Fulgent Genetics (NASDAQ:FLGT) Shares Down 6.5% - Time to Sell?

Key Points

• Fulgent Genetics shares fell 6.5% to about $20.99 on relatively light trading volume, bringing the company’s market capitalization to approximately $570 million.
• Analysts remain cautious: the stock carries a consensus “Hold” rating and an average price target of $27.50, while recent quarterly results missed estimates on both adjusted EPS and revenue.
• The company remains unprofitable, reporting negative margins and return on equity, with analysts forecasting a full-year loss. Insiders sold a combined 5,932 shares in the past quarter, though the transactions were made to cover tax obligations tied to equity awards.

Fulgent Genetics, Inc. (NASDAQ:FLGT - Get Free Report) dropped 6.5% during trading on Tuesday. The stock traded as low as $21.07 and last traded at $20.9850. Approximately 98,569 shares were traded during trading, a decline of 76% from the average daily volume of 416,944 shares. The stock had previously closed at $22.45.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on FLGT shares. Wall Street Zen raised Fulgent Genetics from a "strong sell" rating to a "sell" rating in a research report on Saturday, August 29th. Weiss Ratings upgraded shares of Fulgent Genetics from a "sell (e+)" rating to a "sell (d-)" rating in a report on Thursday, August 27th. Finally, Piper Sandler increased their price target on shares of Fulgent Genetics from $15.00 to $19.00 and gave the company a "neutral" rating in a research note on Tuesday, August 4th. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average price target of $27.50.

Fulgent Genetics Stock Performance

The business has a fifty day moving average of $20.07 and a two-hundred day moving average of $18.48. The firm has a market capitalization of $570.01 million, a price-to-earnings ratio of -7.36 and a beta of 0.93.

Fulgent Genetics (NASDAQ:FLGT - Get Free Report) last released its quarterly earnings data on Thursday, July 30th. The company reported ($0.58) EPS for the quarter, missing analysts' consensus estimates of ($0.46) by ($0.12). The company had revenue of $85.39 million for the quarter, compared to the consensus estimate of $94.00 million. Fulgent Genetics had a negative return on equity of 4.93% and a negative net margin of 26.05%.Fulgent Genetics has set its FY 2026 guidance at -2.350--2.220 EPS. As a group, sell-side analysts predict that Fulgent Genetics, Inc. will post -3.48 EPS for the current fiscal year.

Insider Buying and Selling

In other Fulgent Genetics news, COO Jian Xie sold 2,127 shares of the business's stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $19.66, for a total value of $41,816.82. Following the completion of the sale, the chief operating officer owned 359,924 shares of the company's stock, valued at $7,076,105.84. The trade was a 0.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Hanlin Gao sold 1,673 shares of Fulgent Genetics stock in a transaction that occurred on Wednesday, September 2nd. The shares were sold at an average price of $19.66, for a total transaction of $32,891.18. Following the completion of the sale, the insider owned 986,117 shares of the company's stock, valued at approximately $19,387,060.22. The trade was a 0.17% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 5,932 shares of company stock worth $117,156. 36.18% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Fulgent Genetics

Large investors have recently added to or reduced their stakes in the stock. Allworth Financial LP acquired a new stake in shares of Fulgent Genetics during the 2nd quarter worth $25,000. Legal & General Group Plc acquired a new stake in Fulgent Genetics during the second quarter worth about $38,000. Caitong International Asset Management Co. Ltd increased its holdings in Fulgent Genetics by 214.6% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,834 shares of the company's stock valued at $48,000 after buying an additional 1,251 shares during the period. Empowered Funds LLC bought a new position in Fulgent Genetics in the 2nd quarter valued at about $276,000. Finally, Persistent Asset Partners Ltd acquired a new position in shares of Fulgent Genetics in the 2nd quarter valued at approximately $488,000. Institutional investors and hedge funds own 48.06% of the company's stock.

About Fulgent Genetics

Fulgent Genetics, Inc is a technology-driven clinical diagnostics company that provides genetic testing and laboratory services. The company uses next-generation sequencing and other molecular testing technologies to support the diagnosis, risk assessment and management of inherited diseases, cancer and other medical conditions.

Its offerings include hereditary disease testing, oncology testing, reproductive health testing and specialized genetic panels. Fulgent also provides laboratory-developed tests, pharmacogenetic testing and testing solutions for healthcare providers, hospitals, health systems, employers, pharmaceutical companies and public health organizations.

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