Should You Invest in Bruker Corp (BRKR)?

RGA Investment Advisors, an investment management company, released its first quarter 2025 investor letter. A copy of the letter can be downloaded here. The letter discussed President Trump’s trade policy, focusing on enduring themes and principles, and two key structural constants shaping the investment landscape: Artificial Intelligence (AI) and Life Science. The firm views both as core pillars of the next decade. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its first-quarter 2025 investor letter, RGA Investment Advisors highlighted stocks such as Bruker Corporation (NASDAQ:BRKR). Bruker Corporation (NASDAQ:BRKR) focuses on the development and manufacturing of scientific instruments and analytical and diagnostic solutions. The one-month return of Bruker Corporation (NASDAQ:BRKR) was -9.82%, and its shares lost 43.06% of their value over the last 52 weeks. On June 2, 2025, Bruker Corporation (NASDAQ:BRKR) stock closed at $36.73 per share, with a market capitalization of $5.57 billion.

RGA Investment Advisors stated the following regarding Bruker Corporation (NASDAQ:BRKR) in its Q1 2025 investor letter:

“Bruker Corporation (NASDAQ:BRKR) generates the majority of its revenues from the Life Science end market, though the company sells critical instrumentation for applied industrial markets, including semiconductors where TSM is an import ant customer. In Bruker’s most important end markets–mass spectrometry and NMR spectroscopy–the company participates in a duopoly with Thermo Fisher Scientific (TMO), selling critical instrumentation for the study of pan-omics analysis and spatial biology. Unfortunately for Bruker in today’s environment, many of their customers are defined as academic and amidst National Institute of Health budget cuts, investors fear exposure to this space. Although Academic and Government comprise roughly 40% of Bruker’s end market exposure, Europe (at 34% of revenues) is a bigger end market than the United States (30%).

In 2012, in the middle of the US Government sequestration chaos, Bruker traded down to a mid-teens P/E. This is where Bruker shares are changing hands today, despite the company having diversified its revenue base considerably. Specifically, Bruker is larger, sells to more end markets and recurring revenues now comprise over 1/3rd of sales versus less than 20% back then. Bruker today is run by CEO Frank Laukien, the son of the founder Gunther Laukien. In aggregate, the Laukien family owns over 30% of the outstanding shares. Notably, Frank has purchased over $6m of shares on the open market at prices in the $50 range…” (Click here to read the full text)

Bruker Corporation (NASDAQ:BRKR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 40 hedge fund portfolios held Bruker Corporation (NASDAQ:BRKR) at the end of the first quarter which was 34 in the previous quarter. Bruker Corporation’s (NASDAQ:BRKR) first quarter revenue increased 11% year-over-year to $801.4 million. While we acknowledge the potential of Bruker Corporation (NASDAQ:BRKR) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.

In another article, we covered Bruker Corporation (NASDAQ:BRKR) and shared The London Company Mid Cap Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q1 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.