Genetic testing company Natera (NASDAQ: NTRA). will be announcing earnings results this Thursday after market hours. Here’s what you need to know.
Natera beat analysts’ revenue expectations by 12.5% last quarter, reporting revenues of $501.8 million, up 36.5% year on year. It was an exceptional quarter for the company, with full-year revenue guidance exceeding analysts’ expectations and a solid beat of analysts’ EPS estimates.
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 15.3% year on year to $476.6 million, slowing from the 58.1% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.59 per share.
The majority of analysts covering the company have 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 12.8% on average.
Looking at Natera’s peers in the biotechnology segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Regeneron delivered year-on-year revenue growth of 3.6%, beating analysts’ expectations by 11.3%, and Incyte reported revenues up 16.5%, topping estimates by 5.5%. Regeneron traded up 4.8% following the results while Incyte was also up 10.5%.
Read our full analysis of Regeneron’s results here and Incyte’s results here.
The outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. While some of the biotechnology stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 3.1% on average over the last month. Natera is down 11.8% during the same time and is heading into earnings with an average analyst price target of $191.55 (compared to the current share price of $139.90).
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