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Here's How Much a $1000 Investment in Hologic Made 10 Years Ago Would Be Worth Today

How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.

The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.

What if you'd invested in Hologic (HOLX) ten years ago? It may not have been easy to hold on to HOLX for all that time, but if you did, how much would your investment be worth today?

Hologic's Business In-Depth

With that in mind, let's take a look at Hologic's main business drivers.

Headquartered in Bedford, MA, Hologic Inc. develops, manufactures, and supplies diagnostics, medical imaging systems and surgical products which cater to the healthcare needs of women.

Hologic operates through the following four segments:

Diagnostics (63.6% of total revenues in FY21): With the Gen-Probe acquisition, Hologic currently offers APTIMA family of assays that includes the APTIMA Combo 2 assay, which feature the APTIMA CT and APTIMA GC assays, the APTIMA HPV assay and the APTIMA Trichomonas assay. Other products include the ThinPrep system, primarily used in cytology applications. In the fourth quarter of fiscal 2019, this segment registered 6.2% growth year-over year.

Breast Health (25.4% of total revenues in FY21): Products include a broad portfolio of breast imaging and related products and accessories, including digital and film-based mammography systems, computer-aided detection (CAD), breast biopsy guidance systems, minimally invasive breast biopsy and tissue extraction devices and breast brachytherapy products. In the fourth quarter of fiscal 2019, this segment registered 6.3% growth year-over year.

GYN Surgical (9.3% of total revenues in FY21): Products include the NovaSure endometrial ablation system – used in the treatment of heavy menstrual bleeding and the MyoSure hysteroscopic tissue removal system – which allows incision less removal of fibroids and polyps within the uterus. In the fourth quarter of fiscal 2019, this segment registered 6.6% growth year over year.

Skeletal Health (1.8% of total revenues in FY21): This segment includes dual-energy X-ray bone densitometry systems, an ultrasound-based osteoporosis assessment product, and Fluoroscan mini-C arm imaging products.

Bottom Line

Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Hologic a decade ago, you're probably feeling pretty good about your investment today.

A $1000 investment made in August 2012 would be worth $3,720, or a 272% gain, as of August 16, 2022, according to our calculations. Investors should note that this return excludes dividends but includes price increases.

The S&P 500 rose 205.73% and the price of gold increased 5.84% over the same time frame in comparison.

Analysts are anticipating more upside for HOLX.

Hologic delivered better-than-expected revenues and earnings in the third quarter of fiscal 2022. The uptick in GYN Surgical business led by resilience from products such as the fluent fluid management system and Bolder Surgical buyout is encouraging. The company gained regulatory approvals for the Aptima CMV Quant assay, the Panther Fusion EBV Quant assay and the Panther Fusion BKV Quant assay in the reported quarter, instilling optimism. The company’s raised outlook for fiscal 2022 indicates the continuation of this bullish trend. In the past year, Hologic has outperformed its industry. However, the substantial decline in revenues and earnings compared with the year-ago period’s levels is discouraging. Contraction of both margins is worrisome. The persistent shortage in semiconductor chips continues to challenge the Breast Health arm.

The stock is up 7.30% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 7 higher, for fiscal 2022. The consensus estimate has moved up as well.


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