AVTR NYSE Russell 1000 Earnings call
Avantor, Inc. (AVTR) · Q2 2026 results and valuation
Share price: $15.73 · 2026-11-11
Results Q2 2026 vs Q1 2026 · previous quarter · published 29 Jul 2026 and 29 Apr 2026
Net income down 12.0% on the previous quarter. Management sounded upbeat, in its script and in answers to analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
−12.0%
Net income vs Q1 2026
Outlook given
Net income 38.1M vs 43.3M
Revenue +7.0%
Against the same quarter last year (Q2 2025) it is −41.1%, so it is not just seasonal.
2 · How management spoke
Upbeat
More upbeat than 84% of company calls
Answers to analysts: upbeat, in line with the script.
Similar to last call.
3 · What stood out
Rising
Free cash flow was $143 million, or $152 million excluding restructuring costs, with both figures ahead of expectations.
Valuation
Is Avantor, Inc. undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At −4.5% growth a year (3-year revenue growth), the model's fair value is $0.86 a share — the stock trades 1725% above it. Today's price assumes 12.7% growth a year.
Current price
$15.73
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+12.7% for 10 yrs
Fair value / share
$0.86
Buy below
$0.65
Price vs fair value
Overvalued >200%
Price vs buy-below price
Overvalued >200%
Read between the lines
-
Guidance
Currency effects are now expected to add about 50 basis points to full-year revenue.
Source quote
“As a result, we now expect FX to contribute about 50 basis points to full year revenue.”
-
Guidance
Net interest expense is now expected to decline modestly versus 2025, alongside a full-year diluted share count of 677 million.
Source quote
“We now expect that net interest expense will decline modestly versus 2025, and we also assume a weighted average diluted share count for the year of 677 million...”
-
Figure
AVTR generated $1.69 billion in revenue in Q2, which declined 0.4% on an organic basis and increased 0.5% on a reported basis compared to Q1.
Source quote
“In Q2, we generated $1.69 billion of revenue, which declined 0.4% on organic basis and was up 0.5% on a reported...”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“The positive impact of Revival is evident not only in our improved second quarter results, but also in leading indicators such as the strength of our order book and the...”
“This translates into double-digit order growth for BMP and a book-to-bill ratio of 1.1x during the second quarter while also expanding our funnel of future growth opportunities.”
“We're really excited for the building and sustainable momentum and I think the profile within 2026 over the course of '26 is really gradual and improving and really strong.”
Full figures
USD · ROIC.AI fundamentals (NYSE:AVTR, period end 2026-06-30)
| Metric | Q2 2026period end 2026-06-30 | Q1 2026period end 2026-03-31 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 1.69B | 1.58B | +7.0% | 1.68B | +0.5% |
| Gross profit | 537.0M | 500.7M | +7.2% | 554.1M | −3.1% |
| Operating income | 121.8M | 99.5M | +22.4% | 128.8M | −5.4% |
| Net income | 38.1M | 43.3M | −12.0% | 64.7M | −41.1% |
| EPS | 0.06 | 0.06 | −6.1% | 0.09 | −37.4% |
| P/E | — | 12-mo loss | — | 13.3 | — |
Topics
Most discussed now
- Avantor's ability to consistently generate strong free cash flow is a key strength of Avantor.
- Avantor remains highly focused on cost discipline as reflected in its overall headcount, which has declined by approximately 3% this...
- Adjusted operating income for VWR was $126 million in Q2 and representing an adjusted operating margin of 10.2%.
- This is really important for it to continue to do so, reduce lead times, increase on-time delivery and not measured...
- Federal securities laws, including statements regarding events or developments that Avantor believes or anticipate may occur in the future.
Faded since Q1 2026
- Dropped You put those together, you get better fixed cost absorption against that, and then you'll see modest increases and margin...
- Dropped NHI funding is stabilizing, capitalizing incremental demand that will represent upside potentially, again, if the customer decided to spend…
- Fading In Q1, Avantor saw modest improvement in BMP operational performance and it also saw strong commercial performance given the enhanced...
- Fading The primary driver of the organic revenue performance was a decline in volumes with industry dynamics and European market weakness,...
Latest announcements
Official filings, newest first.
- Director or officer change; Regulation FD disclosure · SEC 8-K
- Director or officer change; Regulation FD disclosure · SEC 8-K
- Results of operations · SEC 8-K
- Material agreement; New financial obligation · SEC 8-K
- Shareholder vote results · SEC 8-K
- Results of operations · SEC 8-K
- Director or officer change; Regulation FD disclosure · SEC 8-K
- Director or officer change; Regulation FD disclosure · SEC 8-K