Charles River Laboratories International (NYSE:CRL) Posts Quarterly Earnings Results, Beats Expectations By $0.06 EPS

Charles River Laboratories International (NYSE:CRL) released its quarterly earnings data on Wednesday. The medical research company reported $2.39 earnings per share for the quarter, topping analysts’ consensus estimates of $2.33 by $0.06, Zacks reports. Charles River Laboratories International had a negative net margin of 2.07% and a positive return on equity of 15.78%. The company had revenue of $994.23 million during the quarter, compared to analyst estimates of $986.98 million. During the same period in the prior year, the firm earned $2.66 earnings per share. The firm’s revenue for the quarter was down .8% compared to the same quarter last year. Charles River Laboratories International updated its FY 2026 guidance to 10.700-11.200 EPS.

Here are the key takeaways from Charles River Laboratories International’s conference call:

• DSA demand strengthened in Q4 with a 1.12x net book-to-bill and backlog rising to $1.86B, and management is “cautiously optimistic” this momentum will drive a return to organic revenue growth for DSA and the company in the second half of 2026.
• Higher-than-expected NHP study starts increased open-market NHP sourcing and staffing costs, which materially pressured DSA operating margin in Q4 and are expected to depress Q1 2026 margins; RMS also faces a near-term headwind from the timing of NHP shipments.
• Company is executing strategic portfolio moves—the K.F. Cambodia asset purchase closed and PathoQuest is expected to close soon—aiming to secure NHP supply, improve margins (KF ~+$0.25 EPS in 2026; larger benefit in 2027), complete ~7% revenue divestitures by mid‑2026, and realize cumulative cost savings (>$300M) to boost profitability.
• 2026 guidance is mixed: organic revenue of down 1% to flat (reported flat to +1.5% with FX), operating margin +20–50 bps, and non‑GAAP EPS of $10.70–$11.20 (+4–9%), but with a Q1 outlook showing mid‑teens operating margin and high‑teens EPS decline due to discrete timing items.

Charles River Laboratories International Stock Performance

CRL stock traded down $3.40 during midday trading on Thursday, hitting $154.60. 89,307 shares of the stock traded hands, compared to its average volume of 927,852. The firm has a market cap of $7.61 billion, a P/E ratio of -98.79, a PEG ratio of 4.80 and a beta of 1.63. The stock’s fifty day simple moving average is $201.46 and its 200-day simple moving average is $179.44. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.37 and a quick ratio of 1.10. Charles River Laboratories International has a 1-year low of $91.86 and a 1-year high of $228.88.

Analyst Upgrades and Downgrades

Several research firms have issued reports on CRL. Barclays reiterated an “overweight” rating and issued a $200.00 target price on shares of Charles River Laboratories International in a research note on Thursday. JPMorgan Chase & Co. raised their target price on shares of Charles River Laboratories International from $165.00 to $190.00 and gave the company a “neutral” rating in a research note on Monday, December 15th. Bank of America raised Charles River Laboratories International from a “neutral” rating to a “buy” rating and set a $225.00 price target on the stock in a research report on Monday, December 15th. Morgan Stanley set a $185.00 price objective on Charles River Laboratories International in a research report on Monday, December 1st. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Charles River Laboratories International in a research report on Wednesday, January 21st. Ten research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $208.31.

Hedge Funds Weigh In On Charles River Laboratories International

A number of large investors have recently added to or reduced their stakes in the stock. Jones Financial Companies Lllp lifted its position in shares of Charles River Laboratories International by 167.6% in the first quarter. Jones Financial Companies Lllp now owns 1,715 shares of the medical research company’s stock valued at $253,000 after acquiring an additional 1,074 shares in the last quarter. Empowered Funds LLC purchased a new stake in Charles River Laboratories International in the 1st quarter valued at about $418,000. American Century Companies Inc. increased its holdings in Charles River Laboratories International by 41.9% in the 2nd quarter. American Century Companies Inc. now owns 5,469 shares of the medical research company’s stock valued at $830,000 after purchasing an additional 1,616 shares during the last quarter. Brown Advisory Inc. lifted its holdings in Charles River Laboratories International by 5.1% during the 2nd quarter. Brown Advisory Inc. now owns 2,333 shares of the medical research company’s stock worth $354,000 after buying an additional 114 shares in the last quarter. Finally, California Public Employees Retirement System increased its position in shares of Charles River Laboratories International by 3.9% during the second quarter. California Public Employees Retirement System now owns 84,605 shares of the medical research company’s stock worth $12,837,000 after acquiring an additional 3,198 shares during the period. 98.91% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Charles River Laboratories International

Here are the key news stories impacting Charles River Laboratories International this week:

• Positive Sentiment: Q4 headline beat — CRL reported EPS of $2.39 and revenue of $994.2M, topping consensus and showing margin expansion, which is supportive of near‑term earnings credibility. Charles River Laboratories (CRL) Q4 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Upbeat FY‑2026 profit outlook — management reiterated a stronger profit outlook driven by recovering demand for drug‑development services, which supports medium‑term revenue recovery assumptions. Charles River forecasts upbeat 2026 profit on improved demand for drug development services
• Positive Sentiment: Management expects EPS growth from new leadership, M&A and cost savings — company projects up to ~9% EPS growth driven by acquisitions and margin initiatives, a constructive catalyst if execution continues. Charles River projects up to 9% EPS growth in 2026 as new CEO, acquisitions, and cost savings drive margin expansion
• Neutral Sentiment: Executive appointments announced — leadership changes can be neutral near‑term but important for execution of the margin and M&A plan. Charles River Laboratories Announces Executive Appointments
• Neutral Sentiment: FY‑2026 guidance is essentially in line with Street estimates (10.70–11.20 vs ~10.77 consensus), so the guide removed some downside but didn’t materially surprise on the upside. Press Release / Slide Deck
• Negative Sentiment: Organic growth weakness — analysts flagged declines in organic growth across all segments, a core investor concern that explains downward pressure despite the beats. CRL Stock Down Despite Q4 Earnings & Revenue Beat, Margins Rise
• Negative Sentiment: Mixed/erroneous reporting created volatility — at least one circulated transcript reported a wildly negative EPS figure, which likely added short‑term confusion and selling pressure. Charles River Laboratories International, Inc. Q4 2025 Earnings Call Transcript

About Charles River Laboratories International

Charles River Laboratories International, Inc is a leading provider of research models and preclinical and clinical support services for the pharmaceutical, biotechnology and medical device industries. The company’s core offerings include discovery, safety assessment, toxicology, and pathology services, as well as supply of laboratory animals and related diagnostics. Services extend across in vivo and in vitro testing, biologics testing, and support for advanced therapies, helping clients accelerate drug development from early discovery through regulatory submission.

Founded in 1947 in Wilmington, Massachusetts, Charles River has grown through strategic investments and acquisitions to establish a broad portfolio of capabilities.