MeritValue

NEOGEN CORP

NEOGdata completeness 100%17 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'dividendsPaid'

The thesis, from the filings

NEOGEN CORP earns about -5% on invested capital, but has diluted owners by 101% over 5 years — worth asking whether the growth reaches owners. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2022FY 2023FY 2024FY 2025FY 2026
Revenue$527.2M1$822.4M2$924.2M3$894.7M3$870.4M3
Net income$48.3M4−$22.9M5−$9.4M6−$1.09B6−$7.9M6
Operating cash flow$68M7$41M8$35.3M9$58.2M9$83.2M9
Capital expenditure$24.4M10$65.8M11$111.4M12$104.6M12$51.3M12
Free cash flow (derived)$43.6M7−$24.7M8−$76.1M9−$46.4M9$31.9M9
Total debt—$885.4M13$890.8M14$894.1M15$793.7M15
Cash & equivalents$44.5M16$163.2M17$170.6M18$129M19$185.5M19
Diluted shares108.0M188.9M216.5M216.9M217.5M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$96.23
your share of equity
Profit it earned you last year
−$0.36
Free cash flow it threw off
$1.47
Debt you’d be carrying
$36.49

10 shares is a claim on $96.23 of net worth that earned you −$0.36 and generated $1.47 of cash last year, against $36.49 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-5% avg · 5y
FY22 6%FY23 0%FY24 1%FY25 -30%FY26 0%

It earned an average -5% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+101% shares · 5y

Share count is up 101% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has fallen 10% — deleveraging.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.5.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2022-05-31 · accession 0000950170-24-087670 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2023-05-31 · accession 0000950170-25-100064 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2024-05-31 · accession 0001193125-26-326092 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2022-05-31 · accession 0000950170-24-087670 (NetIncomeLoss)
  5. 10-K · period ending 2023-05-31 · accession 0000950170-25-100064 (NetIncomeLoss)
  6. 10-K · period ending 2024-05-31 · accession 0001193125-26-326092 (NetIncomeLoss)
  7. 10-K · period ending 2022-05-31 · accession 0000950170-24-087670 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2023-05-31 · accession 0000950170-25-100064 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2024-05-31 · accession 0001193125-26-326092 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-05-31 · accession 0000950170-24-087670 (PaymentsToAcquireProductiveAssets)
  11. 10-K · period ending 2023-05-31 · accession 0000950170-25-100064 (PaymentsToAcquireProductiveAssets)
  12. 10-K · period ending 2024-05-31 · accession 0001193125-26-326092 (PaymentsToAcquireProductiveAssets)
  13. 10-K · period ending 2023-05-31 · accession 0000950170-24-087670 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2024-05-31 · accession 0000950170-25-100064 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2025-05-31 · accession 0001193125-26-326092 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2022-05-31 · accession 0000950170-23-042861 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2023-05-31 · accession 0000950170-24-087670 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2024-05-31 · accession 0000950170-25-100064 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2025-05-31 · accession 0001193125-26-326092 (CashAndCashEquivalentsAtCarryingValue)