A Look At Avantor (AVTR) Valuation As Analyst Coverage Highlights Earnings Outlook And Peer Discount

Recent analyst coverage has put Avantor (AVTR) back in focus, highlighting an improving earnings outlook and relatively attractive valuation compared with peers, even as sector challenges keep broader sentiment mixed.

See our latest analysis for Avantor.

Avantor’s share price at US$10.79 reflects a softer run recently, with a 30 day share price return of 12.06% decline and a 1 year total shareholder return of 50.28% loss. This suggests sentiment has cooled even as earnings expectations and valuation draw fresh attention.

If you are reassessing opportunities in the wake of Avantor’s recent moves, it could be a good moment to widen your search and check out 25 healthcare AI stocks as potential ideas to research next.

With earnings expectations improving, a Value grade of A, and the share price at a discount to analyst targets, is Avantor an undervalued recovery story, or is the market already pricing in any future growth?

Most Popular Narrative: 17.2% Undervalued

Avantor’s most followed valuation narrative pegs fair value at $13.04, above the last close of $10.79, which puts a spotlight on what is driving that gap.

The continued acceleration of biologics, gene therapies, and personalized medicine creates an increasing need for specialized and single-use solutions, an area where Avantor is investing in market-leading platforms and expanding innovation, positioning the company to benefit from secular end-market growth and product mix shift toward higher-margin segments, supporting margin and earnings growth.

Read the complete narrative.

Want to see what kind of revenue path and profit margins justify that higher fair value? The narrative leans on muted top line growth, shifting mix, and a richer future earnings multiple. Curious which assumptions really carry the valuation story and how sensitive that $13.04 figure is to them?

Result: Fair Value of $13.04 (UNDERVALUED)

Have a read of the narrative in full and understand what’s behind the forecasts.

However, the story depends on execution, with risks around aggressive price cuts squeezing margins and bioprocessing headwinds keeping revenue and profitability under pressure.

Find out about the key risks to this Avantor narrative.

Build Your Own Avantor Narrative

If you are not fully aligned with this storyline or prefer to lean on your own data checks, you can build a custom view in just a few minutes and Do it your way.

A great starting point for your Avantor research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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