Preview: Natera's Earnings

Natera NTRA will release its quarterly earnings report on Thursday, 2025-05-08. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Natera to report an earnings per share (EPS) of $-0.66.

The announcement from Natera is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Earnings History Snapshot

The company's EPS missed by $0.02 in the last quarter, leading to a 0.65% drop in the share price on the following day.

Here's a look at Natera's past performance and the resulting price change:

Market Performance of Natera's Stock

Shares of Natera were trading at $155.5 as of May 06. Over the last 52-week period, shares are up 63.32%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Take on Natera

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Natera.

A total of 7 analyst ratings have been received for Natera, with the consensus rating being Outperform. The average one-year price target stands at $194.86, suggesting a potential 25.31% upside.

Analyzing Analyst Ratings Among Peers

The following analysis focuses on the analyst ratings and average 1-year price targets of and Natera, three prominent industry players, providing insights into their relative performance expectations and market positioning.

Key Findings: Peer Analysis Summary

The peer analysis summary presents essential metrics for and Natera, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Natera's consensus rating is "Outperform," indicating positive market sentiment. It ranks first in revenue growth among its peers, with a growth rate of 53.02%. However, it has the lowest gross profit margin at $299.64M. Additionally, Natera has the lowest return on equity at -5.19%, suggesting lower profitability compared to its peers.

Unveiling the Story Behind Natera

Natera Inc is a diagnostic and research company with proprietary molecular and bioinformatics technology. The company's key product offerings include its Panorama Non-Invasive Prenatal Test (NIPT) which screens for chromosomal abnormalities of a fetus as well as in twin pregnancies, typically with a blood draw from the mother, Horizon Carrier Screening (HCS) to determine carrier status for a large number of severe genetic diseases that could be passed on to the carrier's children, Signatera molecular residual disease (MRD) test, which detects circulating tumor DNA in patients previously diagnosed with cancer to assess molecular residual disease and monitor for recurrence; and Prospera, to assess organ transplant rejection.

Natera's Financial Performance

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Positive Revenue Trend: Examining Natera's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 53.02% as of 31 December, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Health Care sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -11.29%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Natera's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -5.19%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Natera's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -3.31%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Natera's debt-to-equity ratio is below the industry average at 0.16, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Natera visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.