Natera (NASDAQ:NTRA) Cut to "Hold" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Natera from buy to hold, even though the broader analyst view remains constructive with a Moderate Buy consensus and a $256 average target price.
• Natera stock fell 11.6% in the session covered, opening at $194.24, below both its 50-day moving average of $202.23 and 200-day moving average of $215.02.
• The company’s recent fundamentals were mixed: Q1 revenue beat estimates at $665.5 million, but it still posted a loss, and recent insider selling by the CEO and another executive may add pressure on sentiment.

Natera (NASDAQ:NTRA - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report issued on Saturday.

Several other analysts have also recently weighed in on the company. Canaccord Genuity Group reaffirmed a "buy" rating on shares of Natera in a report on Monday, January 12th. Weiss Ratings restated a "sell (d-)" rating on shares of Natera in a research report on Tuesday, April 21st. JPMorgan Chase & Co. boosted their target price on Natera from $260.00 to $265.00 and gave the stock an "overweight" rating in a research report on Friday. Robert W. Baird set a $265.00 target price on Natera in a research report on Friday. Finally, William Blair initiated coverage on Natera in a research report on Tuesday, April 14th. They issued an "outperform" rating for the company. One investment analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $256.00.

Natera Stock Down 11.6%

NASDAQ:NTRA opened at $194.24 on Friday. The business's 50-day moving average price is $202.23 and its two-hundred day moving average price is $215.02. Natera has a twelve month low of $131.81 and a twelve month high of $256.36. The stock has a market cap of $27.64 billion, a P/E ratio of -119.17 and a beta of 1.57.

Natera (NASDAQ:NTRA - Get Free Report) last released its quarterly earnings results on Thursday, February 26th. The medical research company reported $0.35 earnings per share for the quarter, beating the consensus estimate of ($0.46) by $0.81. Natera had a negative return on equity of 15.72% and a negative net margin of 9.05%.The firm had revenue of $665.50 million for the quarter, compared to analysts' expectations of $600.68 million. During the same quarter last year, the firm posted ($0.41) EPS. On average, equities research analysts expect that Natera will post -1.71 EPS for the current fiscal year.

Insider Transactions at Natera

In related news, insider John Fesko sold 291 shares of the business's stock in a transaction that occurred on Friday, May 1st. The stock was sold at an average price of $206.16, for a total value of $59,992.56. Following the completion of the sale, the insider owned 187,220 shares in the company, valued at $38,597,275.20. The trade was a 0.16% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. 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, CEO Steven Leonard Chapman sold 902 shares of Natera stock in a transaction that occurred on Friday, May 1st. The stock was sold at an average price of $206.16, for a total value of $185,956.32. Following the completion of the transaction, the chief executive officer directly owned 149,867 shares in the company, valued at $30,896,580.72. This trade represents a 0.60% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 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. Over the last 90 days, insiders have sold 38,266 shares of company stock worth $7,747,808. 5.63% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Natera

A number of large investors have recently bought and sold shares of the stock. Robinhood Asset Management LLC bought a new stake in shares of Natera in the 4th quarter worth approximately $12,981,000. JPMorgan Chase & Co. boosted its position in shares of Natera by 9.4% during the third quarter. JPMorgan Chase & Co. now owns 11,628,914 shares of the medical research company's stock valued at $1,871,914,000 after purchasing an additional 1,003,129 shares in the last quarter. Rakuten Investment Management Inc. bought a new stake in shares of Natera during the third quarter valued at approximately $34,096,000. New York State Common Retirement Fund boosted its position in shares of Natera by 63.2% during the third quarter. New York State Common Retirement Fund now owns 148,247 shares of the medical research company's stock valued at $23,863,000 after purchasing an additional 57,400 shares in the last quarter. Finally, Krilogy Financial LLC bought a new stake in shares of Natera during the third quarter valued at approximately $1,323,000. 99.90% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Natera

Here are the key news stories impacting Natera this week:

• Positive Sentiment: JPMorgan raised its price target on Natera to $265 from $260 and kept an overweight rating, signaling confidence in further upside from current levels. JPMorgan raises Natera price target
• Positive Sentiment: Wells Fargo also lifted its target to $220 from $215, indicating continued analyst support despite a more neutral equal-weight stance. Wells Fargo raises Natera price target
• Positive Sentiment: First-quarter revenue came in well above expectations at $696.6 million, up 38.8% year over year, and the company also reported gross margin of 64.7%, showing strong top-line growth. Natera Q1 results
• Neutral Sentiment: Natera updated full-year 2026 revenue guidance to $2.7 billion-$2.8 billion, roughly in line with consensus, which suggests the outlook is steady but not a major surprise. Natera guidance update
• Negative Sentiment: Profitability remains a concern: Natera posted a quarterly loss of $0.60 per share, wider than the expected $0.53 loss, despite the revenue beat. Natera earnings miss
• Negative Sentiment: Recent insider selling, including a CEO stock sale, may add pressure by reinforcing concerns about valuation after the stock’s strong run. Natera CEO stock sale

Natera Company Profile

Natera is a global diagnostics company that develops and commercializes cell-free DNA and other genetic testing technologies for clinical applications. The company focuses on three principal areas: reproductive health (including non-invasive prenatal testing and carrier screening), oncology (tumor-informed assays for minimal residual disease and recurrence monitoring), and organ transplantation (cell-free DNA tests to detect allograft injury). Natera combines laboratory testing, proprietary bioinformatics, and clinical reporting to deliver personalized genetic information to clinicians and patients.

Key product offerings include Panorama, a non-invasive prenatal test that screens for fetal chromosomal abnormalities and select single-gene conditions; Horizon carrier screening for inherited conditions; Signatera, a personalized, tumor-informed assay used for detecting minimal residual disease and monitoring treatment response in cancer patients; and Prospera, a donor-derived cell-free DNA test used to assess the risk of organ rejection.

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