Azenta (AZTA) Stock Forecast & Price Target

Azenta is expected to benefit from improving revenue growth across Sample Management Solutions and Multiomics, with management’s reset long-range plan suggesting mid- to high-single-digit growth and a potential bottom in Street estimates after lowered FY26 guidance. Even though F2Q26 revenue and adjusted EBITDA missed consensus due to softness in North America Multiomics and constrained capital demand, the company’s balance sheet and free cash flow profile should help limit downside while execution risk remains manageable. The positive outlook is further supported by expected margin expansion, which should drive adjusted EBITDA and earnings growth over the next few years, alongside upside from outsourcing, accretive M&A, and stronger EPS growth.

Azenta is facing deteriorating fundamentals as it lowered FY26 adjusted EBITDA guidance to $56-59M from $59-62M after a one-time $3M consulting expense, while the implied adjusted EBITDA margin reset to roughly 10-11% from about 14% and revenue guidance was cut to (2%)-1% organic growth. The latest quarter underscored this weakness, with revenue of $145M below consensus, adjusted EBITDA of $8M versus $17M expected, and adjusted EPS of ($0.04) versus $0.12, alongside a 460 bps decline in adjusted EBITDA margin to 5.4%. Demand softness is broad-based, as Sample Management Solutions declined 3% organic on weaker automated and cryo store sales and Multiomics fell 2% organic, supporting further downward revisions to FY26 and FY27 revenue and EPS estimates.