Waters Corp (WAT) Expands After BD Diagnostic Solutions Acquisition

Waters Corporation (NYSE:WAT) ranks among the recent spin-off companies that hedge funds are piling into. Waters Corporation (NYSE:WAT) discussed its strategy at the TD Cowen 46th Annual Health Care Conference on March 2, with CEO Udit Batra emphasizing development ambitions and integration efforts following the acquisition of BD Diagnostic Solutions.

The company anticipates 6.25% organic growth in its core business in 2026, fueled by strong performance in chemistry and services. That said, near-term uncertainties persist, notably DRG-related headwinds in China, which are expected to result in a 2.5%-3% decrease in Q1 and weaker growth through mid-year before a healthier Q4 rebound.

According to Batra, Waters’ operational priorities include integrating the BD business, strengthening pricing techniques, and investing extensively in bioseparations, which now account for more than 70% of R&D spending.

Looking ahead, the company hopes to drive EPS growth and margin expansion through cost management and tariffs, and to profit from a normalized LC-MS replacement cycle by 2027.

Waters Corporation (NYSE:WAT) is a global leader in life sciences and diagnostics, specializing in analytical technologies.

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