Connect with us
DAPA Banner
DAPA Coin
DAPA
COIN PAYMENT ASSET
PRIVACY · BLOCKDAG · HOMOMORPHIC ENCRYPTION · RUST
ElGamal Encrypted MINE DAPA
🚫 GENESIS SOLD OUT
DAPAPAY COMING

Business

Penguin Solutions Shares Surge Nearly 16% Today After Record Earnings Beat and Raised Full-Year AI Guidance

Published

on

Penguin Solutions Stock Rockets 22% on AI Infrastructure Momentum and

Shares of Penguin Solutions surged Wednesday, trading at $72.54, up $9.83, or 15.68 percent, extending a sharp rally that began Tuesday evening after the AI infrastructure and memory chip company reported record fiscal third-quarter results and raised its full-year guidance.

Note: This article is intended to provide factual context and does not constitute financial advice. Readers should consult a licensed financial advisor before making investment decisions.

Penguin Solutions reported fiscal third-quarter revenue of $478.7 million, up 47.6 percent year over year and well ahead of Wall Street’s consensus estimate of $405.5 million, a beat of roughly 17.5 percent. The company posted non-GAAP earnings per share of 84 cents, exceeding analyst expectations of 54 to 56 cents by nearly 50 percent. Adjusted EBITDA came in at $67.57 million, representing a 14.1 percent margin and beating consensus estimates by 35.8 percent, while operating margin climbed to 10.6 percent from just 3 percent in the same quarter a year earlier.

Following the results, Penguin Solutions raised its full-year fiscal 2026 adjusted earnings-per-share guidance to $2.60 at the midpoint, plus or minus 5 cents, up from a prior consensus estimate of $2.28, representing roughly a 20.9 percent increase to the company’s outlook. Chief executive Kash Shaikh credited the results to the company’s strategic focus on AI infrastructure. “Penguin Solutions delivered a record quarter, exceeding expectations for both net sales and EPS. This profitable growth acceleration reinforces our confidence that our AI Factory Platform strategy is working,” Shaikh said. He added that the company’s Integrated Memory segment “more than doubled year over year,” while its “AI Infrastructure business continued to build momentum, reflecting strong demand and execution across our memory and AI Infrastructure portfolio.”

Advertisement

The company said it added four new AI Infrastructure customer logos during the quarter and was recognized as an Nvidia AI Factory Specialized Partner, an invitation-only designation that Nvidia extends to a select group of solution providers within its broader partner network. The designation validates a company’s ability to design and operate full-stack AI infrastructure systems, spanning racks, networking and software integration, for enterprise and hyperscale customers deploying large-scale AI training and inference workloads.

Analyst reaction to the results was swiftly positive. Rosenblatt raised its price target on Penguin Solutions to $75 from $65 while maintaining a Buy rating on the shares following the earnings report, continuing a pattern of successive price target increases from the firm over recent months, having previously raised its target from $54 to $65, and before that from $32 to $54, and earlier still from $23 to $32. According to StockAnalysis.com, the average analyst rating on Penguin Solutions currently stands at “Buy” across seven covering analysts, though the average 12-month price target of $51.57 sits notably below the stock’s current trading level, reflecting how quickly the stock’s rapid rally has outpaced some previously set analyst targets.

Not every analyst has remained bullish throughout Penguin Solutions’ run. Barclays analyst Tom O’Malley downgraded the stock to Equal Weight from Overweight earlier this year, citing what he described as “significant” margin compression at the time, while setting a considerably more conservative price target of $27. That downgrade came before the company’s more recent string of stronger-than-expected quarterly results, illustrating how quickly sentiment toward the stock has shifted as its AI infrastructure business has continued to accelerate.

Penguin Solutions, headquartered in Fremont, California, and founded in 1988, operates across three business segments: Advanced Computing, which offers platform solutions and services for artificial intelligence, high-performance computing and machine learning; Integrated Memory, which designs and develops memory solutions for networking, telecom, data analytics, AI and machine learning applications under its SMART Modular Technologies brand; and Optimized LED, a smaller segment offering application-optimized LED products. The company’s AI-focused offerings include Penguin Solutions OriginAI, an infrastructure platform for customers deploying GPUs at scale, along with its Stratus-branded continuous availability solutions for critical data center and edge computing applications.

Advertisement

The stock’s rally has come with significant volatility over the past several months. According to Robinhood data, Penguin Solutions shares have traded within a 52-week range of $16.04 to $77.40, reflecting the stock’s dramatic climb from depressed levels earlier in the year to its current position near record highs. The stock briefly touched a new 52-week high of $73.24 intraday following a separate guidance update in late June, according to Investing.com, which noted that PENG’s outsized move at the time stood in sharp contrast to a relatively muted broader market, underscoring that the catalyst was company-specific rather than tied to any broader market rally.

Despite the strong recent performance, some caution flags have emerged. According to GuruFocus, Penguin Solutions currently trades at a price-to-earnings ratio of roughly 87 times, significantly above the company’s historical median multiple, a valuation the firm said reflects investor optimism about future growth but could also indicate the stock has become overvalued relative to current earnings. GuruFocus assigned the company an overall GF Score of 71 out of 100, citing strong growth and financial stability but flagging a comparatively weaker profitability ranking of 5 out of 10. The research firm also noted that company insiders sold a combined $3.7 million worth of shares over the trailing three months, with no reported insider buying activity during the same period, a pattern some investors view as worth monitoring even amid otherwise positive operating momentum.

Separately, a Simply Wall St analysis published shortly before the latest earnings report suggested Penguin Solutions could be as much as 80 percent overvalued based on the company’s underlying fundamentals relative to its then-current share price, even as the report acknowledged the stock had drawn significant attention from growth-oriented investors following its reclassification and growing association with AI infrastructure demand.

With Penguin Solutions continuing to post accelerating revenue growth tied to AI infrastructure spending, and with the company’s newly secured Nvidia partnership status adding a fresh catalyst to its growth narrative, investors are likely to continue weighing the stock’s strong operational momentum against its elevated valuation and relatively short track record of sustained profitability as they assess whether the current rally reflects a durable shift in the company’s long-term growth trajectory or a more speculative repricing tied to broader enthusiasm for AI-linked infrastructure stocks.

Advertisement
Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

Savannah Guthrie Absent From ‘Today’ Show for Second Straight Day, Without Explanation Amid Mom’s Case

Published

on

Savannah Guthrie & Nancy Guthrie
Savannah Guthrie & Nancy Guthrie
Savannah Guthrie & Nancy Guthrie

Savannah Guthrie was absent from NBC’s “Today” show for a second consecutive day this week, with no on-air explanation offered for her absence on either Wednesday or Thursday, a pattern that comes amid the ongoing, months-long search for her mother, Nancy Guthrie, who has been missing since late January.

Guthrie’s usual seat alongside co-anchor Craig Melvin was filled by Sheinelle Jones on Wednesday, July 8, and by Laura Jarrett on Thursday, July 9. Unlike some previous absences, during which Melvin or other co-hosts have briefly noted the reason for Guthrie’s time away, no explanation was given on air for either day this week, despite Guthrie having been present on the broadcast earlier in the week. During the July 7 episode, Guthrie had performed an unexpected on-air outfit change in the middle of the live broadcast, underscoring that her absence beginning Wednesday marked a shift from her regular presence just days earlier.

Guthrie’s schedule on “Today” has fluctuated considerably over the course of 2026 as she has navigated both the personal toll of her mother’s disappearance and a separate professional commitment to host an upcoming NBC game show based on The New York Times’ Wordle. Nancy Guthrie, 84, was last seen on January 31, when a family member dropped her off at her home in the Catalina Foothills neighborhood of Tucson, Arizona. She was reported missing the following morning after failing to appear for church, and investigators believe she was abducted from her home in the early hours of February 1. She has not been found, and the case remains an active investigation more than five months later.

Following her mother’s disappearance, Savannah Guthrie stepped away from “Today” entirely for roughly two months, spending February and March with her family in both Arizona and New York before making an emotional return to the anchor desk on April 6. “It’s good to be home,” Guthrie said on her first broadcast back. Her longtime former co-anchor, Hoda Kotb, filled in for her during that initial hiatus, and the two later sat down for an emotional interview in March in which Guthrie discussed the ongoing search for her mother.

Since her April return, Guthrie has continued to balance her anchor duties with periodic absences tied to production work on the upcoming Wordle game show, which NBC has said will be produced in partnership with Jimmy Fallon’s Electric Hot Dog production company and The New York Times. Guthrie has described Wordle as something she and her mother connected over personally, and has spoken about the strangeness of continuing to build a new professional project while her mother’s case remains unresolved. “Everything is strange right now,” Guthrie told The New York Times in May. “It’s strange to get up and do the Today show every day, and it’s strange to say that I’m going to do a game show when your heart is broken.”

Advertisement

Guthrie has also spoken candidly on air about the emotional difficulty of returning to daily television work amid the ongoing search. During a June appearance on “Today’s” fourth hour alongside Jenna Bush Hager, Guthrie described the challenge of maintaining her composure each day. “It’s really hard to come back. I’ve been trying so hard to hold it together,” she said at the time, adding that she cries most mornings on both her way to and from work. She said the job nonetheless brings her “a little respite” and “a lot of joy” during an otherwise painful period, explaining that she felt compelled to keep working in part because she believed it was what her mother would have wanted. “My mom would have said the same, like, ‘Honey, just keep going, just keep going.’ And so I am,” Guthrie said.

Guthrie’s most recent public statement specifically addressing her mother’s case came on July 1, marking five months since Nancy Guthrie’s disappearance. Speaking to Arizona-based outlet KOLD 13 News, Guthrie said, “It is five months of agony and unending trauma for our family,” and thanked both the community of Tucson and investigators from the FBI and Pima County Sheriff’s Department for their continued work on the case.

The investigation into Nancy Guthrie’s disappearance has continued to develop in recent weeks, though without a confirmed suspect or resolution. Earlier this month, an FBI official confirmed to Reuters that three ransom notes sent to news outlets, including TMZ, had been determined to be fraudulent extortion attempts rather than genuine communications from anyone involved in Nancy’s disappearance. The FBI has separately said other ransom-related communications remain under active investigation as potentially legitimate, while a California man previously pleaded guilty to federal charges tied to a separate fake ransom message sent to the Guthrie family.

“Today” has periodically acknowledged the broader strain the situation has placed on the show and its anchors throughout the year, including moments when co-anchors wore yellow ribbons in solidarity with the Guthrie family during earlier stages of the search. The show has continued operating with a rotating cast of substitute anchors, including Jones, Jarrett, Kotb and others, filling in for Guthrie during her various absences since February, reflecting what people familiar with the program have described as an ongoing effort to keep the broadcast running smoothly while supporting their longtime colleague through an extended personal crisis.

Advertisement

As of this report, neither Guthrie nor NBC has issued a public statement addressing the specific reason for her absence from “Today” on either Wednesday or Thursday this week. It remains unclear whether her time away is connected to ongoing developments in her mother’s case, continued work on the Wordle game show, personal time, or another unrelated matter, and network representatives have not responded publicly to questions about when she is expected to return to the anchor desk.

Continue Reading

Business

Iran Conflict Reorders The Bond Market’s Hierarchy Of Havens

Published

on

AGG: Muted Volatility And Light Positioning, Why That's Bullish

Close-up bond market trading screen with rising yields. Coupons, rates, yields and other informations are displayed.

Torsten Asmus/iStock via Getty Images

The Iran war has scrambled the old map of safety, leaving bond investors rethinking which havens still deserve the name. It’s debatable whether the period since the attacks began on Feb. 28 has forged a new normal, but

Continue Reading

Business

Private label continues to pump out the volume

Published

on

Private label continues to pump out the volume

The two leading categories of volume growth were beverages and refrigerated products.

Continue Reading

Business

PepsiCo (PEP) Q2 2026 earnings

Published

on

PepsiCo (PEP) Q2 2026 earnings
PepsiCo CEO on earnings miss: 'There has been an impact from gas prices'

PepsiCo on Thursday reported mixed quarterly results as the struggles of its North American food and beverage divisions offset strong international demand.

“Results were tempered in the quarter as U.S. food and beverage category performance moderated with consumer budgets tightening due to rising inflationary pressures,” CEO Ramon Laguarta said in prepared remarks shared on the company’s website on Thursday.

During Pepsi’s second quarter, global oil prices swung dramatically due to the U.S. war with Iran. In the U.S., the national average gas price hit a four-year high of $4.56 per gallon in late May, leading many shoppers to watch their spending.

Shares of Pepsi were down more than 4% in morning trading.

Advertisement

Pepsi soft drinks are displayed at a convenience store in San Francisco, California.

Justin Sullivan | Getty Images

Here’s what the company reported for the quarter ended June 13 compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

  • Earnings per share: $2.20 adjusted vs. $2.21 expected
  • Revenue: $24.18 billion vs. $23.95 billion expected

Pepsi reported second-quarter net income attributable to the company of $2.98 billion, or $2.18 per share, up from $1.26 billion, or 92 cents per share, a year earlier.

Excluding restructuring and impairment charges and other items, the company earned $2.20 per share.

Advertisement

Net sales rose 6.4% to $24.18 billion. Organic revenue, which excludes acquisitions, divestitures and foreign currency, increased 2.4% in the quarter.

Globally, volume for Pepsi’s food increased 3%, while volume for its beverages rose 2%. The metric excludes pricing and foreign exchange fluctuations to reflect demand more accurately.

But Pepsi’s volume growth came from its international markets. Demand was much weaker domestically. Its North American food business reported flat volume for the quarter, and its North American beverage division saw volume drop 4%.

“I think the consumer is worse than what we had anticipated, and it’s driven mainly by gas prices,” Laguarta said on the company’s earnings conference call.

Advertisement

Demand was particularly weak at convenience stores.

“We need to see some improvement in the in the convenience and gas channel, and hopefully we’ll get some tailwinds from gas prices to do that,” CFO Steve Schmitt said.

Over the last two years, both North American segments have seen weaker demand as a result of higher prices. In February, Pepsi cut prices on Lay’s, Tostitos, Doritos and Cheetos by as much as 15% to try to win back shoppers. The company has also been “restaging” some of its iconic brands, like Gatorade and Lay’s, with fresh branding to boost their sales.

Pepsi expects that its North American volumes will recover, but that will take time, particularly after this quarter’s setback.

Advertisement

“Our North America business was softer than we anticipated in the second quarter, and we now expect a more gradual improvement in performance trends for the balance of this year,” Schmitt said in his prepared remarks.

For the full year, Pepsi reiterated its prior forecast that organic revenue will rise between 2% and 4% and core constant currency earnings per share will increase in a range of 4% to 6%.

Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
Continue Reading

Business

Rates: Curve Pivots And Steady Spreads

Published

on

Dow Jones And U.S. Index Outlook: Rebalancing Continues As Tech Dives

Rates: Curve Pivots And Steady Spreads

Continue Reading

Business

Gateshead firm Debmat goes for growth in corporate deal backed by seven-figure funding

Published

on

Business Live

‘We are excited to have the opportunity to help grow the business further’

Left to right: Maria Coombes from TIG Corporate Finance, Peter Cromarty from CCBS Group, Rachael Munro from NEL Fund Managers, John Turner, Nick Shilling and Ian Wilkin from Debmat Surfacing, Zoe Jackson from Muckle LLP and Tom Pollard from Hill Dickinson

Left to right: Maria Coombes from TIG Corporate Finance, Peter Cromarty from CCBS Group, Rachael Munro from NEL Fund Managers, John Turner, Nick Shilling and Ian Wilkin from Debmat Surfacing, Zoe Jackson from Muckle LLP and Tom Pollard from Hill Dickinson(Image: Crest Photography)

A Gateshead contractor which has been trading for almost 50 years has been acquired in a corporate deal backed by a significant seven-figure investment. Ryton based Debmat Surfacing Limited (Debmat) was established in 1979 as a surfacing contractor and civil engineering business.

It provides domestic and commercial surfacing and civil engineering solutions to a wide range of sectors including construction, commercial, retail, and education, Now the firm has been acquired in a Buy In Management Buy Out (BIMBO) – a deal in which both existing and outside managers buy and take control of the firm – supported by a seven-figure investment from NPIF II – NEL Debt Finance, managed by NEL Fund Managers as part of the Northern Powerhouse Investment Fund II (NPIF II).

Advertisement

The investment will also support Debmat’s next stage of growth as the new leadership team plans to introduce complementary services, including remediation activities, in response to client demand. New jobs are expected to be created on the back of the new business streams.

The incoming ownership team includes Debmat’s existing co-managing director, John Turner; Nick Shilling, former managing director of demolition contractor Thompson’s of Prudhoe; and Ian Wilkin, a chartered accountant and former CFO and COO of a New York-based real estate private equity firm.

Mr Turner, who has more than 32 years of sector experience and a strong track record of growing the business, will move from managing director to chairman.

The management team has also been strengthened with Martin Barker as managing director and Ben Harris as commercial director.

Advertisement

Mr Shilling worked at Thompson’s of Prudhoe from the age of 16 and went on to become managing director. He led the company during a period of significant growth, with the company also recognised as Contractor of the Year at the World Demolition Awards under his leadership.

Before selecting Debmat, Mr Shilling and Mr Wilkin reviewed more than 25 acquisition opportunities. They have known each other since college and have worked together on multiple projects over the years, and say this marks an opportunity to work more closely together.

Mr Shilling said: “We are thrilled to be joining forces with John and his outstanding team at Debmat. We are excited to have the opportunity to help grow the business further, exploring new complimentary service lines and expanding into new geographies with clients who see Debmat as a trusted partner. We are grateful for the support of the whole Debmat team, as well as the advisors and partners who have supported us in making this opportunity a reality.

“The NEL team and our legal and advisory partners provided fantastic support at all stages of the transaction, confirming that we chose the right partners to join us in this transaction. We look forward to continuing our relationship with them as we grow.”

Advertisement

Rachael Munro, Investment Executive at NEL added: “Debmat is a fantastic business with a strong reputation, a skilled team and real momentum for the future. We are delighted to support this next chapter and back an experienced leadership team with ambitious plans to build on the company’s success and create further opportunities for growth. It was a pleasure to work alongside all of the advisers involved, and the collaborative approach throughout the process was instrumental in ensuring a smooth and successful transaction.”

The legal side of the transaction was supported by Hill Dickinson LLP acting for Debmat, Muckle LLP acting for NEL, and Swinburne Maddison acting for the sellers.

Sarah Newbould, senior investment manager at the British Business Bank said: “Through the Northern Powerhouse Investment Fund II we are proud to be backing engineering and infrastructure businesses like Debmat Surfacing that sit at the heart of the UK’s Modern Industrial Strategy. Investments like these are key to helping strengthen regional construction and civil engineering capacity, create highly-skilled jobs and drive long-term economic growth across the North.”

Like this story? For more deals news you can visit our dedicated page for the latest news and analysis here.

Advertisement
Continue Reading

Business

Josh Allen expands Natrol partnership with sleep and energy lines

Published

on

Josh Allen expands Natrol partnership with sleep and energy lines

Buffalo Bills star quarterback Josh Allen understands that recovery is just as important as training.

The 2024 NFL MVP said quality sleep plays a critical role in helping him perform at his best, which is why he and Natrol announced an expanded partnership Wednesday.

Advertisement

As part of the collaboration, Allen will incorporate Natrol Ultra Sleep and Natrol Ultra Energy into his overall wellness routine. According to the company, Natrol is a drug-free sleep aid brand.

CLICK HERE FOR MORE SPORTS COVERAGE ON FOXBUSINESS.COM

Josh Allen poses for a photo

NFL player Josh Allen holds a bottle of Natrol and a football. (Natrol® / Unknown)

In an interview with FOX Business, Allen spoke about the importance of how much of a role sleep has played in his football career.

“As we all know, quality of sleep, it’s not a luxury. It’s the foundation of overall performance,” Allen said. “Now being a dad, it’s given me a whole new perspective on sleep. Introduced a whole new reality on interrupted sleep and the unpredictability of it. 

Advertisement

“The training aspect, making sure you’re sleeping well enough to get the recovery that you need to then wake up and feeling good to go and get back at it again. … And with Ultra Sleep helping supporting my sleep and overall wellness and then the Ultra Energy, which helps your overall wellness, I think it’s been a really good pair.”

Allen further noted that the wider partnership is about more than football, emphasizing his commitment to recovery and overall wellness.

Josh Allen taps his head

Buffalo Bills quarterback Josh Allen (17) calls an audible during the second quarter of an AFC Divisional Round playoff game against the Denver Broncos at Empower Field at Mile High on Jan. 17, 2026. (Ron Chenoy/Imagn Images / IMAGN)

JOSH ALLEN SURPRISES KIDS AT RECESS AND THE REACTION FROM YOUNG BILLS FANS IS PURE JOY

“It’s about being present for my family, my teammates and the people that count on me every day. Sleep is the foundation for everything I need, while Ultra Energy provides the sustained cellular support to show up as my best self regardless of what the day brings,” Allen said in a news release.

Advertisement

Allen followed up his 2024 NFL MVP campaign by leading the Bills to a wild-card round victory in January, scoring the decisive rushing touchdown in a thriller against the Jacksonville Jaguars. He finished the 2025 regular season with 25 touchdown passes.

Allen and his wife Hailee Steinfeld welcomed their first child together in April.

Josh Allen looks on

Buffalo Bills quarterback Josh Allen (17) smiles at something someone said before the Buffalo Bills wild card game against the Denver Broncos at Highmark Stadium in Orchard Park on Jan. 12, 2025. (IMAGN / IMAGN)

GET FOX BUSINESS ON THE GO BY CLICKING HERE

“Our baby girl has arrived!!” Steinfeld wrote in a Substack titled “Special Delivery” at the time. “We’re feeling incredibly grateful and blessed and savouring these early moments. Thank you so much for the love and well wishes.”

Advertisement
Continue Reading

Business

China’s Zhipu AI and DeepSeek Are Beating Big Tech at Its Own Game. They’re Spending Big.

Published

on

China’s Zhipu AI and DeepSeek Are Beating Big Tech at Its Own Game. They’re Spending Big.

China’s Zhipu AI and DeepSeek Are Beating Big Tech at Its Own Game. They’re Spending Big.

Continue Reading

Business

June home sales disappoint as prices reach an all-time high

Published

on

June home sales disappoint as prices reach an all-time high
June home sales disappoint as prices reach an all-time high

High mortgage rates coupled with record-high prices are causing homebuyers to pull back.

Sales of previously owned homes in June dropped 2.4% from May to 4.09 million units on a seasonally adjusted, annualized basis, according to the National Association of Realtors. Housing analysts were predicting a slight gain month over month.

June sales were, however, 2.8% higher than the same month a year prior.

“The back-and-forth in monthly home sales activity, driven by mild fluctuations in mortgage rates, shows how sensitive home buyers are to affordability conditions,” said Lawrence Yun, the Realtors’ chief economist, in a release. “However, job gains—more than half a million since the beginning of the year—will continue to provide support for the housing market.”

Advertisement

This count represents closed sales, so contracts that were likely signed in May, when the average rate on the 30-year fixed mortgage was still moving higher. It began rising sharply at the start of March at the beginning of the Iran war.

Inventory at the end of June was 1.56 million units, down 0.6% from May but 1.3% higher than June 2025. At the current sales pace, that represents a 4.6-month supply. The market is considered balanced between buyer and seller at a six-month supply.

With the market still lean, prices continue to rise. The median price of an existing home sold in June was $440,600, an increase of 1.8% from the year before and the highest on record. June is usually the strongest month for both sales and prices.

Get Property Play directly to your inbox

CNBC’s Property Play with Diana Olick covers new and evolving opportunities for the real estate investor, delivered weekly to your inbox.

Advertisement

Subscribe here to get access today.

“Progress on long-term housing affordability could be hampered if inventory growth continues to stall. Without consistent gains in inventory, home prices can accelerate. It is critical to introduce more supply to the market to widen the opportunity for homeownership,” Yun said.

Sales continue to be strongest on the higher end of the market. Sales of homes priced below $100,000 were down 1.7% from a year ago, and sales of those priced between $100,000 and $250,000 were up less than 1%. Meanwhile sales of homes priced between $750,000 and $1 million were up nearly 14% from the year before, and sales of homes priced above $1 million were up 18%.

Regionally, home sales were down in June month over month everywhere except in the Northeast.

Advertisement

One-quarter of all sales were all-cash, down from 29% last year. First-time buyers made up 33% of sales, up from 30% a year ago.

Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
Continue Reading

Business

Yorkshire life sciences firm Aptamer developing Ebola diagnostic test

Published

on

Business Live

The company is working on a potential rapid diagnostic test for the highly infectious Bundibugyo strain

Aptamer Group was launched in 2008.

Arron Tolley, CEO, Aptamer Group plc.(Image: Martin Avery Photography)

York life sciences business Aptamer has announced it has started developing a potential diagnostic test for Ebola. The company, which develops synthetic binders for the life sciences industry, is working on a potential rapid diagnostic test for the highly infectious Bundibugyo strain of the Ebola virus.

An outbreak of the strain started in the Democratic Republic of Congo and Uganda in May – the largest recorded outbreak of the rare strain – and the World Health Organization has declared both an epidemic and a public health emergency.

Advertisement

Fatality rates for the Bundibugyo strain of Ebola range from approximately 30% to 50%, depending on factors including virus strain, the quality of patient care quality, and how quickly it is picked up and treated. Early detection is critical to patient outcomes and outbreak containment.

Unlike the more common Zaire strain of Ebola, for which vaccines and treatments exist, current diagnostic tests struggle to rapidly and reliably identify Bundibugyo.

In a note to shareholders, Aptamer said its Optimer technology has previously demonstrated rapid responses in diagnostic applications to support the response to infectious disease outbreaks. During the COVID-19 pandemic, Aptamer developed SARS-CoV-2 binders that were successfully translated into lateral flow tests.

The firm says the global Ebola testing market was valued at $1.2bn in 2025 and is projected to grow from $1.3bn in 2026 to $2.3bn by 2033.

Advertisement

Within this, the market in North America dominated with a revenue share of 40.9% in 2025.

The new programme will aim to develop Optimer binders suitable for integration into rapid, field-compatible diagnostic tests for Bundibugyo Ebola and work has started immediately.

Dr Arron Tolley, chief executive officer of Aptamer Group, said: “Those following the Ebola outbreak in Sub-Saharan Africa will note the growing severity of the situation on both a human and economic level.

“The head of the Africa Centres for Disease Control and Prevention, Director-General Jean Kaseya, has warned that containing this outbreak could cost billions of dollars. A critical limiting factor in response is rapid, accurate diagnosis. Existing tests lack the sensitivity needed for timely detection in field settings.

Advertisement

“During COVID, our platform demonstrated its ability to deliver diagnostic tools at pace to respond to infectious disease outbreaks. We are now applying that capability to develop Optimers for specific proteins of the Bundibugyo strain. With development under way in our labs, I look forward to updating shareholders as the programme progresses.”

Continue Reading

Trending

Copyright © 2025