Neogen Corporation operates in food safety diagnostics with significant international revenue exposure, but declining top-line growth, weak quality scores, and a high concentration in a single product segment create structural headwinds that outweigh its favorable momentum setup.
Thesis pillars
- Revenue Decline Quality Floor→Stable
- Food Safety Segment Concentration↑Improving
- Earnings Consistency Mixed→Stable
- +1 more pillar — see the Why tab for full reasoning
Neogen Corporation (NEOG) Stock Analysis
Catalyst-Driven edge
Healthcare · Medical Devices
Sell if holding. Engine safety override at $13.98: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: Below-average business quality.
Neogen develops, manufactures and markets food and animal safety products through two segments: Food Safety (diagnostic test kits, culture media for foodborne pathogen and allergen detection) and Animal Safety (veterinary instruments, pharmaceuticals, vaccines, genomics... Read more
Sell if holding. Engine safety override at $13.98: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Score 4.9/10, moderate confidence.
Passes 5/8 gates (positive momentum, clean insider activity, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.
About Neogen Corporation
About Neogen Corporation
Neogen's Food Safety segment — diagnostic test kits and culture media that detect foodborne pathogens, allergens, and contaminants — generated 71.3% of the company's total revenue in fiscal 2025, with the remaining 28.7% from the Animal Safety segment's veterinary instruments, pharmaceuticals, vaccines, and genomics testing services. Sales to customers outside the United States accounted for 50.2% of total revenue that year, and the company employed 975 people in sales and marketing as of May 31, 2025.
Neogen's Food Safety products are largely consumable, single-use diagnostic kits — immunoassay, culture-based, and nucleic-acid detection tests — sold to food and feed producers, processors, and regulatory agencies, with royalty rates of 2% to 10% of revenue paid on products that use licensed allergen and pathogen detection technology. Animal Safety products, including veterinary instruments, parasiticides, rodent and insect control, and genomics testing, are sold mainly through veterinarians, retailers, livestock producers, and animal health distributors; in April 2025 the company agreed to sell its global Cleaners and Disinfectants business. Neogen distributes through its own sales personnel as well as a network of distributors covering more than 100 countries, and manufactures products in the U.S., the U.K., Ireland, and Brazil. The company continues integrating the 3M Food Safety Division it combined with in a September 2022 Reverse Morris Trust transaction, which contributed to impairment charges against the Food Safety reporting unit in the second and fourth quarters of fiscal 2025.
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Certain of Neogen's Food Safety product lines depend on a sole or single-source supplier or vendor for raw materials, and the company says some of the products it purchases from these sources are proprietary and cannot be readily replaced by alternative sources — a narrower and harder-to-substitute exposure than ordinary commodity input-cost risk. That dependency sits alongside newly disclosed material weaknesses in internal control over financial reporting tied to management review of goodwill valuation assumptions, which contributed to Food Safety reporting-unit impairment charges in fiscal 2025 and adds execution risk to the still-incomplete integration of the 3M Food Safety business.
See also: Healthcare · Medical Devices
From Neogen Corporation's most recent 10-K filing, extracted August 30, 2026.
Recent developments
updated 2026-09-23Recent Developments — Neogen Corporation
Latest news
- NEWS Piper Sandler Upgrades Neogen to Overweight, Raises Price Target to $14 — benzinga Aug 26, 2026 positive
- NEWS Piper Sandler Reiterates Neutral on Neogen, Raises Price Target to $13 — benzinga Aug 3, 2026 neutral
- NEWS Neogen Sees Q1 Sales $207.000M-$209.000M vs $204.710M Est — benzinga Jul 30, 2026 positive
- NEWS Neogen Q4 Adj. EPS $0.09 Beats $(0.07) Estimate, Sales $225.300M Beat $212.355M Estimate — benzinga Jul 30, 2026 positive
- NEWS Neogen Sees FY2027 Sales $880.000M-$885.000M vs $849.644M Est — benzinga Jul 30, 2026 positive
Generated 2026-09-23T22:42:02Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHProductFood Safety segment71%10-K Item 1: 'Revenues from Neogen’s Food Safety segment accounted for 71.3%, 70.9%, and 66.5% of our total revenues for fiscal years ended May 31, 2025, 2024 and 2023, respectively.'
- HIGHGeographicsales to customers outside the U.S.50%10-K Item 1: 'Sales to customers outside the U.S. accounted for 50.2%, 49.7%, and 48.4% of our total revenues for fiscal years ended May 31, 2025, 2024 and 2023, respectively.'
- HIGHSuppliersole or single source supplier10-K Item 1A: 'Certain of our food safety product lines depend on a sole or single source supplier or vendor.'
Material Events(8-K, last 90d)
- 2026-03-30Item 5.02MEDIUMChief Legal and Administrative Officer Amy Rocklin will leave the company effective March 31, 2026. No successor named; no reason cited in the filing.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
4 floor-breakers
Revenue shrinking — -0.1% YoY. Growth thesis broken unless recovery story develops.static
Unprofitable operations — net margin -0.9%. Quality floor flags this regardless of sector context.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $13.98: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $13.02. Score 4.9/10, moderate confidence.
Take-profit target: $16.08 (-18.9% upside). Prior stop was $13.02. Stop-loss: $13.02.
Concentration risk — Product: Food Safety segment (71.3%); Concentration risk — Geographic: sales to customers outside the U.S. (50.2%); Target reached (-18.9% upside).
Neogen Corporation trades at a P/E of N/A (forward 36.8). TrendMatrix value score: 4.8/10. Verdict: Sell.
11 analysts cover NEOG with a consensus score of 4.0/5. Average price target: $13.
What does Neogen Corporation do?Neogen develops, manufactures and markets food and animal safety products through two segments: Food Safety (diagnostic...
Neogen develops, manufactures and markets food and animal safety products through two segments: Food Safety (diagnostic test kits, culture media for foodborne pathogen and allergen detection) and Animal Safety (veterinary instruments, pharmaceuticals, vaccines, genomics testing). Food Safety generated 71.3% of fiscal 2025 revenue, and sales outside the U.S. accounted for 50.2% of total revenue that year.