GeneDx (NASDAQ:WGS) Trading Down 6.9% - Should You Sell?

Key Points

• GeneDx's stock price dropped 6.9% to $106.04 during mid-day trading, with an unusually low trading volume of 31,096 shares, significantly down from an average of 981,054 shares.
• Wall Street analysts remain optimistic, as six analysts have assigned a "Buy" rating to the stock, with a consensus target price of $104.13.
• Insider transactions revealed that both the CFO and CEO sold significant shares, leading to a combined decrease of approximately 41.87% and 29.86% in their respective stock holdings.

GeneDx Holdings Corp. (NASDAQ:WGS - Get Free Report) shares fell 6.9% on Tuesday . The stock traded as low as $110.06 and last traded at $106.04. 31,096 shares were traded during mid-day trading, a decline of 97% from the average session volume of 981,054 shares. The stock had previously closed at $113.93.

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on WGS. Wall Street Zen raised GeneDx from a "hold" rating to a "buy" rating in a research report on Saturday, August 2nd. Guggenheim reaffirmed a "buy" rating and issued a $115.00 target price (up from $88.00) on shares of GeneDx in a research report on Monday, June 30th. Wells Fargo & Company raised their target price on GeneDx from $78.00 to $95.00 and gave the stock an "equal weight" rating in a research report on Wednesday, July 30th. Finally, Piper Sandler raised their target price on GeneDx from $120.00 to $140.00 and gave the stock an "overweight" rating in a research report on Thursday, September 11th. Six analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $104.13.

GeneDx Stock Down 4.1%

The company has a debt-to-equity ratio of 0.19, a current ratio of 2.87 and a quick ratio of 2.70. The firm has a 50 day simple moving average of $116.19 and a 200-day simple moving average of $93.89. The stock has a market capitalization of $3.14 billion, a price-to-earnings ratio of 2,186.20 and a beta of 2.04.

GeneDx (NASDAQ:WGS - Get Free Report) last announced its earnings results on Tuesday, July 29th. The company reported $0.50 earnings per share for the quarter, beating analysts' consensus estimates of $0.10 by $0.40. GeneDx had a return on equity of 16.51% and a net margin of 0.39%.The company had revenue of $102.69 million during the quarter, compared to analyst estimates of $86.00 million. GeneDx has set its FY 2025 guidance at EPS. On average, sell-side analysts forecast that GeneDx Holdings Corp. will post 0.97 EPS for the current fiscal year.

Insiders Place Their Bets

In other GeneDx news, CFO Kevin Feeley sold 3,728 shares of the company's stock in a transaction dated Tuesday, September 16th. The shares were sold at an average price of $121.47, for a total transaction of $452,840.16. Following the transaction, the chief financial officer directly owned 8,755 shares in the company, valued at approximately $1,063,469.85. This represents a 29.86% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Katherine Stueland sold 10,501 shares of the firm's stock in a transaction that occurred on Tuesday, September 16th. The shares were sold at an average price of $121.47, for a total transaction of $1,275,556.47. Following the completion of the transaction, the chief executive officer directly owned 14,578 shares in the company, valued at approximately $1,770,789.66. The trade was a 41.87% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 564,869 shares of company stock valued at $68,279,628. 29.60% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On GeneDx

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Chung Wu Investment Group LLC lifted its holdings in shares of GeneDx by 8.2% during the 2nd quarter. Chung Wu Investment Group LLC now owns 3,300 shares of the company's stock valued at $305,000 after purchasing an additional 250 shares in the last quarter. GAMMA Investing LLC lifted its holdings in shares of GeneDx by 151.7% during the 1st quarter. GAMMA Investing LLC now owns 438 shares of the company's stock valued at $39,000 after purchasing an additional 264 shares in the last quarter. Palisades Investment Partners LLC lifted its holdings in shares of GeneDx by 0.4% during the 1st quarter. Palisades Investment Partners LLC now owns 83,913 shares of the company's stock valued at $7,432,000 after purchasing an additional 309 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of GeneDx by 6.3% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 7,641 shares of the company's stock valued at $677,000 after purchasing an additional 453 shares in the last quarter. Finally, US Bancorp DE lifted its holdings in shares of GeneDx by 3,223.5% during the 1st quarter. US Bancorp DE now owns 565 shares of the company's stock valued at $50,000 after purchasing an additional 548 shares in the last quarter. 61.72% of the stock is owned by institutional investors.

GeneDx Company Profile

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.

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