IDXX
IDEXX Laboratories, Inc.
Healthcare · Diagnostics & Research · United States · Stock
Score Breakdown
Scored for Aggressive Growth profile
Sub-scores are 0–20 each; Model Score is weighted by your selected investment goal. How it works →
Why Ranked Here
- The composite score of 57.6/100 reflects strong contributions from profitability and momentum, supported by solid growth metrics showing operating leverage.
- The absence of a dividend and no macro theme assignment both scored zero, which weighed on the composite score.
- The financial health factor contributed a moderate score, reflecting a debt-to-equity ratio of 0.28 and total assets of approximately $3.35 billion, though the model did not provide a more detailed public explanation for that component.
Why Not Higher
- The zero scores for dividend and macro theme assignment are structural features that constrain the composite, as no dividend income is available and the company does not map to any of the 24 currently tracked themes.
- Revenue growth, while healthy at 10.4%, remained in the low double digits rather than accelerating to a level that would warrant a maximum growth score.
Data Confidence
8 / 10
High — most data fields present
Why This Score
Grounded in figures from this company's SEC EDGAR filings — not a restatement of the score itself.
Revenue grew 10.4% from FY2024 to FY2025, while net income rose 19.3% over the same period and diluted EPS increased 22.6% from FY2024 to FY2025.
The model rewarded accelerating bottom-line expansion relative to top-line growth, with EPS and net income growth meaningfully outpacing revenue growth, reflecting operating leverage. The score stops short of the maximum, likely reflecting that revenue growth, while solid, remained in the low double digits.
In FY2025, IDEXX posted an operating margin of 31.6%, a net margin of 24.6%, and a return on assets of 31.6%, all reflecting highly efficient conversion of revenue to profit and strong asset utilization.
The model rewarded the combination of a wide operating margin, a substantial net margin, and a return on assets that matches the operating margin, indicating that the company generates exceptional profitability both relative to sales and to its asset base.
Filing evidence currently available does not support a more specific explanation for this factor.
Over the last four reported quarters, revenue moved from 2025Q2 of 1,109,457,000 to 2025Q3 of 1,105,239,000, dipped to 2025Q4 of 1,090,579,000, then recovered to a four-quarter high of 1,140,820,000 in 2026Q1. Net income and operating income followed a similar pattern, with operating income declining from 373,046,000 in 2025Q2 to 315,605,000 in 2025Q4 before rebounding to 362,586,000 in 2026Q1.
The model appears to have rewarded the 2026Q1 rebound in both revenue and operating income after a mid-cycle dip, suggesting a pattern of resilience and recovery rather than sustained deceleration, which supports a high but not maximum momentum score.
IDEXX Laboratories does not currently pay a dividend; this is a genuine characteristic of the company, not a data limitation.
The model assigns a score of zero for this factor because no dividend income is available to investors, which is a structural feature of how IDEXX allocates capital rather than a reflection of financial distress.
IDEXX Laboratories is not currently assigned to any of the 24 tracked macro themes in the model.
The absence of a theme assignment is a neutral classification outcome; it does not indicate a weakness in the company's business but simply means the security does not map to one of the model's current tracked macro themes, resulting in no theme-based score contribution.
Research Summary
AI-generated analysis reflects data and conditions as of the report date shown above. Verify any specific figures through primary sources before acting on this analysis.
IDEXX Laboratories delivered strong financial performance in FY2025, with revenue growing 10.4% to $4.30 billion and net income rising 19.3%, while diluted EPS expanded 22.6%, demonstrating meaningful operating leverage. Profitability metrics were exceptional, with an operating margin of 31.6%, a net margin of 24.6%, and a return on assets of 31.6%. Quarterly momentum showed resilience, with revenue and operating income rebounding in 2026Q1 after a mid-cycle dip. The composite score of 57.6/100 reflects these strengths alongside structural offsets from the absence of a dividend and no current macro theme assignment.
Plain English
IDEXX is a highly profitable company that grew its earnings faster than its sales in 2025, and its most recent quarter showed a nice bounce-back after a brief slowdown — but it doesn't pay dividends and doesn't fit into any of the model's current investment themes, which held back its overall score.
Bull Case vs. Bear Case
Bull Case
- Earnings growth significantly outpaced revenue growth in FY2025, with net income up 19.3% and diluted EPS up 22.6% against revenue growth of 10.4%, indicating strong operating leverage.
- IDEXX posted an operating margin of 31.6% and a net margin of 24.6% in FY2025, reflecting highly efficient conversion of revenue to profit.
- Quarterly results showed a recovery pattern, with revenue rebounding to a four-quarter high of $1.14 billion in 2026Q1 and operating income recovering to $362.6 million after a mid-cycle trough in 2025Q4.
Bear Case
- IDEXX does not pay a dividend, meaning investors receive no current income from holding the stock, which is a structural capital allocation choice rather than a sign of distress.
- Revenue growth, while solid at 10.4% year-over-year, remained in the low double digits, which limited the growth factor score from reaching its maximum.
- IDEXX is not assigned to any of the model's 24 tracked macro themes, meaning it receives no theme-based score contribution, which weighed on the composite.
What Could Change the Picture
Bullish Triggers
- Sustained acceleration in revenue growth beyond the current low double-digit rate, combined with continued EPS outperformance, could push the growth factor score higher.
- Assignment to one or more of the model's tracked macro themes would add a score contribution that is currently absent.
Bearish Triggers
- A reversal of the 2026Q1 rebound — with revenue or operating income resuming the declining trend seen from 2025Q2 through 2025Q4 — would undermine the momentum narrative.
- Any meaningful compression in the operating or net margin from the current 31.6% and 24.6% levels would weaken the profitability case.
Risk Profile
Low RiskThe model assigns IDEXX a Low risk rating, consistent with a debt-to-equity ratio of 0.28 and a pattern of quarterly resilience in which revenue and operating income recovered to multi-quarter highs in 2026Q1 after a mid-cycle dip. The combination of a conservative balance sheet and demonstrated earnings recovery supports the low-risk classification.
Key Catalysts to Watch
The 2026Q1 rebound in both revenue to $1.14 billion and operating income to $362.6 million, following declines in the prior two quarters, represents the most recent positive inflection point visible in the filing data.
This report is for educational and research purposes only. It does not constitute financial, investment, legal, or tax advice — always conduct your own due diligence before making investment decisions.