GeneDx stock price target raised to $125 from $100 at BTIG on strong Q2

Published 30/07/2025, 12:02
GeneDx stock price target raised to $125 from $100 at BTIG on strong Q2

Investing.com - BTIG raised its price target on GeneDx (NASDAQ:WGS) to $125.00 from $100.00 on Wednesday, while maintaining a Buy rating following the company’s second-quarter results. The stock, currently trading at $91.78 with a market capitalization of $2.42 billion, has shown remarkable momentum with a 204% return over the past year.

GeneDx reported what BTIG described as a "strong bounce-back" in Q2, exceeding top-line expectations by more than $17 million, representing a 20% beat. The company also surpassed bottom-line forecasts by $15 million. According to InvestingPro data, the company’s revenue growth stands at an impressive 48.81% over the last twelve months, with a "GOOD" overall financial health score.

The diagnostic testing firm achieved a GAAP net income margin exceeding 10%, which BTIG noted is significant for the precision lab diagnostics sector. GeneDx also delivered a core average selling price (ASP) of more than $3,700 per test, substantially higher than BTIG’s estimate of $3,470.

GeneDx has raised its 2025 guidance beyond the Q2 beat, with the company indicating that the new ASP level represents a floor. Test denial rates remain elevated in the mid-40% range, suggesting potential for improvement.

BTIG believes GeneDx can eventually reduce payer denial rates to below 20% and potentially near 10%, which would provide significant upside to ASPs, gross margins, and cash flows.

In other recent news, GeneDx Holdings Corp reported impressive financial results for the second quarter of 2025. The company achieved earnings per share of $0.50, which was significantly higher than the forecasted $0.12. This represented a remarkable earnings surprise of 316.67%. Additionally, GeneDx’s revenue reached $102.7 million, surpassing the expected $85.45 million by 20.19%. These financial achievements indicate a strong performance for the company in the recent quarter. The substantial earnings and revenue figures are critical data points for investors evaluating GeneDx’s financial health. While the earnings call transcript highlighted these results, it did not include any analyst upgrades or downgrades at this time.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.