Charles River Laboratories (CRL)

Health Care · $16.5B market cap · SEC CIK 0001100682

Next reports on Feb 16, 2027, after the close, with analysts expecting $3.36 in earnings per share.

52-week range $146.20 to $379.63. 9% below its 52-week high and 137% above its low.

The case for CRL

• Earnings per share up 522.6%.
• Up 110.3% over the past year.

The case against

• Expensive for its growth: 411.7× earnings, where 4% a year of growth would justify about 14×.
• Operating profit covers its interest bill only 0.2 times.
• Return on equity of only 1%.
• Revenue was flat on the year (−1.2%).
• Net margin of 1.0% leaves very little room for error.
• Long-term debt of $2.1B against $214M of cash.

What the score is made of

Each factor is half a curve over reported figures and half a rank among the other Health Care companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.

• Each factor except momentum is half fixed thresholds, half rank among the 59 Health Care companies.

The financials

The financials, five years deep

Pulled from Charles River Laboratories's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.

What Charles River Laboratories says it does

This Annual Report on Form 10-K contains forward-looking statements regarding future events and the future results of Charles River Laboratories International, Inc. that are based on our current expectations, estimates, forecasts and projections about the industries in which we operate and the beliefs and assumptions of our management. Words such as “expect,” “anticipate,” “target,” “goal,” “project,” “intend,” “plan,” “believe,” “seek,” “estimate,” “will,” “likely,” “may,” “designed,” “would,” “future,” “can,” “could” and other similar expressions, which are predictions of, indicate future events and trends or which do not relate to historical matters are intended to identify such forward-looking statements. These statements are based on our current expectations and beliefs and involve a number of risks, uncertainties and assumptions that are difficult to predict. For example, we may use forward-looking statements when addressing…

Risk factors CRL lists in its 10-K

• Financial and Accounting Risk Factors
• We bear financial risk for contracts that may be terminated or reduced in scope, underpriced, subject to cost overruns or delays
• Upgrading and integrating our business systems could result in implementation issues and business disruptions
• We have in the past experienced and in the future could experience unauthorized access into our information systems
• Uncertainties with respect to the development, deployment, and use of artificial intelligence present new risks and challenges and could adversely affect our business and reputation
• Failure to execute our business strategy could adversely impact our growth and profitability
• Failure to successfully realize cost savings from our restructuring initiatives would adversely impact our growth and profitability
• Our business is subject to risks relating to operating internationally, including changes in foreign currency exchange rates
• Our operations might be affected by the occurrence of a natural disaster or other catastrophic event
• Negative attention from special interest groups may impair our business
• Several of our product and service offerings, including our non-human primate supply, are dependent on a limited source of supply that, when interrupted, adversely affects our business
• Demand volatility and risk of credit losses from clients may adversely affect our business
• A reduction or delay in government funding of R&D may adversely affect our business
• Changes in government regulation or in practices relating to the pharmaceutical or biotechnology industries, including potential healthcare reform, could decrease the need for the services we provide
• Our Biologics Solutions business, financial condition and results of operations may be adversely affected if the products we manufacture and/or test for our customers do not gain market acceptance
• CDMO services are highly complex and failure to provide quality and timely services to our CDMO customers, could adversely impact our business
• Contaminations in our animal populations can damage our inventory, harm our reputation for contaminant-free production, result in decreased sales and cause us to incur additional costs
• The outsourcing trend in non-clinical and clinical stages of drug discovery and development may decrease, which could impair our growth
• The industries in which we operate are highly competitive
• New technologies may be developed, validated and increasingly used in biomedical research, which could reduce demand for some of our products and services
• We may not be able to successfully develop and market new services and products
• Costs increasing more rapidly than market prices in certain of our businesses could reduce profitability
• Any failure by us to comply with applicable regulations and related guidance could harm our reputation and operating results, and compliance with new regulations and guidance may result in additional costs
• Changes in U.S. and International Tax Law, results of tax audits, or material changes in our stock price could have a material adverse impact on our effective tax rate and financial results
• Non-clinical and clinical contract research services create a risk of liability
• The failure to successfully obtain, maintain and enforce intellectual property rights and defend against assertions of third parties to intellectual property rights could adversely affect us
• We are involved in legal proceedings that could adversely affect our business, financial condition, and results of operations
• Significant developments or changes in national laws or policies to protect or promote domestic interests and/or address foreign competition can have an adverse effect on our business and financial statements
• We depend on key personnel and may not be able to retain these employees, which could harm our business
• We depend on the availability of, and good relations with, our team members
• Our debt level could adversely affect our business and growth prospects
• Impairment of long-lived tangible assets and intangible assets (such as goodwill and other intangible assets) may adversely impact future results of operations
• Since we do not expect to pay any cash dividends for the foreseeable future, our shareholders will benefit from an investment in our common stock only if it appreciates in value
• Our quarterly operating results may vary, which could negatively affect the market price of our common stock
• Increasing focus on environmental, social and governance (ESG) matters, including climate-related issues, may impact our business, financial results or stock price

Filings

Other Health Care companies