Is IDEXX Laboratories Stock Underperforming the Dow?

IDEXX Laboratories, Inc. (IDXX) is a leading animal-health diagnostics and technology company best known for providing veterinarians with diagnostic testing, laboratory services, software, and imaging solutions. Valued at a market cap of $45.7 billion, the company develops and supplies diagnostic instruments, test kits, software, and laboratory services that help veterinarians, farmers, and laboratories detect diseases and monitor animal health.

Companies worth between $10 billion and $200 billion are typically classified as “large-cap stocks,” and IDXX fits the label perfectly. The company is widely recognized as a market leader in veterinary diagnostics, supported by strong brand recognition, a large installed base of diagnostic instruments across veterinary practices, and a recurring revenue model fueled by consumables and testing services. With its solutions used by veterinary practices in more than 175 countries, the company has built a strong global presence and a broad, highly recurring customer base.

IDEXX Laboratories’ once-strong momentum has taken a sharp turn lower. Shares have tumbled 33.1% from their 52-week high of $769.98, and have dipped 11% over the past three months. In contrast, the Dow Jones Industrial Average ($DOWI) saw a 3% uptick during the same time frame.

The weakness has been even more pronounced in the longer term. In 2026, shares of IDXX are down 23.9%, compared to DOWI’s 9% return. IDXX stock has plunged 21.4% over the past 52 weeks, outpacing the index’s 14.6% uptick over the same time period. 

Technically, the picture remains bearish, with the stock below both its 200-day moving average since early March and its 50-day moving average since mid-August.

IDEXX has trailed the broader market over the past year largely because investors have been concerned about slower veterinary clinic traffic and the resulting limits on near-term growth. 

However, IDEXX’s recent Q2 performance points to improving momentum after a period of underperformance. Strong Q2 results, driven by healthy recurring diagnostics growth and higher diagnostic utilization, helped lift revenue 9.7% and comparable EPS 15.3% year over year. The company also raised its 2026 revenue and EPS outlook, reinforcing investor confidence in its growth trajectory.

IDEXX’s steep fall looks less severe when compared with its biggest rival, Zoetis Inc. (ZTS), which declined 51.1% over the past 52 weeks and 41.7% in 2026. 

Still, Wall Street sees room for a recovery, with the 15 analysts covering IDXX having a “Moderate Buy” consensus rating. Its mean price target of $722.23 is a premium of 40.2% to current price level.

On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.