April 22, 2022

This News Just Put Fulgent at the Top of My Buy List

 

An acquisition and raised guidance have reinforced the bull case for the stock.
 
Fulgent was in the right place at the right time to respond to the need for COVID-19 testing, and has used that unexpected revenue windfall to strengthen its core business and position itself for continued success long after COVID-19 is behind us. Yet, the market seems to be pricing Fulgent shares based solely on the decreasing COVID testing revenues. Currently, the company trades for only two times sales and four times free cash flow.

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