GeneDx (NASDAQ:WGS) Shares Gap Up After Earnings Beat

Shares of GeneDx Holdings Corp. (NASDAQ:WGS) gapped up prior to trading on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $84.91, but opened at $105.31. GeneDx shares last traded at $94.37, with a volume of 926,890 shares changing hands.

The company reported $0.50 earnings per share for the quarter, topping analysts’ consensus estimates of $0.10 by $0.40. GeneDx had a net margin of 0.39% and a return on equity of 17.24%. The firm had revenue of $102.69 million during the quarter, compared to analysts’ expectations of $86.00 million.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on the stock. Piper Sandler assumed coverage on shares of GeneDx in a report on Wednesday, July 9th. They issued an “overweight” rating and a $110.00 target price for the company. Wells Fargo & Company lifted their target price on shares of GeneDx from $78.00 to $95.00 and gave the company an “equal weight” rating in a report on Wednesday. Wall Street Zen downgraded shares of GeneDx from a “buy” rating to a “hold” rating in a report on Sunday, July 13th. TD Securities dropped their price target on shares of GeneDx from $135.00 to $110.00 and set a “buy” rating for the company in a research note on Thursday, May 1st. Finally, Guggenheim restated a “buy” rating and issued a $115.00 price target (up previously from $88.00) on shares of GeneDx in a research note on Monday, June 30th. Three analysts have rated the stock with a hold rating and seven have issued a buy rating to the company’s stock. According to data from MarketBeat, GeneDx currently has a consensus rating of “Moderate Buy” and a consensus target price of $94.22.

Insider Transactions at GeneDx

In other news, Director Keith A. Meister acquired 100,000 shares of the firm’s stock in a transaction dated Thursday, May 8th. The stock was acquired at an average cost of $56.01 per share, with a total value of $5,601,000.00. Following the transaction, the director owned 3,008,629 shares in the company, valued at approximately $168,513,310.29. This trade represents a 3.44% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CEO Katherine Stueland sold 3,220 shares of the business’s stock in a transaction on Wednesday, July 9th. The shares were sold at an average price of $93.00, for a total transaction of $299,460.00. Following the completion of the sale, the chief executive officer directly owned 1,720 shares of the company’s stock, valued at approximately $159,960. This trade represents a 65.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 19,869 shares of company stock valued at $1,817,353. Insiders own 29.60% of the company’s stock.

Institutional Investors Weigh In On GeneDx

Institutional investors and hedge funds have recently made changes to their positions in the business. Sterling Capital Management LLC raised its holdings in shares of GeneDx by 877.8% in the fourth quarter. Sterling Capital Management LLC now owns 352 shares of the company’s stock valued at $27,000 after buying an additional 316 shares during the last quarter. GAMMA Investing LLC raised its holdings in shares of GeneDx by 151.7% in the first quarter. GAMMA Investing LLC now owns 438 shares of the company’s stock valued at $39,000 after buying an additional 264 shares during the last quarter. Lazard Asset Management LLC purchased a new stake in shares of GeneDx in the fourth quarter valued at about $35,000. US Bancorp DE boosted its holdings in shares of GeneDx by 3,223.5% in the first quarter. US Bancorp DE now owns 565 shares of the company’s stock valued at $50,000 after acquiring an additional 548 shares in the last quarter. Finally, Comerica Bank purchased a new position in GeneDx during the fourth quarter worth about $50,000. 61.72% of the stock is owned by hedge funds and other institutional investors.

GeneDx Stock Up 12.8%

The stock has a market capitalization of $2.95 billion, a PE ratio of 2,070.20 and a beta of 2.01. The firm’s fifty day moving average is $78.73 and its 200-day moving average is $82.64. The company has a quick ratio of 3.07, a current ratio of 3.25 and a debt-to-equity ratio of 0.20.

About GeneDx

GeneDx Holdings Corp., through its subsidiaries, provides genomics-related diagnostic and information services. The company offers Centrellis, an AI-driven health intelligence platform that integrates digital tools and artificial intelligence allowing scientists to ingest and synthesize clinical and genomic data to deliver comprehensive health insights.