CareDx (NASDAQ:CDNA) Releases Earnings Results, Beats Estimates By $0.21 EPS

Key Points

• CareDx reported $0.34 EPS, beating estimates by $0.21, with revenue up 39% to $117.7M; adjusted EBITDA was $19M (triple‑digit growth), and management raised 2026 guidance to $447M–$465M revenue and $43M–$57M adjusted EBITDA while authorizing a $100M share repurchase.
• The company completed a ~$170M divestiture of its lab products business to focus on precision testing and digital/patient solutions (which grew 48% and 33% in Q1) and announced the acquisition of Navoris, adding a tumor‑naive TTMV MRD platform with Medicare ADLT coverage and management’s estimated ~$4.5B TAM.
• Near‑term risks include an expected LCD risk modeled as a ~$7.5M revenue headwind in H2 2026, significant out‑of‑period Q1 collections that inflated revenue per test (~$260/test), and guidance that still embeds the products business until the planned Q3 close.

CareDx (NASDAQ:CDNA - Get Free Report) posted its quarterly earnings results on Tuesday. The company reported $0.34 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.13 by $0.21, FiscalAI reports. CareDx had a negative net margin of 5.65% and a negative return on equity of 6.50%. The company had revenue of $117.70 million for the quarter, compared to the consensus estimate of $102.29 million.

Here are the key takeaways from CareDx's conference call:

• CareDx completed a planned divestiture of its lab products business for ~$170M upfront to simplify the company and sharpen focus on its core precision testing services and digital/patient solutions, which grew 48% and 33% in Q1 respectively.
• The announced acquisition of Navoris adds a tumor‑naive TTMV MRD/diagnostic platform with Medicare ADLT coverage ($1,800/test), ~130k commercial tests to date, and management’s estimate of a ~$4.5B TAM (with ~$1.5B in MRD), positioning CareDx in HPV‑driven oncology markets aligned with its repeat‑testing model.
• Q1 results showed strong operational momentum with revenue +39% to $118M, testing volume +17%, adjusted EBITDA of $19M (triple‑digit growth), $198M cash, and raised 2026 guidance to $447M–$465M revenue and $43M–$57M adjusted EBITDA, plus a $100M share repurchase authorization.
• Management highlighted continued product and go‑to‑market progress — advances in AlloHeme, AlloSure Liver, HistoMap Kidney, VANTx AI, and Epic integrations (target ~50% of volume via Epic by year‑end) — as strategic levers to extend leadership and drive repeat testing adoption.
• Near‑term risks and accounting variability include an expected LCD risk (modeled as a ~$7.5M revenue headwind in H2 2026), significant out‑of‑period revenue in Q1 that inflated revenue per test (Q1 included $260/test of out‑period collections), and guidance that still embeds the products business pending the planned Q3 close.

CareDx Price Performance

Shares of CDNA traded up $0.06 during mid-day trading on Tuesday, hitting $21.91. The company's stock had a trading volume of 787,035 shares, compared to its average volume of 708,465. The firm has a 50-day moving average price of $18.43 and a 200 day moving average price of $18.17. The stock has a market capitalization of $1.12 billion, a price-to-earnings ratio of -54.78 and a beta of 2.54. CareDx has a fifty-two week low of $10.96 and a fifty-two week high of $23.24.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on the stock. Craig Hallum downgraded shares of CareDx from a "buy" rating to a "hold" rating and set a $26.00 price target on the stock. in a research report on Tuesday, January 6th. BTIG Research lifted their price objective on shares of CareDx from $25.00 to $26.00 and gave the company a "buy" rating in a research report on Wednesday, February 25th. Wall Street Zen upgraded shares of CareDx from a "hold" rating to a "buy" rating in a research report on Saturday. Weiss Ratings downgraded shares of CareDx from a "hold (c-)" rating to a "sell (d)" rating in a research report on Friday, February 27th. Finally, Wells Fargo & Company lifted their price objective on shares of CareDx from $18.00 to $21.00 and gave the company an "equal weight" rating in a research report on Wednesday, February 25th. Two equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $27.60.

Insider Buying and Selling at CareDx

In other news, CEO John Walter Hanna, Jr. sold 10,282 shares of CareDx stock in a transaction that occurred on Thursday, April 16th. The shares were sold at an average price of $21.12, for a total value of $217,155.84. Following the transaction, the chief executive officer directly owned 676,475 shares of the company's stock, valued at $14,287,152. This trade represents a 1.50% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 4.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in CDNA. Goldman Sachs Group Inc. increased its position in shares of CareDx by 18.1% in the first quarter. Goldman Sachs Group Inc. now owns 1,110,014 shares of the company's stock worth $19,703,000 after acquiring an additional 170,504 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in shares of CareDx by 11.3% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 133,966 shares of the company's stock worth $2,378,000 after acquiring an additional 13,619 shares in the last quarter. JPMorgan Chase & Co. increased its position in shares of CareDx by 41.2% in the second quarter. JPMorgan Chase & Co. now owns 68,602 shares of the company's stock worth $1,340,000 after acquiring an additional 20,028 shares in the last quarter. First Trust Advisors LP purchased a new position in shares of CareDx in the second quarter worth approximately $1,822,000. Finally, Nebula Research & Development LLC purchased a new position in shares of CareDx in the second quarter worth approximately $281,000.

About CareDx

CareDx, Inc NASDAQ: CDNA is a precision diagnostics company focused on the care of transplant patients. The firm develops and commercializes non‐invasive tests designed to detect organ transplant rejection and infection risk, helping physicians make informed management decisions throughout the post‐transplant journey.

The company's core product portfolio includes AlloMap®, a gene expression profiling test for heart transplant recipients, and AlloSure®, a donor‐derived cell‐free DNA assay used primarily in kidney transplant monitoring.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.