Download PDF

1. Company Snapshot

1.a. Company Description

GeneDx Holdings Corp.is a patient centered health intelligence company.It engages in transforming healthcare by applying AI and machine learning to multidimensional, longitudinal clinical and genomic data to build dynamic models of human health and defining optimal, individualized health trajectories.


The firm, through its Centrellis health intelligence platform, generates a more complete understanding of disease and wellness and provides science-driven solutions to the most pressing medical needs.The company was founded by Eric Schadt in October 2015 and is headquartered in Stamford, CT.

Show Full description

1.b. Last Insights on WGS

GeneDx Holdings Corp.'s recent performance is driven by strong Q2 earnings and revenue beat, with record revenues and surging profits. The company raised its 2025 sales outlook, fueling a significant stock jump. Additionally, GeneDx possesses a right combination of ingredients for a likely earnings beat, with an impressive earnings surprise history. Analysts expect a 26.17% upside in the stock, with a consensus price target hinting at a 32.62% upside potential. A golden cross in its 50-day and 200-day moving averages also suggests a good pick for investors from a technical perspective.

1.c. Company Highlights

2. GeneDx Holdings Corp. Delivers Strong Q4 2025 Results

GeneDx Holdings Corp. reported quarterly revenues of $121 million, bringing full-year revenues to $428 million, driven by 54% exome and genome revenue growth. The company's adjusted gross margin was 71% for the fourth quarter and full year 2025. The actual EPS came out at '-0.65694' relative to estimates at '0.11'. The company's financial performance was highlighted by a 27% year-over-year increase in total revenues, with exome and genome revenues growing 32%. GeneDx reported 27,761 exome and genome test results in the fourth quarter, with a consistent trend of acceleration throughout the year.

Publication Date: Feb -24

📋 Highlights
  • Revenue Growth:: Full-year 2025 revenues reached $428M, up 27% YoY, driven by 54% exome/genome revenue growth and 27,761 tests in Q4.
  • 2026 Guidance:: Revenue forecast of $540–$555M, with 33–35% exome/genome volume growth and 33% Q1 baseline growth, led by NICU and prenatal markets.
  • Margin Stability:: Adjusted gross margin of 71% in Q4 2025, targeting 70% in 2026, with positive adjusted net income expected year-round.
  • Market Expansion:: 50-person sales team targeting general pediatrics (18–24-month adoption curve) and 5% NICU penetration in Q4, with plans to scale reps in 2027.

Guidance and Growth Expectations

The company is reaffirming its guidance to include total revenues in the range of $540 to $555 million, exome and genome volume growth of 33% to 35%, and a baseline of 33% growth for Q1. The foundational markets are expected to contribute 25% to 27% towards the growth rate, while expansion markets are expected to contribute 7% to 8%. Adjusted gross margin is expected to be approximately 70%, and adjusted net income is expected to be positive for the full year and each individual quarter. As Katherine Stueland mentioned, "GeneDx Infinity enables fast and accurate diagnoses at scale, and the company has a strong and fast-growing core."

Valuation Metrics

Analysts estimate next year's revenue growth at 23.7%. The current valuation metrics indicate a 'P/S Ratio' of 5.89, 'P/E Ratio' of -111.4, 'P/B Ratio' of 7.6, and 'EV/EBITDA' of -189.07. These metrics suggest that the market is pricing in significant growth expectations for GeneDx Holdings Corp.

Growth Drivers

The company's growth drivers in 2026 include pediatric neurology, prenatal, and NICU, with NICU expected to be the largest contributor. GeneDx is taking a conservative view on gross margins, aiming to optimize cost and reimbursement for its exome and genome portfolio. The company is also investing in its commercial footprint, customer experience, and R&D to support clinical research and commercial strategy.

Expansion and Competition

GeneDx is expanding its dedicated sales team and leveraging AI to enhance diagnostic capabilities. The company is confident in its competitive moat and is investing in R&D to maintain its position amidst new entrants in the market. As the company continues to grow, it is well-positioned to capitalize on the momentum driven by its advanced technology and capabilities.

3. NewsRoom

Card image cap

GeneDx's Chief Operating Officer Sold Nearly 6,000 Shares. Is the Stock a Buy or Sell?

Feb -26

Source: fool.com

Card image cap

Halper Sadeh LLC Encourages Marqeta, Inc. Shareholders to Contact the Firm to Discuss Their Rights

Feb -26

Source: prnewswire.com

Card image cap

GeneDx to Participate in Upcoming Investor Conferences

Feb -25

Source: businesswire.com

Card image cap

These Analysts Slash Their Forecasts On GeneDx After Q4 Results

Feb -24

Source: benzinga.com

Card image cap

GeneDx: The Growth Story Isn't Dead, It's Changing (Rating Upgrade)

Feb -24

Source: seekingalpha.com

Card image cap

GeneDx Holdings Corp. (WGS) Q4 2025 Earnings Call Transcript

Feb -23

Source: seekingalpha.com

Card image cap

GeneDx Holdings Corp. (WGS) Q4 Earnings and Revenues Beat Estimates

Feb -23

Source: zacks.com

Card image cap

INSERTING and REPLACING GeneDx Reports Fourth Quarter and Full Year 2025 Financial Results and Reaffirms Guidance for Full Year 2026

Feb -23

Source: businesswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (12.16%)

6. Segments

GeneDx

Expected Growth: 12.0%

GeneDx's 12.0% growth is driven by increasing demand for genetic testing, expansion into new markets, and strategic partnerships. The company's comprehensive testing portfolio, including whole-exome sequencing and non-invasive prenatal testing, addresses growing needs in reproductive health and rare genetic disorders. Additionally, investments in digital health and AI-powered analytics enhance the customer experience and drive business growth.

Legacy Sema4

Expected Growth: 16.0%

Legacy Sema4's 16.0% growth is driven by increasing demand for genetic testing, expansion into new markets, and strategic partnerships. Additionally, advancements in genomic sequencing, growing adoption of precision medicine, and rising healthcare expenditure contribute to its growth momentum.

7. Detailed Products

Genetic Testing

Comprehensive genetic testing services for rare genetic disorders, including whole-exome sequencing, whole-genome sequencing, and gene panels.

Genomic Analysis

Advanced genomic analysis services, including variant interpretation, gene expression analysis, and genomic data integration.

Genetic Counseling

Expert genetic counseling services for individuals and families affected by genetic disorders.

Pharmacogenomics

Personalized medicine services, including pharmacogenomic testing and analysis.

Genomic Data Analytics

Advanced genomic data analytics services, including data integration, visualization, and interpretation.

8. GeneDx Holdings Corp.'s Porter Forces

Forces Ranking

Threat Of Substitutes

GeneDx Holdings Corp. operates in a niche market with limited substitutes, but the threat of substitutes is still present due to the evolving nature of genetic testing and diagnosis.

Bargaining Power Of Customers

GeneDx Holdings Corp. has a diverse customer base, including healthcare providers, patients, and pharmaceutical companies, which reduces the bargaining power of individual customers.

Bargaining Power Of Suppliers

GeneDx Holdings Corp. relies on a few key suppliers for genetic testing equipment and reagents, which gives them some bargaining power, but the company's scale and reputation mitigate this risk.

Threat Of New Entrants

The genetic testing market is rapidly evolving, and new entrants with innovative technologies or business models could potentially disrupt GeneDx Holdings Corp.'s market share.

Intensity Of Rivalry

The genetic testing market is highly competitive, with several established players and new entrants vying for market share, which increases the intensity of rivalry.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 19.95%
Debt Cost 3.95%
Equity Weight 80.05%
Equity Cost 15.18%
WACC 12.94%
Leverage 24.92%

11. Quality Control: GeneDx Holdings Corp. passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Accolade

A-Score: 4.7/10

Value: 8.3

Growth: 5.8

Quality: 3.8

Yield: 0.0

Momentum: 9.5

Volatility: 0.7

1-Year Total Return ->

View Full Report
Stock-Card
Teladoc Health

A-Score: 4.0/10

Value: 9.6

Growth: 5.1

Quality: 4.4

Yield: 0.0

Momentum: 2.0

Volatility: 3.0

1-Year Total Return ->

View Full Report
Stock-Card
Augmedix

A-Score: 3.6/10

Value: 7.2

Growth: 4.6

Quality: 3.9

Yield: 0.0

Momentum: 6.0

Volatility: 0.0

1-Year Total Return ->

View Full Report
Stock-Card
GeneDx

A-Score: 3.4/10

Value: 0.2

Growth: 4.2

Quality: 5.1

Yield: 0.0

Momentum: 9.5

Volatility: 1.3

1-Year Total Return ->

View Full Report
Stock-Card
Schrödinger

A-Score: 3.0/10

Value: 4.8

Growth: 2.8

Quality: 3.9

Yield: 0.0

Momentum: 3.5

Volatility: 3.0

1-Year Total Return ->

View Full Report
Stock-Card
Simulations Plus

A-Score: 2.6/10

Value: 3.6

Growth: 4.1

Quality: 4.1

Yield: 0.0

Momentum: 1.0

Volatility: 2.7

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

79.47$

Current Price

79.47$

Potential

-0.00%

Expected Cash-Flows