Conestoga Exits Mesa Laboratories After Shares Fall 35.06% Over Year
Conestoga Capital Advisors exited its Mesa Laboratories position in Q4 2025, citing end-market weakness in cell and gene therapy and underperforming clinical genomics acquisitions. Mesa Laboratories shares returned 11.32% over the past month but are down 35.06% year-over-year, closing at $92.02 with a $508.4 million market capitalization.
1. Conestoga Exits Position in Q4 2025
Conestoga Capital Advisors removed Mesa Laboratories from its Small Cap Strategy in the fourth quarter of 2025 due to insufficient conviction in the company’s long-term growth trajectory. The fund cited persistent end-market weakness and disappointing returns from recent acquisitions in clinical genomics.
2. Stock Performance and Valuation
Mesa Laboratories shares posted an 11.32% gain over the past month but have declined 35.06% over the last 12 months. As of February 19, 2026, the stock closed at $92.02 per share, reflecting a market capitalization of $508.393 million.
3. Growth Challenges and Outlook
The company faces pressure from weakening demand in cell and gene therapy and regulatory hurdles in China. Its acquisition strategy, particularly in clinical genomics, has underdelivered, while limited organic growth opportunities and a leveraged balance sheet constrain future expansion.