Neogen Stock Gains Following Strategic Alliance With Syngenta

Neogen Corporation NEOG has recently entered into a strategic licensing and supply agreement with Syngenta. Under the agreement, Neogen will have exclusive rights to market and sell Talon-G and Talon Weatherblok XT rodenticides in the United States and Canada. 

The agreement is likely to expand Neogen’s rodenticide portfolio with well-established and highly effective products. 

NEOG’s Likely Stock Trend Following the News

Following the announcement, shares of NEOG moved 4.7% north to $6.70 in yesterday’s after-market trading session.  

Neogen follows several growth strategies to be the leading company in the development and marketing of solutions for food and animal safety. One of the strategies is acquiring businesses and forming strategic alliances. In line with this, Neogen formed a genomics relationship with Performance Food Group last fiscal year. With this, it became the official genomics provider for the food group’s PathProven service. Furthermore, in the fiscal third quarter of 2025, the company completed the merger of the 3M Food Safety Division. Henceforth, we expect market sentiment to remain positive surrounding the announcement of the latest development.

NEOG currently has a market capitalization of $1.43 billion. It has an earnings yield of 5.75% compared with the industry’s 0.04%. The Zacks Consensus Estimate for fiscal 2026 earnings is pegged at 44 cents per share, which suggests 17.1% growth from the fiscal 2025 reported number.

More on NEOG’s Partnership With Syngenta

Under the agreement, Neogen will leverage its commercial and technical expertise to lead the promotion and distribution of Talon-G and Talon Weatherblok XT. Meanwhile, Syngenta will focus more on its long-term vision of bringing new, innovative pest control technologies to market. 

For investors’ note, Talon-G and Talon Weatherblok XT, containing the active ingredient brodifacoum, are second-generation anticoagulant rodenticides that can control rodents with a single feeding. 

This agreement reinforces Neogen’s commitment to providing comprehensive pest management solutions and strengthens its ability to serve customers across North America. 

Industry Prospects Favor Neogen

Per a TechSci Research report, the global rodenticides market was valued at $6.34 billion in 2024 and is expected to reach $8.64 billion by 2030 at a compound annual growth rate of 5.3% during the period. The rodenticides market plays a crucial role in the pest control industry, providing essential solutions to mitigate the impact of rodent infestations on various sectors, including agriculture, urban areas and industrial facilities. One of the key drivers of the rodenticides market is the persistent challenge posed by rodent-borne diseases and damage to crops.

Other Developments by NEOG

Earlier this year, Neogen launched its new Neogen Molecular Detection Assay 2 – Quantitative Salmonella (MDA2QSAL96). This assay helps overcome certain limitations of existing solutions with improved sensitivity and accuracy and an easy-to-use workflow. Molecular Detection Assay 2 - Quantitative Salmonella is the latest addition to the company’s Molecular Detection System pathogen testing platform.

In late 2024, Neogen introduced the Petrifilm Bacillus cereus Count Plate. This solution offers food safety professionals a simple, reliable, and efficient testing method for Bacillus cereus. Petrifilm Bacillus cereus Count Plate is the latest addition to the company’s Petrifilm product line.

Price Performance 

In the past year, NEOG’s shares have lost 53.1% against the industry’s 10.7% growth.

Zacks Rank and Key Picks

Neogen currently carries a Zacks Rank #4 (Sell). 

Some better-ranked stocks in the broader medical space are AngioDynamics ANGO, STERIS STE and DexCom DXCM. 

AngioDynamics, carrying a Zacks Rank #1 (Strong Buy) at present, has an estimated earnings growth rate of 23.7% for 2025. You can see the complete list of today’s Zacks #1 Rank stocks here.

ANGO’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 70.85%. Veracyte’s shares have risen 49.2% in the past year compared with the industry’s 5.5% growth.

STERIS, carrying a Zacks Rank #2 (Buy) at present, has an estimated growth rate of 10.8% for 2025. 

STE’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 0.61%. Its shares have risen 34.1% compared with the industry’s 7.7% growth in the past year. 

DexCom, carrying a Zacks Rank #2 at present, has an estimated earnings growth rate of 23.2% for 2025. Its earnings surpassed estimates in two of the trailing four quarters and missed in the other two, delivering an average surprise of 0.47%.

DXCM’s shares have risen 26.4% against the industry’s 15.7% decline in the past year. 

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research