Varex Imaging (VREX)
Market Price (7/21/2026): $10.74 | Market Cap: $451.1 MilSector: Health Care | Industry: Life Sciences Tools & Services
Varex Imaging (VREX)
Market Price (7/21/2026): $10.74Market Cap: $451.1 MilSector: Health CareIndustry: Life Sciences Tools & Services
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Megatrend and thematic driversMegatrends include Biotechnology & Genomics, Precision Medicine, and Aging Population & Chronic Disease. Themes include Advanced Diagnostics, Show more. | Weak multi-year price returns2Y Excs Rtn is -59%, 3Y Excs Rtn is -120% | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 64% Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -0.8% Not cash flow generativeFCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -3.6% Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -23% Key risksVREX key risks include [1] significant customer concentration, Show more. |
| Megatrend and thematic driversMegatrends include Biotechnology & Genomics, Precision Medicine, and Aging Population & Chronic Disease. Themes include Advanced Diagnostics, Show more. |
| Weak multi-year price returns2Y Excs Rtn is -59%, 3Y Excs Rtn is -120% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 64% |
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -0.8% |
| Not cash flow generativeFCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -3.6% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -23% |
| Key risksVREX key risks include [1] significant customer concentration, Show more. |
Qualitative Assessment
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Varex Imaging (VREX) stock has remained largely at the same level since 3/31/2026 because of the following key factors:
1. Mixed Fiscal Q2 2026 Financial Results Dampened Momentum.
Varex Imaging reported mixed results for fiscal Q2 2026, which ended April 3, 2026. The company's Non-GAAP Earnings Per Share (EPS) of $0.21 missed analysts' consensus estimates of $0.22 by $0.01, and revenue of $216 million fell slightly below expectations of $216.92 million. Additionally, Non-GAAP EPS decreased from $0.31 in fiscal Q2 2025 to $0.21 in fiscal Q2 2026, and the company posted a GAAP net loss of $8.1 million compared to a net income of $6.9 million in the prior year period. These mixed results, despite a 1% year-over-year revenue increase, likely prevented significant upward stock movement.
2. Strategic Debt Refinancing Provided Financial Stability.
In March 2026, Varex Imaging successfully completed a $490 million debt refinancing. This involved a new secured term loan facility of $350 million, a $100 million secured revolving credit facility, and a $40 million secured delayed draw term loan. The refinancing allowed the company to redeem its $368 million aggregate principal amount of 7.875% Senior Secured Notes due 2027. This action strengthened the balance sheet and improved the company's cost of capital, acting as a stabilizing factor for the stock price and mitigating potential declines.
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Varex Imaging (VREX) stock has remained largely at the same level since 3/31/2026 because of the following key factors:
1. Mixed Fiscal Q2 2026 Financial Results Dampened Momentum.
Varex Imaging reported mixed results for fiscal Q2 2026, which ended April 3, 2026. The company's Non-GAAP Earnings Per Share (EPS) of $0.21 missed analysts' consensus estimates of $0.22 by $0.01, and revenue of $216 million fell slightly below expectations of $216.92 million. Additionally, Non-GAAP EPS decreased from $0.31 in fiscal Q2 2025 to $0.21 in fiscal Q2 2026, and the company posted a GAAP net loss of $8.1 million compared to a net income of $6.9 million in the prior year period. These mixed results, despite a 1% year-over-year revenue increase, likely prevented significant upward stock movement.
2. Strategic Debt Refinancing Provided Financial Stability.
In March 2026, Varex Imaging successfully completed a $490 million debt refinancing. This involved a new secured term loan facility of $350 million, a $100 million secured revolving credit facility, and a $40 million secured delayed draw term loan. The refinancing allowed the company to redeem its $368 million aggregate principal amount of 7.875% Senior Secured Notes due 2027. This action strengthened the balance sheet and improved the company's cost of capital, acting as a stabilizing factor for the stock price and mitigating potential declines.
3. Market Growth Offset by Intense Competition in Medical Imaging.
The broader medical imaging equipment market is projected to grow from approximately $52.5 billion in 2026 to $75.5 billion in 2033, driven by increasing chronic illnesses and demand for early diagnosis, with a Compound Annual Growth Rate (CAGR) of 5.3%. This positive industry trend provides a supportive backdrop for Varex. However, the market is also characterized by intense competition and rapid technological advancements, including the widespread integration of AI, which is expected to reach $20.2 billion by 2033. The competitive landscape, with a shift towards AI-based workflow and cloud-native platforms, meant that general market growth did not translate into a significant individual uplift for Varex within this period without a distinct new catalyst.
4. Conservative Fiscal Year 2026 Outlook.
Varex's guidance for the full fiscal year 2026 projected revenue in the range of $860 million to $880 million and Non-GAAP EPS between $0.80 and $1.00. For fiscal Q3 2026, the company expected revenues between $210 million and $225 million and Non-GAAP diluted EPS between $0.15 and $0.30. While these forecasts indicate continued growth, the guidance may have been perceived as cautious by investors, contributing to the stock maintaining its current levels rather than experiencing a significant rally.
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Stock Movement Drivers
Fundamental Drivers
The 0.1% change in VREX stock from 3/31/2026 to 7/20/2026 was primarily driven by a 0.4% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 3312026 | 7202026 | Change |
|---|---|---|---|
| Stock Price ($) | 10.61 | 10.62 | 0.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 854 | 858 | 0.4% |
| P/S Multiple | 0.5 | 0.5 | 0.2% |
| Shares Outstanding (Mil) | 42 | 42 | -0.5% |
| Cumulative Contribution | 0.1% |
Market Drivers
3/31/2026 to 7/20/2026| Return | Correlation | |
|---|---|---|
| VREX | 0.1% | |
| Market (SPY) | 14.1% | 28.1% |
| Sector (XLV) | 8.6% | 24.1% |
Fundamental Drivers
The -8.8% change in VREX stock from 12/31/2025 to 7/20/2026 was primarily driven by a -9.6% change in the company's P/S Multiple.| (LTM values as of) | 12312025 | 7202026 | Change |
|---|---|---|---|
| Stock Price ($) | 11.65 | 10.62 | -8.8% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 845 | 858 | 1.5% |
| P/S Multiple | 0.6 | 0.5 | -9.6% |
| Shares Outstanding (Mil) | 42 | 42 | -0.7% |
| Cumulative Contribution | -8.8% |
Market Drivers
12/31/2025 to 7/20/2026| Return | Correlation | |
|---|---|---|
| VREX | -8.8% | |
| Market (SPY) | 9.1% | 38.9% |
| Sector (XLV) | 3.3% | 26.3% |
Fundamental Drivers
The 22.5% change in VREX stock from 6/30/2025 to 7/20/2026 was primarily driven by a 19.9% change in the company's P/S Multiple.| (LTM values as of) | 6302025 | 7202026 | Change |
|---|---|---|---|
| Stock Price ($) | 8.67 | 10.62 | 22.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 828 | 858 | 3.6% |
| P/S Multiple | 0.4 | 0.5 | 19.9% |
| Shares Outstanding (Mil) | 41 | 42 | -1.4% |
| Cumulative Contribution | 22.5% |
Market Drivers
6/30/2025 to 7/20/2026| Return | Correlation | |
|---|---|---|
| VREX | 22.5% | |
| Market (SPY) | 21.1% | 35.0% |
| Sector (XLV) | 19.7% | 27.0% |
Fundamental Drivers
The -54.9% change in VREX stock from 6/30/2023 to 7/20/2026 was primarily driven by a -51.7% change in the company's P/S Multiple.| (LTM values as of) | 6302023 | 7202026 | Change |
|---|---|---|---|
| Stock Price ($) | 23.57 | 10.62 | -54.9% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 880 | 858 | -2.5% |
| P/S Multiple | 1.1 | 0.5 | -51.7% |
| Shares Outstanding (Mil) | 40 | 42 | -4.3% |
| Cumulative Contribution | -54.9% |
Market Drivers
6/30/2023 to 7/20/2026| Return | Correlation | |
|---|---|---|
| VREX | -54.9% | |
| Market (SPY) | 73.3% | 47.5% |
| Sector (XLV) | 25.6% | 35.5% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| VREX Return | 89% | -36% | 1% | -29% | -20% | -9% | -37% |
| Peers Return | 23% | -33% | -32% | 29% | -10% | 11% | -27% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 9% | 99% |
Monthly Win Rates [3] | |||||||
| VREX Win Rate | 75% | 33% | 50% | 33% | 33% | 57% | |
| Peers Win Rate | 56% | 36% | 47% | 50% | 56% | 52% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 43% | |
Max Drawdowns [4] | |||||||
| VREX Max Drawdown | -15% | -40% | -27% | -51% | -55% | -35% | |
| Peers Max Drawdown | -37% | -49% | -55% | -33% | -52% | -28% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ANGO, ALMR, ELUT, MOBI, TMO. See VREX Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 7/20/2026 (YTD)
How Low Can It Go
| Event | VREX | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -46.5% | -18.8% |
| % Gain to Breakeven | 86.8% | 23.1% |
| Time to Breakeven | 244 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -23.3% | -7.8% |
| % Gain to Breakeven | 30.3% | 8.5% |
| Time to Breakeven | 86 days | 18 days |
| 2020 COVID-19 Crash | ||
| % Loss | -33.6% | -33.7% |
| % Gain to Breakeven | 50.5% | 50.9% |
| Time to Breakeven | 40 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -21.6% | -19.2% |
| % Gain to Breakeven | 27.5% | 23.8% |
| Time to Breakeven | 36 days | 105 days |
In The Past
Varex Imaging's stock fell -46.5% during the 2025 US Tariff Shock. Such a loss loss requires a 86.8% gain to breakeven.
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| Event | VREX | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -46.5% | -18.8% |
| % Gain to Breakeven | 86.8% | 23.1% |
| Time to Breakeven | 244 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -23.3% | -7.8% |
| % Gain to Breakeven | 30.3% | 8.5% |
| Time to Breakeven | 86 days | 18 days |
| 2020 COVID-19 Crash | ||
| % Loss | -33.6% | -33.7% |
| % Gain to Breakeven | 50.5% | 50.9% |
| Time to Breakeven | 40 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -21.6% | -19.2% |
| % Gain to Breakeven | 27.5% | 23.8% |
| Time to Breakeven | 36 days | 105 days |
In The Past
Varex Imaging's stock fell -46.5% during the 2025 US Tariff Shock. Such a loss loss requires a 86.8% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Varex Imaging (VREX)
Varex Imaging Corporation (VREX) specializes in designing and manufacturing X-ray imaging components. The company operates across two primary segments: Medical and Industrial. Essentially, Varex provides the critical internal hardware and software that power various X-ray systems used worldwide.
In its Medical segment, Varex offers a comprehensive suite of X-ray imaging components, including X-ray tubes, digital detectors, high voltage connectors, and sophisticated image-processing and 3D reconstruction software. These products are integral to a wide range of medical applications such as radiographic and fluoroscopic imaging, mammography, computed tomography (CT), radiation therapy, and dental imaging. The company's components enable advanced diagnostics and therapies across numerous healthcare settings.
The Industrial segment focuses on providing X-ray accelerators, X-ray tubes, and digital detectors for security and industrial inspection purposes. This includes applications vital for public safety, such as airport security screening and cargo inspection at ports and borders, as well as nondestructive testing and examination in various industrial processes. Varex sells its products globally, primarily to imaging system original equipment manufacturers (OEMs), but also to independent service companies, distributors, and directly to end-users across North America, South America, Europe, Asia, and other regions.
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Here are a couple of analogies for Varex Imaging:
- Varex Imaging is like the Intel of X-ray technology, manufacturing the essential X-ray tubes and digital detectors that power the medical imaging scanners and industrial inspection systems made by larger companies.
- Think of Varex Imaging as the Corning for specialized X-ray components, providing the critical tubes and detectors that are integrated into X-ray machines used in hospitals and security checkpoints worldwide.
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- X-ray Tubes: Devices that generate X-rays for both medical diagnostic imaging and industrial inspection applications.
- Digital Detectors: Components that capture X-ray images and convert them into digital data for various imaging systems.
- High Voltage Connectors: Essential parts designed to safely transmit high voltage to X-ray components within imaging systems.
- Image-Processing Software and Workstations: Systems dedicated to processing, displaying, and managing medical X-ray images.
- 3D Reconstruction and Computer-Aided Diagnostic Software: Software utilized to create three-dimensional images and assist in diagnosing medical conditions from scans.
- Linatron X-ray Accelerators: High-energy X-ray sources primarily employed for security screening and industrial nondestructive testing applications.
- Collimators: Devices that restrict and shape the X-ray beam to a specific area, improving image quality and reducing radiation exposure.
- Automatic Exposure Control Devices: Systems that automatically adjust X-ray exposure parameters to ensure optimal image quality in medical radiography.
- Generators: Power sources that provide the necessary high voltage for the operation of X-ray tubes.
- Heat Exchangers: Components used to manage and dissipate the heat generated by X-ray systems, ensuring their stable operation.
- Ionization Chambers: Devices used to measure radiation dose, often integrated into automatic exposure control systems.
- Buckys: Grids and cassettes utilized in radiography to improve image contrast by absorbing scattered radiation.
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Varex Imaging Corporation (VREX) primarily sells its products to other companies, specifically to imaging system Original Equipment Manufacturers (OEMs), independent service companies, and distributors, who then integrate Varex's components into complete systems or provide services to end-users.
Based on its business model as a supplier of X-ray imaging components, Varex Imaging's major customers are the large global manufacturers of medical imaging systems. These companies integrate Varex's X-ray tubes, digital detectors, and other components into their final products, which are then sold to hospitals, clinics, and other healthcare providers.
Some of the major customer companies that are known to be significant OEMs in the medical imaging industry, and thus likely major customers for Varex Imaging, include:
- GE HealthCare Technologies Inc. (NYSE: GEHC)
- Siemens Healthineers AG (ETR: SHL, OTC: SEMHF)
- Koninklijke Philips N.V. (NYSE: PHG, AMS: PHIA)
- Canon Medical Systems Corporation (a subsidiary of Canon Inc., NYSE: CAJ)
In addition to these medical OEMs, Varex also supplies components for industrial and security inspection applications, where customers would include manufacturers of airport security scanners, cargo screening systems, and nondestructive testing equipment.
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Sunny S. Sanyal, Chief Executive Officer & President
Sunny Sanyal has served as CEO and President of Varex Imaging Corporation since its formal spin-off from Varian Medical Systems in January 2017. Under his leadership, Varex became an independent publicly traded entity and acquired PerkinElmer's medical imaging segment. He brings over 25 years of executive experience in healthcare and imaging technology. His prior roles include CEO at T-System (2010-2014), President of Imaging Components at Varian Medical Systems (2014-2017), COO at McKesson Provider Technologies (2006-2010), and leadership positions at GE Healthcare and Accenture.
Shubham "Sam" Maheshwari, Chief Financial Officer
Shubham "Sam" Maheshwari joined Varex Imaging as Chief Financial Officer on July 27, 2020. He has over 20 years of experience in finance with private and public high-tech companies. His previous notable positions include CFO at SiFive, Inc. and CFO and COO of Veeco Instruments Inc. He also served as Senior Vice President, Finance for Spansion, Inc., where he helped lead the company through its restructuring and IPO in 2010. Earlier in his career, he spent more than 10 years at KLA-Tencor Corp. in various senior positions, including Vice President of M&A and Corporate Controller.
Matthew Martinez, Chief Legal Officer
Matthew Martinez serves as the Chief Legal Officer for Varex Imaging.
Karen L. Aranki, Chief Human Resources Officer
Karen L. Aranki is the Chief Human Resources Officer at Varex Imaging Corporation.
Andrew J. Hartmann, Senior Vice President and General Manager, Detectors
Andrew J. Hartmann is the Senior Vice President and General Manager for Detectors at Varex Imaging. He is responsible for overseeing this core product segment.
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Intense Competition and Vertical Integration by Major OEMs: Varex operates in a highly competitive landscape, with a significant threat stemming from its own customers, particularly major original equipment manufacturers (OEMs) like Siemens Healthineers, GE Healthcare, and Philips. These large conglomerates often have in-house manufacturing divisions that produce X-ray components for their own systems, creating a "capture-risk dynamic" for Varex as an independent supplier. This forces Varex to continuously innovate to justify its role. Furthermore, the company faces persistent price pressure from lower-cost global manufacturers, including emerging Chinese companies, which can erode profit margins and necessitate continuous operational efficiency and product differentiation.
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Rapid Technological Disruption and the Need for Continuous Innovation: The X-ray imaging market is characterized by rapid technological advancements, including digital transformation, the increasing adoption of artificial intelligence (AI) in medical imaging, and the development of next-generation technologies like photon-counting CT. Varex's sustained growth and ability to maintain its market position depend heavily on its capacity to continuously invest in research and development, successfully develop, and commercialize new products, and enhance existing ones. Delays or failures in these innovation efforts, or a lack of market acceptance for new offerings, could materially impact the company's revenues and operating results.
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Supply Chain Vulnerabilities, Geopolitical Tensions, and Tariffs: As a global manufacturer, Varex Imaging is exposed to risks related to supply chain disruptions and macroeconomic headwinds, particularly in key markets like China. The company has previously experienced initial disruptions from tariff increases, requiring adjustments in pricing and inventory management. Geopolitical tensions, trade policies, and reliance on a limited number of suppliers can affect Varex's ability to obtain crucial components, cause product delivery delays, increase manufacturing costs, and impact its global operational efficiency.
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Varex Imaging Corporation (VREX) operates in the global X-ray imaging components market, primarily focusing on X-ray tubes and digital detectors for both medical and industrial applications. The addressable markets for their main products and services are substantial and are projected to grow in the coming years.
X-ray Tubes
- The global X-ray tube market was valued at approximately USD 3.64 billion in 2025 and is projected to reach USD 4.77 billion by 2031, growing at a Compound Annual Growth Rate (CAGR) of 4.76%.
- Another estimate places the global X-ray tube market at USD 3.7 billion in 2024, with a projection to reach USD 4.6 billion by 2030, at a CAGR of 3.9%.
- The medical X-ray tube market specifically was valued at USD 3,010.1 million in 2021 and is projected to grow to USD 4,030.12 million in 2030, at a CAGR of 4.19%. North America is a dominant region in this market.
- In 2025, the X-ray tubes market is valued at USD 2.8 billion, with a projection to reach USD 4.56 billion by 2035 globally.
- North America led the X-ray tube market with a 40.26% revenue share in 2025. The USA X-ray tubes market is projected to grow at a 6.9% CAGR.
Digital Detectors / X-ray Detectors
- The global X-ray detectors market was valued at USD 3.28 billion in 2024 and USD 3.45 billion in 2024, with expectations to reach USD 5.54 billion by 2032, at a CAGR of 6.08%.
- Another report states the global X-ray detectors market is projected to reach USD 4.4 billion by 2030 from USD 3.4 billion in 2025, exhibiting a CAGR of 5.5%.
- The global digital radiography detectors market was valued at approximately US$ 2.8 billion in 2025 and is expected to reach around US$ 5.3 billion by 2035, growing at a CAGR of 6.6%. North America held over 37.4% of this market in 2025, representing US$ 1.0 billion in revenue.
Industrial X-ray Imaging Market
- The global industrial X-ray market was valued at USD 3.37 billion in 2024 and is expected to reach USD 5.84 billion by 2032, with a CAGR of 7.10%.
- The industrial X-ray market size globally was approximately $3.17 billion in 2025 and is expected to grow to $4.32 billion in 2030 at a CAGR of 6.3%.
- The global industrial X-ray inspection systems market was valued at around USD 617.3 million in 2024 and is predicted to grow to approximately USD 1434.57 million by 2034, with a CAGR of roughly 8.1%.
- North America is projected to hold a 35% share of the industrial X-ray inspection systems market in 2025, while Europe holds a 30% market share.
Broader Medical Imaging Market
- The total global medical imaging market (which includes X-ray, CT, MRI, and Ultrasound) was estimated to be worth USD 27 billion in 2023. This market is projected to reach US$ 38.16 billion by 2031 from US$ 26.61 billion in 2023.
- The U.S. medical imaging market was valued at USD 15.1 billion in 2024 and is projected to increase to USD 24.9 billion by 2034. The X-ray devices segment within the U.S. medical imaging market was valued at USD 4.6 billion in 2024 and is projected to reach USD 7.4 billion by 2034.
- The global medical digital imaging system market size was estimated at USD 36.51 billion in 2024 and is predicted to increase to approximately USD 67.38 billion by 2034. North America held the largest share of 35% in this market in 2024.
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Varex Imaging Corporation (VREX) is expected to drive future revenue growth over the next two to three years through several key initiatives and market trends:
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Industrial Segment Expansion, particularly in Cargo Security and NDT: The Industrial segment is a significant growth engine, with strong global demand for security screening, especially cargo systems, and positive momentum in nondestructive testing (NDT) and inspection applications. Varex is aligning its tube-detector bundles for airport CT and high-energy container scanning, with platform qualifications anticipated from 2024 to 2026.
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Advancement and Commercialization of Photon Counting Technology: Varex is heavily investing in photon counting detectors for high-resolution imaging and material discrimination across both medical and industrial uses. The company expects this technology to generate $150 million in revenue by 2029 and aims to establish partnerships with at least three Original Equipment Manufacturers (OEMs) by 2028.
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Expansion of Manufacturing Capabilities in India: The establishment of new manufacturing facilities in India is a strategic move to serve emerging markets and enhance cost efficiency. The detector facility is already operational, with the tube facility expected to commence production by late 2026. These facilities are projected to contribute an additional $100 million in revenue by fiscal year 2027, focusing on radiographic products and targeting value-tier and mid-tier offerings in regions such as India, South Asia, the Middle East, and Latin America.
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Strength in Medical CT and Introduction of New Products: The Medical segment continues to see ongoing strength in Computed Tomography (CT) products and increased customer engagement for next-generation system designs. Varex is also introducing new products, such as the LUMEN HD and LUMEN HD Pro digital radiography detectors, to meet evolving demands in healthcare imaging. Advancements in photon counting CT technology are also a strategic focus within the medical sector.
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Strategic Market Penetration and Partnerships in China: Varex aims to strengthen its market position in China by developing CT X-ray tubes and subsystems specifically for Chinese OEMs and leveraging the country's healthcare industry stimulus programs. This strategy focuses on becoming a partner of choice for new systems and replacement components, capturing import-substitution demand.
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Capital Allocation Decisions for Varex Imaging (VREX)
Share Issuance
- Varex Imaging reported 41,919,432 shares outstanding as of January 2, 2026, an increase from 41,689,672 shares outstanding on October 3, 2025.
Outbound Investments
- Varex Imaging emphasizes selective tuck-in mergers and acquisitions to enhance materials, ASIC/readout expertise, and software differentiation.
Capital Expenditures
- Capital expenditures for the last twelve months, as of November 22, 2025, were $5.5 million.
- Annual capital expenditures were $15.1 million in 2021 and $21.3 million in 2022.
- Capital expenditures in the first quarter of fiscal year 2026 resulted in a cash outflow of $10.70 million, with typical quarterly PPE purchases ranging from $4 million to $6 million. The primary focus of these expenditures is on ongoing investments, including those in mid-tier and value-tier CT systems and the cargo security systems business.
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 12.86 |
| Mkt Cap | 0.6 |
| Rev LTM | 858 |
| Op Inc LTM | 63 |
| FCF LTM | 1 |
| FCF 3Y Avg | 27 |
| CFO LTM | 3 |
| CFO 3Y Avg | 52 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 5.4% |
| Rev Chg 3Y Avg | -0.8% |
| Rev Chg Q | 6.2% |
| QoQ Delta Rev Chg LTM | 1.4% |
| Op Inc Chg LTM | 7.2% |
| Op Inc Chg 3Y Avg | -5.0% |
| Op Mgn LTM | 7.3% |
| Op Mgn 3Y Avg | 6.9% |
| QoQ Delta Op Mgn LTM | -0.5% |
| CFO/Rev LTM | 1.0% |
| CFO/Rev 3Y Avg | 6.2% |
| FCF/Rev LTM | 0.2% |
| FCF/Rev 3Y Avg | 3.2% |
Price Behavior
| Market Price | $10.62 | |
| Market Cap ($ Bil) | 0.4 | |
| First Trading Date | 01/30/2017 | |
| Distance from 52W High | -26.0% | |
| 50 Days | 200 Days | |
| DMA Price | $10.33 | $11.69 |
| DMA Trend | down | down |
| Distance from DMA | 2.8% | -9.1% |
| 3M | 1YR | |
| Volatility | 56.8% | 50.5% |
| Downside Capture | 148.52 | 118.64 |
| Upside Capture | 63.43 | 139.50 |
| Correlation (SPY) | 21.9% | 34.5% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.43 | 0.69 | 1.12 | 1.32 | 1.42 | 1.54 |
| Up Beta | -0.91 | 0.42 | 1.27 | 1.28 | 1.65 | 1.50 |
| Down Beta | 1.39 | 1.29 | 0.73 | 1.12 | 1.13 | 1.81 |
| Up Capture | 59% | -0% | 72% | 114% | 164% | 132% |
| Bmk +ve Days | 11 | 24 | 40 | 67 | 140 | 429 |
| Stock +ve Days | 10 | 18 | 34 | 61 | 134 | 370 |
| Down Capture | 33% | 90% | 151% | 151% | 130% | 110% |
| Bmk -ve Days | 10 | 17 | 23 | 58 | 112 | 321 |
| Stock -ve Days | 10 | 20 | 26 | 58 | 109 | 364 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with VREX | |
|---|---|---|---|---|
| VREX | 35.4% | 51.0% | 0.76 | - |
| Sector ETF (XLV) | 21.6% | 15.8% | 1.04 | 26.5% |
| Equity (SPY) | 19.2% | 12.6% | 1.12 | 34.4% |
| Gold (GLD) | 19.6% | 28.0% | 0.63 | 12.0% |
| Commodities (DBC) | 29.7% | 19.0% | 1.24 | -13.4% |
| Real Estate (VNQ) | 15.2% | 14.0% | 0.78 | 26.1% |
| Bitcoin (BTCUSD) | -46.6% | 42.9% | -1.34 | 17.5% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with VREX | |
|---|---|---|---|---|
| VREX | -16.6% | 44.4% | -0.27 | - |
| Sector ETF (XLV) | 5.9% | 15.0% | 0.22 | 34.3% |
| Equity (SPY) | 12.6% | 17.1% | 0.57 | 42.2% |
| Gold (GLD) | 16.8% | 18.4% | 0.74 | 9.3% |
| Commodities (DBC) | 8.8% | 19.5% | 0.34 | 6.7% |
| Real Estate (VNQ) | 2.6% | 18.9% | 0.04 | 33.9% |
| Bitcoin (BTCUSD) | 14.0% | 53.5% | 0.44 | 16.5% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with VREX | |
|---|---|---|---|---|
| VREX | -8.6% | 45.4% | -0.04 | - |
| Sector ETF (XLV) | 9.8% | 16.6% | 0.48 | 38.0% |
| Equity (SPY) | 15.1% | 17.9% | 0.72 | 44.1% |
| Gold (GLD) | 10.9% | 16.1% | 0.55 | 4.8% |
| Commodities (DBC) | 7.0% | 17.9% | 0.31 | 13.5% |
| Real Estate (VNQ) | 5.1% | 20.7% | 0.21 | 34.7% |
| Bitcoin (BTCUSD) | 57.9% | 66.2% | 0.98 | 11.2% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Earnings Returns History
Updated 6/10/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/7/2026 | -16.9% | -15.3% | -13.0% |
| 2/10/2026 | -3.8% | -2.5% | -23.3% |
| 11/18/2025 | -13.7% | -5.5% | 3.6% |
| 8/7/2025 | 21.4% | 38.0% | 49.4% |
| 5/8/2025 | -20.5% | -8.8% | -1.5% |
| 2/6/2025 | -19.3% | -10.5% | -17.5% |
| 11/19/2024 | 5.9% | 13.4% | -1.2% |
| 8/1/2024 | -9.0% | -20.2% | -12.5% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 9 | 10 | 10 |
| # Negative | 15 | 14 | 14 |
| Median Positive | 7.2% | 12.5% | 10.2% |
| Median Negative | -9.0% | -10.1% | -11.6% |
| Max Positive | 21.4% | 38.0% | 49.4% |
| Max Negative | -20.5% | -24.7% | -33.1% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/7/2026 | -16.9% | -15.3% | -13.0% |
| 2/10/2026 | -3.8% | -2.5% | -23.3% |
| 11/18/2025 | -13.7% | -5.5% | 3.6% |
| 8/7/2025 | 21.4% | 38.0% | 49.4% |
| 5/8/2025 | -20.5% | -8.8% | -1.5% |
| 2/6/2025 | -19.3% | -10.5% | -17.5% |
| 11/19/2024 | 5.9% | 13.4% | -1.2% |
| 8/1/2024 | -9.0% | -20.2% | -12.5% |
| 5/2/2024 | -5.1% | -3.3% | -3.2% |
| 2/6/2024 | -9.2% | -12.6% | -9.5% |
| 11/14/2023 | -0.8% | 0.2% | 8.4% |
| 8/1/2023 | -2.6% | -3.1% | -14.3% |
| 5/2/2023 | 19.5% | 26.2% | 27.9% |
| 1/31/2023 | -12.5% | -11.6% | -16.9% |
| 11/15/2022 | 3.8% | -2.4% | -10.7% |
| 8/2/2022 | -3.6% | -9.7% | -7.1% |
| 5/3/2022 | 7.2% | 0.9% | 11.4% |
| 2/8/2022 | -8.1% | -12.2% | -7.6% |
| 11/16/2021 | 12.0% | 11.5% | 3.9% |
| 8/3/2021 | 1.7% | 3.8% | 9.1% |
| 5/4/2021 | 2.8% | 0.0% | 6.5% |
| 2/4/2021 | 17.9% | 16.9% | 17.4% |
| 11/17/2020 | -2.6% | 13.8% | 17.3% |
| 8/12/2020 | -19.8% | -24.7% | -33.1% |
| SUMMARY STATS | |||
| # Positive | 9 | 10 | 10 |
| # Negative | 15 | 14 | 14 |
| Median Positive | 7.2% | 12.5% | 10.2% |
| Median Negative | -9.0% | -10.1% | -11.6% |
| Max Positive | 21.4% | 38.0% | 49.4% |
| Max Negative | -20.5% | -24.7% | -33.1% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 02/10/2026 | 10-Q |
| 09/30/2025 | 11/18/2025 | 10-K |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/08/2025 | 10-Q |
| 12/31/2024 | 02/06/2025 | 10-Q |
| 09/30/2024 | 11/19/2024 | 10-K |
| 06/30/2024 | 08/01/2024 | 10-Q |
| 03/31/2024 | 05/02/2024 | 10-Q |
| 12/31/2023 | 02/06/2024 | 10-Q |
| 09/30/2023 | 11/16/2023 | 10-K |
| 06/30/2023 | 08/01/2023 | 10-Q |
| 03/31/2023 | 05/02/2023 | 10-Q |
| 12/31/2022 | 01/31/2023 | 10-Q |
| 09/30/2022 | 11/18/2022 | 10-K |
| 06/30/2022 | 08/03/2022 | 10-Q |
| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/07/2026 | 10-Q |
| 12/31/2025 | 02/10/2026 | 10-Q |
| 09/30/2025 | 11/18/2025 | 10-K |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/08/2025 | 10-Q |
| 12/31/2024 | 02/06/2025 | 10-Q |
| 09/30/2024 | 11/19/2024 | 10-K |
| 06/30/2024 | 08/01/2024 | 10-Q |
| 03/31/2024 | 05/02/2024 | 10-Q |
| 12/31/2023 | 02/06/2024 | 10-Q |
| 09/30/2023 | 11/16/2023 | 10-K |
| 06/30/2023 | 08/01/2023 | 10-Q |
| 03/31/2023 | 05/02/2023 | 10-Q |
| 12/31/2022 | 01/31/2023 | 10-Q |
| 09/30/2022 | 11/18/2022 | 10-K |
| 06/30/2022 | 08/03/2022 | 10-Q |
| 03/31/2022 | 05/04/2022 | 10-Q |
| 12/31/2021 | 02/08/2022 | 10-Q |
| 09/30/2021 | 11/19/2021 | 10-K |
| 06/30/2021 | 08/04/2021 | 10-Q |
| 03/31/2021 | 05/05/2021 | 10-Q |
| 12/31/2020 | 02/05/2021 | 10-Q |
| 09/30/2020 | 11/30/2020 | 10-K |
| 06/30/2020 | 08/14/2020 | 10-Q |
| 03/31/2020 | 05/13/2020 | 10-Q |
| 12/31/2019 | 02/18/2020 | 10-Q |
| 09/30/2019 | 12/20/2019 | 10-K |
| 06/30/2019 | 08/07/2019 | 10-Q |
Recent Forward Guidance
Updated 7/12/2026Latest: Q2 2026 Earnings Reported 5/7/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q3 2026 Revenue | 210.00 Mil | 217.50 Mil | 225.00 Mil | 0 | Same New | Guidance: 217.50 Mil for Q2 2026 | |
| Q3 2026 Non-GAAP EPS | 0.15 | 0.23 | 0.3 | 12.5% | 2.5% | Higher New | Guidance: 0.2 for Q2 2026 |
| 2026 Revenue | 860.00 Mil | 870.00 Mil | 880.00 Mil | ||||
| 2026 Non-GAAP EPS | 0.8 | 0.9 | 1 | ||||
Prior: Q1 2026 Earnings Reported 2/10/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q2 2026 Revenue | 210.00 Mil | 217.50 Mil | 225.00 Mil | 4.8% | Higher New | Guidance: 207.50 Mil for Q1 2026 | |
| Q2 2026 Non-GAAP net earnings per diluted share | 0.15 | 0.2 | 0.25 | 33.3% | Higher New | Guidance: 0.15 for Q1 2026 | |
Q4 2025 Earnings Reported 11/18/2025
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2026 Revenue | 200.00 Mil | 207.50 Mil | 215.00 Mil | -5.7% | Lower New | Guidance: 220.00 Mil for Q4 2025 | |
| Q1 2026 Non-GAAP Net Earnings Per Diluted Share | 0.05 | 0.15 | 0.25 | -25.0% | -5.0% | Lower New | Guidance: 0.2 for Q4 2025 |
Insider Activity
Updated 4/26/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Kunkel, Jay K | Direct | Sell | 3232026 | 11.14 | 4,510 | 50,241 | 261,233 | Form | |
| 2 | Aranki, Karen L | Chief Human Resources Officer | Direct | Sell | 9222025 | 12.34 | 3,174 | 39,167 | 2,184 | Form |
| 3 | Kunkel, Jay K | Direct | Sell | 8152025 | 10.49 | 3,000 | 31,470 | 204,314 | Form | |
| 4 | Kunkel, Jay K | Direct | Sell | 6202025 | 7.77 | 2,575 | 20,008 | 174,646 | Form | |
| 5 | Sanyal, Sunny | President and CEO | Direct | Sell | 4032025 | 11.24 | 8,749 | 98,339 | 2,137,769 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Kunkel, Jay K | Direct | Sell | 3232026 | 11.14 | 4,510 | 50,241 | 261,233 | Form | |
| 2 | Aranki, Karen L | Chief Human Resources Officer | Direct | Sell | 9222025 | 12.34 | 3,174 | 39,167 | 2,184 | Form |
| 3 | Kunkel, Jay K | Direct | Sell | 8152025 | 10.49 | 3,000 | 31,470 | 204,314 | Form | |
| 4 | Kunkel, Jay K | Direct | Sell | 6202025 | 7.77 | 2,575 | 20,008 | 174,646 | Form | |
| 5 | Sanyal, Sunny | President and CEO | Direct | Sell | 4032025 | 11.24 | 8,749 | 98,339 | 2,137,769 | Form |
Investor Activity (13F)
Updated Jul 21, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
| Active Manager |
|---|
Industry Resources
| Health Care Resources |
| U.S. National Library of Medicine |
| ClinicalTrials.gov |
| Modern Healthcare |
| Healthcare Dive |
| Fierce Healthcare |
| Health Affairs |
| Health Data Management |
| FDA Tracker |
| Life Sciences Tools & Services Resources |
| GenomeWeb |
| BioSpace |
| The Scientist |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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