Life Sciences Tools & Services Stocks Q4 In Review: 10x Genomics (NASDAQ:TXG) Vs Peers

Wrapping up Q4 earnings, we look at the numbers and key takeaways for the life sciences tools & services stocks, including 10x Genomics (NASDAQ:TXG) and its peers.

The life sciences tools and services sector supports biotech and pharmaceutical R&D and commercialization by providing lab equipment, data analytics, and clinical trial services. These companies benefit from recurring revenue and high margins on specialized products. Looking ahead, the sector is supported by tailwinds like advancements in genomics, personalized medicine, and the use of AI in drug discovery. However, the persistent challenge is dependence on the R&D budgets of large pharmaceutical companies and the volatility of smaller biotech firms. Future headwinds include uncertain research funding and pricing pressures from cost-conscious customers.

The 21 life sciences tools & services stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 1.7% while next quarter’s revenue guidance was in line.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 9.4% since the latest earnings results.

10x Genomics (NASDAQ:TXG)

Founded in 2012 by scientists seeking to overcome limitations in traditional biological research methods, 10x Genomics (NASDAQ:TXG) develops instruments, consumables, and software that enable researchers to analyze biological systems at single-cell resolution and spatial context.

10x Genomics reported revenues of $166 million, flat year on year. This print exceeded analysts’ expectations by 4.3%. Overall, it was a very strong quarter for the company with a beat of analysts’ EPS estimates and an impressive beat of analysts’ revenue estimates.

"In 2025, our team executed with discipline through a challenging environment while continuing to strengthen the fundamentals of the business," said Serge Saxonov, Co-founder and CEO of 10x Genomics.

10x Genomics scored the biggest analyst estimates beat of the whole group. Unsurprisingly, the stock is up 24.1% since reporting and currently trades at $21.73.

Is now the time to buy 10x Genomics? Access our full analysis of the earnings results here, it’s free.

Best Q4: Illumina (NASDAQ:ILMN)

Pioneering the ability to read the human genome at unprecedented speed and affordability, Illumina (NASDAQ:ILMN) develops and sells advanced DNA sequencing and microarray technologies that allow researchers and clinicians to analyze genetic variations and functions.

Illumina reported revenues of $1.16 billion, up 5% year on year, outperforming analysts’ expectations by 3.2%. The business had an exceptional quarter with full-year revenue guidance exceeding analysts’ expectations and an impressive beat of analysts’ organic revenue estimates.

Illumina pulled off the highest full-year guidance raise among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 3.8% since reporting. It currently trades at $128.57.

Is now the time to buy Illumina? Access our full analysis of the earnings results here, it’s free.

Slowest Q4: Fortrea (NASDAQ:FTRE)

Spun off from Labcorp in 2023 to focus exclusively on clinical research services, Fortrea (NASDAQ:FTRE) is a contract research organization that helps pharmaceutical, biotech, and medical device companies develop and bring their products to market through clinical trials and support services.

Fortrea reported revenues of $660.5 million, down 5.2% year on year, falling short of analysts’ expectations by 0.9%. It was a softer quarter as it posted full-year revenue guidance missing analysts’ expectations significantly and a significant miss of analysts’ EPS estimates.

Fortrea delivered the weakest performance against analyst estimates and weakest full-year guidance update in the group. As expected, the stock is down 3.9% since the results and currently trades at $9.93.

Read our full analysis of Fortrea’s results here.

IQVIA (NYSE:IQV)

Created from the 2016 merger of Quintiles (a clinical research organization) and IMS Health (a healthcare data specialist), IQVIA (NYSE:IQV) provides clinical research services, data analytics, and technology solutions to help pharmaceutical companies develop and market medications more effectively.

IQVIA reported revenues of $4.36 billion, up 10.3% year on year. This number beat analysts’ expectations by 2.9%. More broadly, it was a mixed quarter as it also produced a solid beat of analysts’ revenue estimates but a miss of analysts’ full-year EPS guidance estimates.

The stock is down 11.8% since reporting and currently trades at $178.54.

Read our full, actionable report on IQVIA here, it’s free.

Waters Corporation (NYSE:WAT)

Founded in 1958 and pioneering innovations in laboratory analysis for over six decades, Waters (NYSE:WAT) develops and manufactures analytical instruments, software, and consumables for liquid chromatography, mass spectrometry, and thermal analysis used in scientific research and quality testing.

Waters Corporation reported revenues of $932.4 million, down 45.4% year on year. This print was in line with analysts’ expectations. Taking a step back, it was a mixed quarter as it also logged revenue guidance for next quarter exceeding analysts’ expectations but a significant miss of analysts’ EPS guidance for next quarter estimates.

Waters Corporation had the slowest revenue growth among its peers. The stock is down 17.2% since reporting and currently trades at $315.76.

Read our full, actionable report on Waters Corporation here, it’s free.

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