Veracyte (NASDAQ:VCYT) Announces Quarterly Earnings Results

Veracyte (NASDAQ:VCYT) announced its quarterly earnings data on Thursday. The biotechnology company reported $0.54 EPS for the quarter, beating analysts’ consensus estimates of $0.44 by $0.10, FiscalAI reports. The firm had revenue of $150.32 million for the quarter, compared to analyst estimates of $144.59 million. Veracyte had a return on equity of 9.07% and a net margin of 16.25%.The business’s quarterly revenue was up 15.5% compared to the same quarter last year. During the same period last year, the company earned $0.44 EPS.

Here are the key takeaways from Veracyte’s conference call:

• Strong Q2 results: Revenue rose 15% year over year to $150.3 million, testing volume increased 13% to approximately 51,000 tests, and adjusted EBITDA grew 23% to $44 million, or 29.2% of revenue. The company generated $45.8 million in operating cash flow and ended the quarter with $485.2 million in cash and short-term investments.
• Veracyte raised its 2026 revenue outlook to $590 million-$596 million, reflecting 14%-15% growth, while maintaining adjusted EBITDA guidance above 26%. The outlook assumes approximately 20% Decipher revenue growth and excludes contributions from the recently launched Prosigna LDT and TrueMRD products.
• The company launched Prosigna LDT for ER-positive, HER2-negative breast cancer and TrueMRD for recurrence monitoring in muscle-invasive bladder cancer. Early physician and patient response has been encouraging, more than 100 institutions are engaged on Prosigna, and Veracyte is expanding its sales force and investing in electronic health-record integration.
• Decipher Prostate volume expectations were reduced by approximately 1,000 tests for 2026, primarily because low-risk testing is growing only at a single-digit rate after an NCCN guideline change removed genomic testing from active-surveillance recommendations. Management expects additional clinical studies, with initial readouts beginning as early as 2027, to support potential future adoption.
• Afirma continued to gain traction, with volume up 10% and revenue up 18% year over year to approximately 18,600 tests. Higher reimbursement, pricing improvements, market-share gains, and the V2 transcriptome workflow’s lower no-result rate supported growth and improved testing gross margins.

Veracyte Trading Up 7.3%

Shares of VCYT stock traded up $4.07 on Thursday, hitting $59.78. The stock had a trading volume of 1,541,179 shares, compared to its average volume of 928,259. Veracyte has a twelve month low of $22.92 and a twelve month high of $60.91. The firm has a market cap of $4.77 billion, a P/E ratio of 54.84 and a beta of 1.93. The company has a fifty day moving average price of $53.69 and a two-hundred day moving average price of $42.29.

Insider Transactions at Veracyte

In other news, CEO Marc Stapley sold 138,051 shares of the firm’s stock in a transaction dated Thursday, June 4th. The stock was sold at an average price of $50.12, for a total transaction of $6,919,116.12. Following the sale, the chief executive officer owned 440,494 shares of the company’s stock, valued at $22,077,559.28. This trade represents a 23.86% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Jonathan Wygant sold 24,000 shares of the stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $45.40, for a total value of $1,089,600.00. Following the sale, the chief accounting officer directly owned 45,434 shares of the company’s stock, valued at approximately $2,062,703.60. The trade was a 34.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 206,696 shares of company stock valued at $10,079,058. Insiders own 1.60% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of VCYT. Pacer Advisors Inc. boosted its position in Veracyte by 229.1% during the 4th quarter. Pacer Advisors Inc. now owns 10,280 shares of the biotechnology company’s stock worth $433,000 after acquiring an additional 7,156 shares during the last quarter. Corient Private Wealth LLC acquired a new stake in shares of Veracyte in the fourth quarter valued at about $5,475,000. Fuller & Thaler Asset Management Inc. acquired a new position in Veracyte during the fourth quarter valued at approximately $58,158,000. Empowered Funds LLC bought a new position in Veracyte in the fourth quarter valued at approximately $42,000. Finally, XTX Topco Ltd bought a new stake in shares of Veracyte during the 4th quarter worth approximately $962,000.

Analyst Ratings Changes

A number of analysts recently commented on the company. Wall Street Zen upgraded Veracyte from a “buy” rating to a “strong-buy” rating in a research report on Sunday, July 12th. Weiss Ratings restated a “hold (c)” rating on shares of Veracyte in a report on Wednesday, June 24th. Needham & Company LLC lifted their target price on shares of Veracyte from $48.00 to $57.00 and gave the stock a “buy” rating in a report on Monday, June 1st. Zacks Research downgraded Veracyte from a “strong-buy” rating to a “hold” rating in a research note on Monday, July 13th. Finally, Morgan Stanley lifted their price objective on Veracyte from $37.00 to $47.00 and gave the stock an “underweight” rating in a research note on Thursday, July 9th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $55.88.

Veracyte Company Profile

Veracyte, Inc is a genomic diagnostics company focused on improving diagnostic accuracy and patient care through advanced molecular testing. Founded in 2008 and headquartered in South San Francisco, California, the company develops and commercializes minimally invasive genomic tests that aid in the diagnosis of thyroid, lung and other diseases. Veracyte’s proprietary platform analyzes gene expression patterns in clinical samples to help physicians make more informed treatment decisions, reducing unnecessary surgeries and improving patient outcomes.

The company’s flagship product, the Afirma Genomic Sequencing Classifier, is designed to assess thyroid nodules with indeterminate cytology, helping clinicians distinguish benign from suspicious nodules.