Is Bio-Techne Corporation (TECH) a High-Quality Growth-Oriented Compounder Within The Healthcare Sector?

ClearBridge Investments, an investment management company, released its “ClearBridge Mid Cap Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. In an environment of shifting monetary policy, stabilizing earnings, and improved sentiment, midcaps experienced growth in the third quarter. The Federal Reserve’s decision to cut rates helped small and mid-cap stocks in the quarter. Value stocks outperformed their growth counterparts with the Russell Midcap Value Index returning 6.2% compared to the Russell Midcap Growth’s 2.8% return. In this environment, the strategy outperformed its Russell Midcap Index during the third quarter. Stock selection in the consumer staples and healthcare sectors drove outperformance of the strategy. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, ClearBridge Mid Cap Strategy highlighted stocks such as Bio-Techne Corporation (NASDAQ:TECH). Bio-Techne Corporation (NASDAQ:TECH), with a market capitalization of $9.57billion, develops, manufactures, and sells life science reagents, instruments, and services for the research and clinical diagnostic markets. The one-month return of Bio-Techne Corporation (NASDAQ:TECH) was -0.32%, and its shares lost 15.36% of their value over the last 52 weeks. On November 12, 2025, Bio-Techne Corporation (NASDAQ:TECH) stock closed at $61.40 per share.

ClearBridge Mid Cap Strategy stated the following regarding Bio-Techne Corporation (NASDAQ:TECH) in its third quarter 2025 investor letter:

“Complementing the success of our health care holdings, we initiated a new position in Bio-Techne Corporation (NASDAQ:TECH), a leading provider of life sciences tools and diagnostics used in biological research, clinical testing and biopharmaceutical manufacturing. We capitalized on recent weakness in the name tied to uncertainty surrounding tariffs and National Institute of Health funding to initiate a position in the company, whose high-margin consumables and instrumentation portfolio provide durable recurring revenue streams. This recurring revenue, along with biopharma and academic exposure and an attractive entry price underscore Bio-Techne’s appeal as a high-quality growth-oriented compounder within health care.”

8 Most Promising Medical Stocks According to Hedge Funds

Bio-Techne Corporation (NASDAQ:TECH) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 37 hedge fund portfolios held Bio-Techne Corporation (NASDAQ:TECH) at the end of the second quarter, compared to 34 in the previous quarter. In the fiscal first quarter of 2026, Bio-Techne Corporation (NASDAQ:TECH) generated $286.6 million, in revenues, down 1% year-over-year both on organic basis and reported basis. While we acknowledge the risk and potential of Bio-Techne Corporation (NASDAQ:TECH) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Bio-Techne Corporation (NASDAQ:TECH) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Bio-Techne Corporation (NASDAQ:TECH) and shared Mairs & Power Balanced Fund’s views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.