Bruker Corporation
BRKR
recently acquired IonSense Inc. — the innovator of ambient DART (Direct Analysis in Real Time) ionization technology. This agreement will utilize Bruker’s strong presence and reputation in analytical instrumentation as well as investments in IonSense to bring the latter’s enabling technology to a larger customer base soon.
It is worth noting that DART is a unique ionization source that analyzes a wide range of particles (including solids, liquids and gases) without requiring any sample chromatography before MS analysis. This eliminates a time-consuming step, allowing users to quickly identify samples, including those failing to ionize well with other techniques, at the point of need (PoN).
The latest agreement gives IonSense the financial investments it requires to accelerate the development of the DART ionization source technology and expand its efforts in creating applications for the applied markets, including food analysis and forensics.
Strategic Benefits of the Buyout
Per Bruker’s management, mass spectrometry has huge potential in a broader range of markets than it was previously recognized for. The company’s financial commitment to DART will eventually provide more individuals with access to the power of mass spectrometry for today’s analytical challenges.
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Meanwhile, management at IonSense anticipates that this merger will speed up the development of DART MS and properly resource robust applications development programs. DART will be used to help mass spectrometers operate better outside their usual LC and GC workflows. IonSense remains committed to continuing the sales of its DART sources for use with all vendors’ mass spectrometers.
Industry Prospects
Per a report
published in MarketsandMarkets, the mass spectrometry market is expected to see a CAGR of 6.5% during 2020-2025. Factors such as rising expenditure on pharmaceutical R&D worldwide, government regulations on drug safety and increased focus on the quality of food products, among other factors, are likely to fuel market growth.
Given the market prospects, Bruker’s latest acquisition of IonSense seems well-timed.
Notable Developments
In April 2022, Bruker announced the acquisition of Optimal Industrial Automation and Technologies — a provider of pharma and biopharma process analytical technology (PAT). The acquisition is intended to strengthen Bruker as a key software and solutions provider for small molecule, biologics and new drug modalities pharma companies. This buyout is likely to fortify Bruker’s BioSpin business.
In March 2022, Bruker’s company, Canopy Biosciences, announced the commercial launch of the CellScape system. It is the next generation in ChipCytometry instrumentation, advancing the cutting-edge for quantitative in situ spatial phenotyping. The novel benchtop CellScape system builds on the primary strengths of ZellScannerONE, the original ChipCytometry instrument.
In the same month, the company collaborated with Newomics Inc. on a novel liquid chromatography–mass spectrometry (LC–MS) platform for drug discovery in the Pharma/Biopharma industry and research institutions. Both companies have reached an agreement to co-market Newomics’ Microflow-nanospray Electrospray Ionization (MnESI) product line alongside Bruker’s maxis II and timsTOF Pro 2 mass spectrometers.
Share Price Performance
The stock has underperformed its
industry
over the past year. It has declined 4.7% against the industry’s growth of 5.1%.
Zacks Rank and Other Key Picks
Currently, Bruker carries a Zacks Rank #2 (Buy).
A few other top-ranked stocks in the broader medical space are
Owens & Minor, Inc.
OMI
,
NextGen Healthcare, Inc.
NXGN
and
McKesson Corporation
MCK
.
Owens & Minor has a long-term earnings growth rate of 8.8%. Owens & Minor’s earnings surpassed estimates in the trailing four quarters, delivering a surprise of 29.5%, on average. It currently flaunts a Zacks Rank #2. You can see
the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Owens & Minor has outperformed the industry over the past year. OMI has gained 12.8% against a 16.7% industry decline in the said period.
NextGen has an estimated long-term growth rate of 5%. NextGen’s earnings surpassed estimates in the trailing four quarters, the average surprise being 17.5%. It currently carries a Zacks Rank #2.
NextGen has outperformed the industry over the past year. NXGN has gained 15.5% compared with the industry’s 38.3% fall over the past year.
McKesson has a long-term earnings growth rate of 11.8%. McKesson’s earnings surpassed estimates in the trailing four quarters, delivering a surprise of 20.6%, on average. It presently carries a Zacks Rank #2.
McKesson has outperformed the industry over the past year. MCK has gained 67.8% in the said period compared with 7.7% growth of the industry.
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