20.63%	1.18%	0.97%

Analyst Recommendations

This is a summary of current ratings for Bruker and Azenta, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bruker	1	5	6	2	2.64
Azenta	1	2	4	0	2.43

Bruker presently has a consensus price target of $58.57, indicating a potential downside of 0.46%. Azenta has a consensus price target of $41.20, indicating a potential upside of 9.23%. Given Azenta’s higher possible upside, analysts clearly believe Azenta is more favorable than Bruker.

Dividends

Bruker pays an annual dividend of $0.20 per share and has a dividend yield of 0.3%. Azenta pays an annual dividend of $0.10 per share and has a dividend yield of 0.3%. Bruker pays out -28.6% of its earnings in the form of a dividend. Azenta pays out -3.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Bruker is clearly the better dividend stock, given its higher yield and lower payout ratio.

Insider and Institutional Ownership

79.5% of Bruker shares are held by institutional investors. Comparatively, 99.1% of Azenta shares are held by institutional investors. 27.2% of Bruker shares are held by insiders. Comparatively, 10.9% of Azenta shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Bruker beats Azenta on 12 of the 17 factors compared between the two stocks.

About Bruker

Bruker Corporation, together with its subsidiaries, develops, manufactures, and distributes scientific instruments, and analytical and diagnostic solutions in the United States, Europe, the Asia Pacific, and internationally. The company operates through four segments: Bruker Scientific Instruments (BSI) BioSpin, BSI CALID, BSI Nano, and Bruker Energy & Supercon Technologies. It offers life science tools, and single and multiple modality systems; life science mass spectrometry; MALDI Biotyper rapid pathogen identification platform and related test kits, DNA test strips, and fluorescence-based polymerase chain reaction technology; genotype and fluorotype molecular diagnostics kits; research, analytical, and process analysis instruments and solutions; SARS-CoV 2 testing for the diagnosis of COVID-19 infection; and Fluorotyper-SARS-CoV 2 plus kits. It also provides range of portable analytical and bioanalytical detection systems, and related products; X-ray instruments; analytical tools for electron microscopes, as well as handheld, portable, and mobile X-ray fluorescence spectrometry instruments; atomic force microscopy instrumentation; non-contact nanometer resolution solution topography; and automated X-ray metrology, automated AFM defect-detection, and photomask repair and cleaning equipment. In addition, the company offers advanced optical fluorescence microscopy instruments; products and services to support the multi-omics needs of researchers in translational research, drug, and biomarker discovery; superconducting materials, such as metallic low temperature superconductors; devices and complex tools based on metallic low temperature superconductors; and non-superconducting high technology tools, such as synchrotron and beamline instrumentation. The company was incorporated in 1991 and is headquartered in Billerica, Massachusetts.

About Azenta

Azenta, Inc. provides biological and chemical compound sample exploration and management solutions for the life sciences market in North America, Africa, China, the United Kingdom, rest of Europe, the Asia Pacific, and internationally. The company operates in two reportable segments, Life Sciences Products and Life Sciences Services. The Life Sciences Products segment offers automated cold storage solutions, consumables and instruments, controlled rate thawing devices, and temperature-controlled storage and transportation solutions. This segment also provides sample management solutions, such as consumable vials and tubes, polymerase chain reaction, plates, instruments for supporting workflows, and informatics. The Life Sciences Services segment provides genomic services, that includes gene sequencing and gene synthesis services; and sample repository solutions, such as on-site and off-site sample storage, cold chain logistics, sample transport and collection relocation, bio-processing solutions, disaster recovery and business continuity, and biospecimen procurement services, as well as project management and consulting services for genomic analysis and the management and care of biological samples used in pharmaceutical, biotech, healthcare, clinical, and academic research, and development sectors. It serves a range of life science customers, including pharmaceutical companies, biotechnology companies, biorepositories, and research institutes. The company was formerly known as Brooks Automation, Inc. and changed its name to Azenta, Inc. in December 2021. Azenta, Inc. was founded in 1978 and is headquartered in Burlington, Massachusetts.