Charles River Laboratories Raises 2026 Forecast After Strong Earnings

Charles River Laboratories reported second-quarter earnings of $3.02 per share on $1 billion in revenue, surpassing analyst expectations of $2.74 per share and $977.2 million in revenue. Following the results, the company raised its 2026 earnings forecast to a range of $11.15 to $11.45 per share.

The company's stock rose more than 11% on Wednesday, extending a three-month growth trend of over 43%. JPMorgan upgraded the drug researcher to overweight from neutral and increased its 12-month price target to $310 from $180.

JPMorgan analyst Casey Woodring attributed the performance to sustainable momentum in the Discovery and Safety Assessment business. This growth is driven by a resurgence in large pharmaceutical activity and biotechnology funding.