CareDx (NASDAQ:CDNA) Shares Gap Up After Better-Than-Expected Earnings

CareDx, Inc (NASDAQ:CDNA) gapped up prior to trading on Thursday following a better than expected earnings announcement. The stock had previously closed at $21.10, but opened at $22.38. CareDx shares last traded at $21.61, with a volume of 178,298 shares traded.

The company reported $1.51 EPS for the quarter, beating analysts’ consensus estimates of $0.05 by $1.46. The firm had revenue of $86.58 million during the quarter, compared to the consensus estimate of $84.56 million. CareDx had a negative net margin of 45.90% and a negative return on equity of 53.70%.

Analysts Set New Price Targets

A number of research firms have weighed in on CDNA. BTIG Research cut their price objective on shares of CareDx from $40.00 to $35.00 and set a “buy” rating on the stock in a research report on Tuesday, November 5th. Stephens reaffirmed an “overweight” rating and set a $40.00 price target on shares of CareDx in a research note on Thursday. Wells Fargo & Company raised shares of CareDx from an “underweight” rating to an “equal weight” rating and reduced their price objective for the stock from $28.00 to $24.00 in a research report on Wednesday, January 15th. HC Wainwright reissued a “neutral” rating and issued a $26.00 price objective on shares of CareDx in a research note on Tuesday, January 14th. Finally, StockNews.com raised CareDx from a “hold” rating to a “buy” rating in a research note on Wednesday. Three investment analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, CareDx presently has an average rating of “Moderate Buy” and a consensus target price of $32.00.

Institutional Investors Weigh In On CareDx

Several large investors have recently added to or reduced their stakes in the stock. Divisadero Street Capital Management LP purchased a new stake in shares of CareDx in the fourth quarter valued at approximately $15,239,000. FMR LLC grew its position in shares of CareDx by 802.4% during the 3rd quarter. FMR LLC now owns 625,550 shares of the company’s stock worth $19,533,000 after buying an additional 556,230 shares in the last quarter. Jacobs Levy Equity Management Inc. increased its stake in shares of CareDx by 52.6% during the fourth quarter. Jacobs Levy Equity Management Inc. now owns 1,243,580 shares of the company’s stock valued at $26,625,000 after buying an additional 428,864 shares during the period. Fred Alger Management LLC raised its holdings in shares of CareDx by 30.8% in the third quarter. Fred Alger Management LLC now owns 1,503,521 shares of the company’s stock valued at $46,947,000 after acquiring an additional 353,919 shares in the last quarter. Finally, Lord Abbett & CO. LLC bought a new stake in shares of CareDx in the third quarter valued at about $10,873,000.

CareDx Stock Down 0.2 %

The stock’s 50 day moving average is $22.65 and its two-hundred day moving average is $25.29. The company has a market capitalization of $1.13 billion, a PE ratio of -7.80 and a beta of 1.87.

About CareDx

CareDx, Inc engages in the discovery, development, and commercialization of diagnostic solutions for transplant patients and caregivers in the United States and internationally. It also provides AlloSure Kidney, a donor-derived cell-free DNA (dd-cfDNA) solution for kidney transplant patients; AlloMap Heart, a gene expression solution for heart transplant patients; AlloSure Heart, a dd-cfDNA solution for heart transplant patients; and AlloSure Lung, a dd-cfDNA solution for lung transplant patients.