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Why BioLife Solutions Stock Rose ~49% Last Week

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Stock performance

On July 6, BioLife Solutions (BLFS) stock closed at $17.02, ~508% higher than its 52-week low of $2.80 on July 7, 2017. After BioLife’s July 2 announcement of its Q2 2018 results, its stock rose ~31.38% to $14.99 from $11.41 the day before. On July 3, the stock rose ~11.41% to close at $16.70. Last Friday, BioLife stock rose ~49% week-over-week to $17.02 from $11.41.

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Why BioLife stock rose

In Q2 2018, BioLife’s revenue rose ~103% YoY (year-over-year) to $5.2 million, and ~36% sequentially, boosted by biopreservation media product sales and solid demand by gene therapy clients in the regenerative medicine market. With its Q2 2018 release, BioLife raised its fiscal 2018 biopreservation media revenue guidance to $18.5 million–$20.0 million from $14.5 million–$15.5 million, now reflecting ~68%–82% YoY growth. It expanded its gross margin guidance to 63% from 61% and raised its operating expense guidance to $9.0 million–$9.5 million from $7.8 million.

Analysts’ recommendations

Of the four analysts tracking BioLife, one recommends “strong buy,” and three recommend “buy.” Their consensus target price of $15.75 implies a ~7.46% decline over the next 12 months.

In comparison, ~67% of the nine analysts tracking Emergent BioSolutions (EBS) recommend “buy,” and ~80% of the 20 analysts tracking Abbott Laboratories (ABT) recommend “buy.” Analysts’ target prices for EBS and ABT are $55.25 and $68.81, respectively, representing ~0.64% and ~10.70% returns over the next 12 months.

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