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AVTR Stock Analysis - Avantor, Inc. AI Rating

AVTR NYSE Laboratory Analytical Instruments CIK: 0001722482
Recently Updated • Analysis: Mar 20, 2026 • SEC Data: 2025-12-31
AI Rating
SELL
78% Confidence

📊 AVTR Key Takeaways

Revenue: $6.6B
Net Margin: -8.1%
Free Cash Flow: $495.0M
Current Ratio: 1.78x
Debt/Equity: 0.71x
EPS: $-0.78
AI Rating: SELL with 78% confidence

Investment Thesis

Avantor faces significant operational challenges with negative operating and net income despite maintaining solid gross margins of 32.7%, indicating cost structure issues. While free cash flow of $495M demonstrates underlying business strength, the company's inability to convert gross profit into operating profit, combined with revenue contraction of 3.4% YoY and deteriorating EPS, suggests structural headwinds that require immediate management action.

AVTR Strengths

  • + Strong free cash flow generation of $495M with 7.6% FCF margin demonstrates operational efficiency
  • + Healthy gross margin of 32.7% provides foundation for profitability recovery if operating costs are controlled
  • + Solid liquidity position with current ratio of 1.78x and quick ratio of 1.18x provides financial flexibility

AVTR Risks

  • ! Negative operating margin of -3.8% and operating loss of $246.2M indicates core business is unprofitable despite revenue generation
  • ! Revenue declining 3.4% YoY with negative net margin of -8.1% suggests demand weakness and inability to achieve scale economies
  • ! Negative interest coverage ratio of -1.9x indicates insufficient operating cash to service debt obligations, creating solvency risk with $3.9B long-term debt burden
  • ! High insider Form 4 activity (17 filings in 90 days) may signal uncertainty about company direction

Key Metrics to Watch

AVTR Financial Metrics

Revenue
$6.6B
Net Income
$-530.2M
EPS (Diluted)
$-0.78
Free Cash Flow
$495.0M
Total Assets
$11.8B
Cash Position
$365.4M

💡 AI Analyst Insight

Avantor, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

AVTR Profitability Ratios

Gross Margin 32.7%
Operating Margin -3.8%
Net Margin -8.1%
ROE -9.5%
ROA -4.5%
FCF Margin 7.6%

AVTR vs Default Sector

How Avantor, Inc. compares to Default sector averages

Net Margin
AVTR -8.1%
vs
Sector Avg 12.0%
AVTR Sector
ROE
AVTR -9.5%
vs
Sector Avg 15.0%
AVTR Sector
Current Ratio
AVTR 1.8x
vs
Sector Avg 1.8x
AVTR Sector
Debt/Equity
AVTR 0.7x
vs
Sector Avg 0.7x
AVTR Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

AVTR Balance Sheet & Liquidity

Current Ratio
1.78x
Quick Ratio
1.18x
Debt/Equity
0.71x
Debt/Assets
52.8%
Interest Coverage
-1.90x
Long-term Debt
$3.9B

AVTR 5-Year Financial Trend

AVTR 5-year financial data: Year 2020: Revenue $7.4B, Net Income -$86.9M, EPS $-2.69. Year 2022: Revenue $7.5B, Net Income $116.6M, EPS $0.09. Year 2023: Revenue $7.5B, Net Income $572.6M, EPS $0.85. Year 2024: Revenue $7.5B, Net Income $686.5M, EPS $1.01. Year 2025: Revenue $7.0B, Net Income $321.1M, EPS $0.47.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Avantor, Inc.'s revenue has remained relatively flat over the 5-year period, with a 6% decline. The most recent EPS of $0.47 reflects profitable operations.

AVTR Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
7.6%
Free cash flow / Revenue

AVTR Quarterly Performance

Quarterly financial performance data for Avantor, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $1.6B $57.8M $0.08
Q2 2025 $1.7B $64.7M $0.09
Q1 2025 $1.6B $60.4M $0.09
Q3 2024 $1.7B $57.8M $0.08
Q2 2024 $1.7B -$7.3M $-0.01
Q1 2024 $1.7B $60.4M $0.09
Q3 2023 $1.7B $108.4M $0.16
Q2 2023 $1.7B -$7.3M $-0.01

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

AVTR Capital Allocation

Operating Cash Flow
$623.8M
Cash generated from operations
Stock Buybacks
$75.1M
Shares repurchased (TTM)
Capital Expenditures
$128.8M
Investment in assets
Dividends Paid
$15.1M
Returned to shareholders

AVTR SEC Filings

Access official SEC EDGAR filings for Avantor, Inc. (CIK: 0001722482)

📋 Recent SEC Filings

Date Form Document Action
Mar 11, 2026 4 xslF345X05/wk-form4_1773263425.xml View →
Feb 25, 2026 4 xslF345X05/wk-form4_1772058483.xml View →
Feb 25, 2026 4 xslF345X05/wk-form4_1772058478.xml View →
Feb 25, 2026 4 xslF345X05/wk-form4_1772058472.xml View →
Feb 25, 2026 4 xslF345X05/wk-form4_1772058466.xml View →

Frequently Asked Questions about AVTR

What is the AI rating for AVTR?

Avantor, Inc. (AVTR) has an AI rating of SELL with 78% confidence, based on fundamental analysis of SEC EDGAR filings.

What are AVTR's key strengths?

Strong free cash flow generation of $495M with 7.6% FCF margin demonstrates operational efficiency. Healthy gross margin of 32.7% provides foundation for profitability recovery if operating costs are controlled.

What are the risks of investing in AVTR?

Negative operating margin of -3.8% and operating loss of $246.2M indicates core business is unprofitable despite revenue generation. Revenue declining 3.4% YoY with negative net margin of -8.1% suggests demand weakness and inability to achieve scale economies.

What is AVTR's revenue and growth?

Avantor, Inc. reported revenue of $6.6B.

Does AVTR pay dividends?

Avantor, Inc. pays dividends, with $15.1M distributed to shareholders in the trailing twelve months.

Where can I find AVTR SEC filings?

Official SEC filings for Avantor, Inc. (CIK: 0001722482) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is AVTR's EPS?

Avantor, Inc. has a diluted EPS of $-0.78.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 20, 2026 | Data as of: 2025-12-31 | Powered by Claude AI