Neogen (NASDAQ:NEOG) Shares Gap Up – Still a Buy?

Shares of Neogen Corporation (NASDAQ:NEOG) gapped up before the market opened on Wednesday . The stock had previously closed at $11.64, but opened at $12.18. Neogen shares last traded at $11.9940, with a volume of 161,083 shares changing hands.

Neogen News Roundup

Here are the key news stories impacting Neogen this week:

• Positive Sentiment: Piper Sandler upgraded Neogen on new management, suggesting analysts see potential for improved execution and a stronger outlook under the company’s leadership changes. Neogen upgraded at Piper Sandler on new management
• Positive Sentiment: Zacks Research raised several Neogen EPS forecasts: FY2027 estimates increased to $0.25 from $0.21, FY2028 to $0.29 from $0.28, and FY2029 was projected at $0.32. Quarterly estimates for Q2 and Q3 FY2027, Q4 FY2027 and Q3–Q4 FY2028 were also raised, signaling expectations for gradual earnings improvement. These forecasts are broadly in line with or above the current-year consensus of $0.25 EPS.
• Neutral Sentiment: Signal Proxy Intelligence recommended shareholders support all five proposals at Neogen’s annual meeting. The endorsement may reduce governance uncertainty, but it is unlikely to materially change near-term earnings or valuation. Signal Proxy Intelligence Recommends Full Support for All Five Items at Neogen Corporation Annual Meeting
• Neutral Sentiment: A Zacks comparison of Perrigo and Neogen framed the stocks as competing medical-products value investments. The article does not represent a specific change to Neogen’s rating or outlook. PRGO or NEOG: Which Is the Better Value Stock Right Now?
• Negative Sentiment: Zacks lowered its Q1 FY2028 EPS forecast to $0.05 from $0.06, partially offsetting the broader upward revisions. The change suggests some unevenness in the pace of Neogen’s expected earnings recovery.

Analyst Ratings Changes

NEOG has been the topic of several analyst reports. Piper Sandler upgraded shares of Neogen from a “neutral” rating to an “overweight” rating and lifted their price target for the stock from $13.00 to $14.00 in a research note on Wednesday. Weiss Ratings raised Neogen from a “sell (e+)” rating to a “sell (d-)” rating in a report on Friday, August 7th. Finally, Wall Street Zen upgraded Neogen from a “hold” rating to a “buy” rating in a research report on Saturday, May 9th. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $12.00.

Neogen Stock Up 0.3%

The company has a market capitalization of $2.56 billion, a PE ratio of -391.33, a price-to-earnings-growth ratio of 4.39 and a beta of 1.77. The company’s fifty day moving average is $10.42 and its 200-day moving average is $9.85. The company has a debt-to-equity ratio of 0.38, a quick ratio of 2.91 and a current ratio of 3.82.

Neogen (NASDAQ:NEOG) last issued its quarterly earnings results on Thursday, July 30th. The company reported $0.09 earnings per share for the quarter, beating the consensus estimate of $0.06 by $0.03. The business had revenue of $225.30 million for the quarter, compared to the consensus estimate of $212.35 million. Neogen had a negative net margin of 0.91% and a positive return on equity of 2.78%. The company’s revenue for the quarter was down .1% on a year-over-year basis. During the same quarter in the previous year, the firm earned ($2.82) earnings per share. As a group, analysts predict that Neogen Corporation will post 0.27 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of NEOG. AQR Capital Management LLC lifted its position in shares of Neogen by 217.0% in the first quarter. AQR Capital Management LLC now owns 52,410 shares of the company’s stock valued at $443,000 after acquiring an additional 35,878 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of Neogen by 4.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 129,813 shares of the company’s stock worth $1,125,000 after purchasing an additional 5,638 shares in the last quarter. Jones Financial Companies Lllp grew its position in shares of Neogen by 5,687.3% during the first quarter. Jones Financial Companies Lllp now owns 33,393 shares of the company’s stock worth $290,000 after purchasing an additional 32,816 shares in the last quarter. Goldman Sachs Group Inc. grew its position in shares of Neogen by 14.3% during the first quarter. Goldman Sachs Group Inc. now owns 1,678,493 shares of the company’s stock worth $14,553,000 after purchasing an additional 209,990 shares in the last quarter. Finally, United Services Automobile Association bought a new stake in Neogen during the 1st quarter valued at approximately $112,000. Institutional investors own 96.73% of the company’s stock.

About Neogen

Neogen Corporation is a global provider of food and animal safety products, offering a broad portfolio of diagnostic and testing solutions. Headquartered in Lansing, Michigan, the company develops and manufactures tests designed to detect foodborne pathogens, allergens and toxins in food, beverage and environmental samples. Since its founding in 1982, Neogen has focused on delivering rapid, accurate and user‐friendly assays to food processors, grain handlers and quality laboratories around the world.

In the food safety arena, Neogen’s product lineup includes immunoassay kits, molecular diagnostics and enrichment media for pathogens such as Salmonella, Listeria and E.