Charles River Laboratories International (NYSE:CRL) Issues Earnings Results

Charles River Laboratories International (NYSE:CRL) issued its quarterly earnings results on Wednesday. The medical research company reported $3.09 earnings per share for the quarter, topping the consensus estimate of $2.97 by $0.12, FiscalAI reports. Charles River Laboratories International had a positive return on equity of 15.75% and a negative net margin of 5.96%. The business had revenue of $982.73 million during the quarter, compared to the consensus estimate of $960.36 million. During the same quarter last year, the company earned $2.43 earnings per share. The company’s quarterly revenue was down 2.2% on a year-over-year basis.

Here are the key takeaways from Charles River Laboratories International’s conference call:

• Third-quarter revenue grew 4.7%, the strongest growth in three years, and adjusted EPS rose 27% to $3.09, both ahead of expectations. Charles River raised its 2026 organic revenue growth outlook to at least 1.5% and EPS guidance to $11.35–$11.55.
• Demand strengthened in DSA, with organic growth of 5.9%, bookings up 32% year over year, and book-to-bill of 1.09x for a fourth consecutive quarter above 1.0x. Management expects mid-single-digit DSA growth in Q4, while manufacturing returned to 7.4% organic growth.
• Operating margin expanded year over year, and the company expects further sequential improvement in Q4; its Create the Future program is projected to generate more than $300 million in cumulative savings over four years. Management expects 2027 margin improvement to exceed its previously discussed 75-basis-point annual average.
• RMS revenue declined 0.6% organically as weaker North American research-model demand and academic and government funding pressure offset growth in China. Management expects a modest reduction in RMS growth in Q4 and said this segment’s recovery may take time.
• DSA pricing remains a constraint: current growth is volume-driven, and reduced discounting has not yet benefited bookings or revenue. If trends hold, management does not expect pricing gains to affect revenue until at least the second half of 2027.

Charles River Laboratories International Stock Performance

NYSE CRL traded down $19.20 during trading hours on Wednesday, reaching $332.67. The stock had a trading volume of 1,080,759 shares, compared to its average volume of 959,766. Charles River Laboratories International has a 52-week low of $146.20 and a 52-week high of $379.63. The stock has a fifty day moving average of $303.97 and a 200 day moving average of $223.61. The company has a debt-to-equity ratio of 0.92, a quick ratio of 1.04 and a current ratio of 1.35. The stock has a market cap of $15.88 billion, a P/E ratio of -68.60, a price-to-earnings-growth ratio of 3.16 and a beta of 1.36.

Charles River Laboratories International News Roundup

Here are the key news stories impacting Charles River Laboratories International this week:

• Positive Sentiment: Third-quarter adjusted earnings of $3.09 per share topped analysts’ roughly $2.97 estimate, while revenue of $982.7 million exceeded the $960.4 million consensus. Organic growth and margin expansion supported the results, and the company raised its 2026 outlook. Article: Charles River Q3 Earnings & Revenues Top Estimates, Stock Rises
• Negative Sentiment: Revenue was down 2.2% from a year earlier, tempering the positive earnings surprise. Zacks Research also downgraded CRL from “strong-buy” to “hold,” adding a cautious analyst signal. Article: Zacks Research stock recommendations
• Negative Sentiment: Despite the beat and raised outlook, reports noted that the stock declined, suggesting the strong results may not have met investor expectations or fully offset concerns about sales trends. Article: Charles River Labs drops despite its beat and raise

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on CRL. Zacks Research downgraded shares of Charles River Laboratories International from a “strong-buy” rating to a “hold” rating in a report on Monday. Piper Sandler set a $300.00 target price on shares of Charles River Laboratories International in a research note on Monday, August 10th. Argus set a $330.00 target price on shares of Charles River Laboratories International in a research report on Thursday, September 17th. Weiss Ratings restated a “sell (d-)” rating on shares of Charles River Laboratories International in a research note on Monday, September 28th. Finally, Morgan Stanley boosted their price objective on shares of Charles River Laboratories International from $300.00 to $340.00 and gave the company an “overweight” rating in a report on Monday, October 12th. One investment analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Charles River Laboratories International presently has a consensus rating of “Moderate Buy” and a consensus price target of $302.33.

Insider Activity at Charles River Laboratories International

In other news, CAO Michael Knell sold 6,645 shares of the stock in a transaction on Thursday, August 6th. The shares were sold at an average price of $260.38, for a total value of $1,730,225.10. Following the sale, the chief accounting officer owned 11,852 shares in the company, valued at $3,086,023.76. This represents a 35.92% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director James Foster sold 33,561 shares of the firm’s stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $300.00, for a total transaction of $10,068,300.00. Following the transaction, the director directly owned 31,596 shares of the company’s stock, valued at approximately $9,478,800. This trade represents a 51.51% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 113,123 shares of company stock worth $33,864,118 in the last ninety days. 1.30% of the stock is owned by company insiders.

About Charles River Laboratories International

Charles River Laboratories International, Inc is a contract research and laboratory services company that supports pharmaceutical, biotechnology, medical device and academic research organizations. The company provides products and services used throughout the drug-development process, from early discovery and research through preclinical testing and manufacturing support.

Its offerings include research models, laboratory animal management, discovery and safety assessment services, toxicology testing, bioanalysis, and support for biologic, cell and gene therapy programs.