Genetic testing company Natera (NASDAQ: NTRA). will be reporting earnings tomorrow after market hours. Here’s what you need to know.
Natera beat analysts’ revenue expectations by 8.6% last quarter, reporting revenues of $476.1 million, up 53% year on year. It was a stunning quarter for the company, with a solid beat of analysts’ EPS estimates and full-year revenue guidance exceeding analysts’ expectations.
Is Natera a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Natera’s revenue to grow 21.3% year on year to $446.1 million, slowing from the 52.1% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.66 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Natera has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 12% on average.
Looking at Natera’s peers in the immuno-oncology segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Incyte delivered year-on-year revenue growth of 19.5%, beating analysts’ expectations by 6.4%, and Exact Sciences reported revenues up 10.9%, topping estimates by 2.7%. Incyte traded up 5.3% following the results while Exact Sciences was also up 9.4%.
Read our full analysis of Incyte’s results here and Exact Sciences’s results here.
There has been positive sentiment among investors in the immuno-oncology segment, with share prices up 5.9% on average over the last month. Natera is up 19.1% during the same time and is heading into earnings with an average analyst price target of $187.72 (compared to the current share price of $157.49).
Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.
