CDNA

Second Quarter Revenue Growth of 52% to $132 Million Raises 2026 Revenue Guidance to $490 Million to $500 Million and Raises 2026 AEBITDA Guidance to $66 Million to $78 Million BRISBANE, Calif., July 30, 2026--(BUSINESS WIRE)--CareDx, Inc. (Nasdaq: CDNA) — a leading precision medicine diagnostics company in transplant, specialty oncology, and cell therapy, today reported financial results for the second quarter ended June 30, 2026. Second Quarter 2026 Financial Highlights Revenue of $132 million, an increase of 52% year-over-year Testing Services revenue of $100 million, an increase of 61% year-over-year, and Testing Services volume of approximately 58,000, an increase of 17% year-over-year Patient and Digital Solutions revenue of $19 million and Lab Product revenue of $13 million, representing year-over-year growth of 50% and 8%, respectively Average revenue per test of approximately $1,720, including $16 million in prior period revenue GAAP net income of $111 million, compared to GAAP net loss of $9 million for the second quarter of 2025 Closed the sale of the Lab Products business on June 30, recognizing a $113 million gain on sale included in GAAP operating income and excluded from non-GAAP operating income Adjusted EBITDA of $25 million, compared to $5 million for the second quarter of 2025 Cash flow from operations of $31 million Recent Business Highlights Completed the divestiture of the Lab Products business to Eurobio Scientific and closed the acquisition of Naveris, strengthening CareDx’s position as a precision medicine diagnostics company focused on transplant, specialty oncology, and cell therapy CMS finalized Medicare coverage policy for AlloSure® and AlloMap®, supporting continued patient access to molecular testing in transplant care Advanced the AlloHeme® pipeline program with submission of a clinical validation manuscript and continued progress toward CLIA readiness Published new HistoMap® Kidney data in Transplantation, expanding the evidence base for this pipeline program and supporting the potential role of molecular assessment to complement conventional histopathology in kidney transplant biopsies Presented new data at the American Head and Neck Society (AHNS) Annual Meeting, expanding the clinical evidence supporting NavDx® and its role in informing patient management decisions Presented new data at the American Transplant Congress (ATC), expanding the clinical evidence supporting AlloSure®, including data supporting its role in identifying patients at risk of graft loss and in assessing response to therapy Published new KOAR data in the Journal of the American Society of Nephrology supporting the role of AlloSure® Kidney in longitudinal risk stratification and clinical decision-making for kidney transplant recipients "We have transformed CareDx into a differentiated precision molecular diagnostics company with a unique set of core competencies that position us for continued profitable growth," said John Hanna, President and Chief Executive Officer of CareDx. "Our performance reflects that our strategy is working, and we look forward to building on our momentum as we integrate NavDx and launch into cell therapy." Second Quarter 2026 Financial Results Total revenue was $132 million, compared to $87 million in the second quarter of 2025, an increase of 52% year-over-year, driven primarily by higher Testing Services revenue and continued expansion of Patient and Digital Solutions revenue. Revenue growth reflected continued demand across transplant programs, favorable reimbursement dynamics, and increases in testing activity across both surveillance and for-cause settings. Testing services revenue was $100 million, compared to $62 million in the second quarter of 2025, an increase of 61% year‑over‑year, and Testing Services volume was approximately 58,000, an increase of 17% year‑over‑year. Excluding revenue recognized for tests performed in prior periods, Testing Services revenue increased approximately 28% year-over-year. Testing Services revenue reflected ongoing adoption of molecular surveillance testing across transplant programs. Patient and Digital Solutions revenue was $19 million, compared to $13 million in the second quarter of 2025, an increase of 50% year-over-year, driven by continued growth in CareDx Pharmacy services and adoption of patient support and digital solutions across transplant monitoring. Lab Product revenue was $13 million, compared to $12 million in the second quarter of 2025, an increase of 8% year-over-year. The quarter reflects a full period of Lab Products results, as the divestiture to Eurobio Scientific closed on June 30, 2026. Future periods will no longer include Lab Products segment results. GAAP net income was $111 million, compared to GAAP net loss of $9 million in the second quarter of 2025. Basic and diluted GAAP net income per share was $2.15 and $2.07, respectively, compared to basic and diluted GAAP net loss per share of $0.16 in the second quarter of 2025. These results reflect strong operational performance, as well as the sale of our Lab Products business, which closed on June 30. The transaction resulted in a $113 million gain that is included in GAAP operating income and excluded from non-GAAP operating income. Non-GAAP net income was $20 million, compared to $6 million in the second quarter of 2025. Diluted non-GAAP net income per share was $0.37 compared to $0.10 in the second quarter of 2025. Adjusted EBITDA was $25 million, compared to $5 million in the second quarter of 2025, driven by strong Testing Services revenue growth, improved gross profit, and continued focus on operational efficiency and cost discipline. 2026 Guidance For the full year 2026, CareDx now expects revenue to be in the range of $490 million to $500 million, compared to the $447 million to $465 million range that was previously disclosed. The Company now expects full year 2026 adjusted EBITDA to be in the range of $66 million to $78 million, compared to its previously disclosed range of $43 million to $57 million. About CareDx CareDx is a leading precision medicine diagnostics company advancing care in transplant, specialty oncology, and cell therapy. Through non-invasive longitudinal molecular biomarker testing, digital health, and patient support solutions, CareDx is dedicated to improving patient outcomes. For more information, please visit www.caredx.com. Forward Looking Statements This press release includes forward-looking statements, including expectations regarding the achievement of CareDx’s financial and operational goals and its expectations and prospects for 2026. These forward-looking statements are based upon information that is currently available to CareDx and its current expectations, speak only as of the date hereof, and are subject to numerous risks and uncertainties, all of which are difficult to predict and many of which are beyond CareDx’s control, that could cause the actual results to differ materially from those projected, including general economic and market factors, and global economic and marketplace uncertainties, among others discussed in CareDx’s filings with the Securities and Exchange Commission (the "SEC"), including, but not limited to, the Annual Report on Form 10-K for the fiscal year ended December 31, 2025 filed by CareDx with the SEC on February 25, 2026, and other reports that CareDx has filed with the SEC. Any of these may cause CareDx’s actual results, performance, or achievements to differ materially and adversely from those anticipated or implied by CareDx’s forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements. CareDx expressly disclaims any obligation, except as required by law, or undertaking to update or revise any such forward-looking statements, whether as a result of new information, future events or otherwise. Use of Non-GAAP Financial Measures CareDx has presented in this release certain financial information in accordance with U.S. Generally Accepted Accounting Principles ("GAAP") and also on a non-GAAP basis, including non-GAAP cost of testing services, non-GAAP cost of product, non-GAAP cost of patient and digital solutions, non-GAAP research and development expenses, non-GAAP sales and marketing expenses, non-GAAP general and administrative expenses, non-GAAP other income, net, non-GAAP income tax expense, non-GAAP gross profit, non-GAAP gross margin (%), non-GAAP operating expenses, non-GAAP net income, non-GAAP basic and diluted net income per share, adjusted EBITDA and adjusted EBITDA margin. These non-GAAP financial measures are not meant to be considered superior to or a substitute for financial measures calculated in accordance with GAAP, and investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. We define non-GAAP net income and per share results as the GAAP net income (loss) and per share results excluding the impacts of stock-based compensation expense; acquisition-related amortization of purchased intangible assets and related tax effects; changes in estimated fair value of contingent consideration; litigation settlement expense; business development and portfolio optimization expense; gain on sale of lab product business; and certain other charges presented in the reconciliation in this release. We define adjusted EBITDA as non-GAAP net income before interest income, income tax expense, depreciation expense and other (income) expense, net. We define non-GAAP gross profit and non-GAAP gross margin as GAAP gross profit and GAAP gross margin excluding the impacts of stock-based compensation expense, and acquisition-related amortization of purchased intangible assets included in cost of sales. Non-GAAP gross margin is calculated as non-GAAP gross profit divided by total revenue. Adjusted EBITDA margin is calculated as adjusted EBITDA divided by total revenue. Corporate free cash flow is defined as Cash from Operations less Capital Expenditures. We are presenting these non-GAAP financial measures to assist investors in assessing our operating results through the eyes of management and because we believe that these measures provide an additional tool for investors to use in comparing our core business operating results over multiple periods where certain items may vary independent of business performance. Management believes this non-GAAP information is useful for investors, when considered in conjunction with CareDx’s GAAP financial statements, because management uses such information internally for its operating, budgeting and financial planning purposes. Non-GAAP information is not prepared under a comprehensive set of accounting rules and should only be used to supplement an understanding of CareDx’s operating results as reported under GAAP. These non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. These non-GAAP financial measures are not necessarily comparable to similarly titled measures presented by other companies. A reconciliation between GAAP and non-GAAP financial information is provided immediately following the financial tables. A reconciliation of the forecasted range for adjusted EBITDA for 2026 is not included in this release due to the number of variables in the projected range and because we are currently unable to quantify accurately certain amounts that would be required to be included in the U.S. GAAP measure or the individual adjustments for such reconciliation. View source version on businesswire.com: https://www.businesswire.com/news/home/20260730736650/en/ Contacts CareDx, Inc.Media RelationsNatasha Moshirian [email protected] Investor RelationsNina [email protected]

CareDx (CDNA) came out with quarterly earnings of $0.37 per share, beating the Zacks Consensus Estimate of $0.22 per share. This compares to earnings of $0.1 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +68.18%. A quarter ago, it was expected that this molecular diagnostics company would post earnings of $0.11 per share when it actually produced earnings of $0.34, delivering a surprise of +209.09%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. CareDx, which belongs to the Zacks Medical Services industry, posted revenues of $131.95 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 15.41%. This compares to year-ago revenues of $86.68 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. CareDx shares have added about 88% since the beginning of the year versus the S&P 500's gain of 6.9%. While CareDx has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for CareDx was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.17 on $111.3 million in revenues for the coming quarter and $0.88 on $455 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical Services is currently in the top 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Caris Life Sciences,?Inc. (CAI), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 5. This company is expected to post quarterly loss of $0.01 per share in its upcoming report, which represents a year-over-year change of +98.2%. The consensus EPS estimate for the quarter has been revised 33.3% lower over the last 30 days to the current level. Caris Life Sciences,?Inc.'s revenues are expected to be $231.2 million, up 27.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CareDx, Inc. (CDNA) : Free Stock Analysis Report Caris Life Sciences,?Inc. (CAI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in CareDx, Inc.? Here are five stocks we like better. CareDx’s second-quarter revenue rose 52% to $132 million, driven by a 61% increase in testing-services revenue and a 17% rise in testing volume to 58,000 tests. Adjusted EBITDA reached $25 million, while GAAP net income included a $113 million gain from selling the lab products business. The company raised its 2026 outlook to $490 million–$500 million in revenue and $66 million–$78 million in adjusted EBITDA, incorporating specialty oncology revenue from the NavDx acquisition and removing a previously expected $7.5 million Medicare coverage impact. CareDx is expanding its transplant diagnostics pipeline and integrating NavDx, while advancing AlloHeme and HistoMap toward future launches. Management said finalized Medicare coverage supports transplant surveillance testing and may create a future pathway for HistoMap. CareDx (NASDAQ:CDNA) reported second-quarter 2026 revenue growth of 52% as the transplant diagnostics company expanded testing services, completed the sale of its lab products business and began integrating the recently acquired NavDx specialty oncology platform. Total revenue rose to $132 million for the quarter ended June 30, including $100 million in testing-services revenue, $19 million from patient and digital solutions and $13 million from lab products. Testing-services revenue increased 61% year over year, while testing volume increased 17% to 58,000 tests. The company said testing-services revenue included $15.6 million of out-of-period revenue. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now CareDx reported non-GAAP gross margin of 74%, up from the prior year, and adjusted EBITDA of $25 million, or 19% of revenue, representing a $19 million increase. GAAP net income was $111 million, or $2.07 per diluted share, including a $113 million gain associated with the sale of the lab products business. The company ended the quarter with $374 million in cash and cash equivalents and no debt. Chief Operating Officer and Chief Financial Officer Keith Kennedy said CareDx raised its full-year 2026 revenue outlook to a range of $490 million to $500 million. At the $495 million midpoint, the forecast would represent 30% year-over-year growth. → 3 Value ETFs to Consider as Growth Stocks Lag Behind The company projected adjusted EBITDA of $66 million to $78 million, with a midpoint of $72 million, or about 15% of revenue. Guidance includes specialty oncology testing services in the second half following the July 1 closing of the NavDx acquisition. Full-year testing volume is expected to be between 258,000 and 266,000 tests. Testing-services revenue is expected to total approximately $400 million, including $24 million from specialty oncology. Patient and digital revenue is forecast at $72 million, while lab products revenue is expected to be $23 million, reflecting first-half activity. Non-GAAP gross margin is expected to range from 71% to 73%. Kennedy said the company removed a previously embedded $7.5 million potential impact from the Medicare Local Coverage Determination from its outlook after the policy was finalized. The LCD, effective at the end of August, affirms coverage for surveillance molecular testing in kidney, heart and lung transplantation, according to management. → 5 AI Stocks Are Pulling Back—Which Growth Catalysts Still Look Strongest? For the third quarter, CareDx’s midpoint guidance assumes 72,600 total tests, including 58,000 transplant tests and 14,600 specialty oncology tests. Fourth-quarter assumptions call for 76,300 total tests, including 60,000 transplant tests and 16,300 specialty oncology tests. President and Chief Executive Officer John Hanna said the company continues to see both surveillance and for-cause testing gain adoption in transplant care. During the question-and-answer session, Hanna said CareDx’s efforts to improve clinical workflows, blood draws, order submissions and result review have helped increase the average number of surveillance tests per patient during the first one and three years after transplantation. Hanna said for-cause testing also continues to expand, adding that CareDx remains “a little over 50%” in kidney testing for that use case. At the American Transplant Congress, CareDx data were featured in more than 30 abstracts and nine oral presentations across kidney, heart, lung and multi-organ transplantation, Hanna said. He highlighted a study of more than 1,100 kidney-transplant recipients from the KOAR registry, in which approximately 35% of patients with persistently elevated AlloSure levels experienced rejection and had a ninefold greater risk of graft loss compared with patients whose levels remained consistently low. The company also cited a separate KOAR analysis published in the Journal of the American Society of Nephrology involving more than 1,250 kidney-transplant recipients across 56 U.S. centers. Hanna said patients with elevated AlloSure levels had a nearly four- to sixfold greater risk of graft loss, with many elevations occurring before measurable kidney-function declines. The finalized Medicare policy also creates a potential future coverage pathway for HistoMap, CareDx’s molecular biopsy assessment offering, in cases where conventional biopsy findings are indeterminate or inconsistent with a patient’s clinical presentation, Hanna said. CareDx said it remains on track to complete Clinical Laboratory Improvement Amendments readiness activities for AlloHeme by year-end, supporting a planned 2027 commercial launch. AlloHeme is being developed as a recurrence-monitoring test for patients receiving cell therapy for acute myeloid leukemia and myelodysplastic syndromes. Investigators in the ACROBAT trial submitted an AlloHeme clinical-validation manuscript to a peer-reviewed journal during the second quarter. According to Hanna, the study found that AlloHeme predicted relapse a median of 41 days before clinical relapse was diagnosed. HistoMap Kidney is expected to launch in a clinical study this year, with broader commercial availability planned for 2027. CareDx cited recently published data from 138 kidney-transplant biopsy specimens in which the test differentiated high- and low-risk patients among those with a microvascular inflammation phenotype. The high-risk group had more than three times the graft-loss rate at six years compared with the low-risk group, according to the company. Following the July 1 acquisition close, CareDx has focused its NavDx integration efforts on commercial adoption, electronic workflow connectivity and revenue-cycle management. Hanna said NavDx adds a solid-tumor molecular residual disease platform in specialty oncology, particularly for HPV-driven head and neck cancers. Kennedy said CareDx expects specialty oncology volumes in the second half to increase about 30% from the prior year. He said the company is working to transition the business to its billing system and believes specialty oncology average selling prices could ultimately move toward $1,000 to $1,100, compared with midpoint assumptions of $770 in the third quarter and $795 in the fourth quarter. CareDx is also expanding the dedicated NavDx sales team, Hanna said, with the goal of reaching additional potential ordering providers and increasing testing utilization per patient. CareDx, Inc (NASDAQ: CDNA) is a precision diagnostics company focused on the care of transplant patients. The firm develops and commercializes non‐invasive tests designed to detect organ transplant rejection and infection risk, helping physicians make informed management decisions throughout the post‐transplant journey. The company's core product portfolio includes AlloMap®, a gene expression profiling test for heart transplant recipients, and AlloSure®, a donor‐derived cell‐free DNA assay used primarily in kidney transplant monitoring. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "CareDx Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

The market expects CareDx (CDNA) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on July 30, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This molecular diagnostics company is expected to post quarterly earnings of $0.22 per share in its upcoming report, which represents a year-over-year change of +120%. Revenues are expected to be $114.34 million, up 31.9% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For CareDx, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that CareDx will beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that CareDx would post earnings of $0.11 per share when it actually produced earnings of $0.34, delivering a surprise of +209.09%. Over the last four quarters, the company has beaten consensus EPS estimates two times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. CareDx doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Medical Services industry, Avantor, Inc. (AVTR), is soon expected to post earnings of $0.19 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of -20.8%. This quarter's revenue is expected to be $1.62 billion, down 3.5% from the year-ago quarter. The consensus EPS estimate for Avantor has been revised 0.1% higher over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +1.30%. When combined with a Zacks Rank of #2 (Buy), this Earnings ESP indicates that Avantor will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CareDx, Inc. (CDNA) : Free Stock Analysis Report Avantor, Inc. (AVTR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Management is streamlining the business model by divesting the Lab Products segment to focus exclusively on high-growth precision medicine testing and digital solutions. The acquisition of Navaris represents a disciplined entry into specialty oncology, targeting viral-mediated cancers where molecular monitoring is already reimbursed and embedded in specialist workflows. Organic growth in solid organ transplant is being driven by a shift toward 'for-cause' testing indications, which now account for approximately 50% of kidney testing volume. The company is aggressively pursuing workflow integration, targeting 50% of testing volume through Epic-integrated sites by year-end to reduce friction and improve protocol adherence. Strategic positioning in heart and lung markets is supported by large-scale real-world data from the SHORE and ALAMO registries, reinforcing molecular signals as a standard of care. The Vantics AI platform adds an intelligence layer to clinical decision-making by aggregating longitudinal molecular data with real-world clinical insights from large study databases. Revenue guidance for 2026 has been raised to $447 million to $465 million, assuming a 20% year-over-year increase at the midpoint. The Navaris business is expected to deliver 30% to 40% annual revenue growth over the next three years, driven primarily by volume expansion in head, neck, and anal cancers. Management anticipates the finalization or retirement of the MolDX draft LCD for transplant testing in late Q2 or early Q3 2026, consistent with standard CMS timelines. Financial modeling assumes a step-up in testing volume of approximately 1,700 tests in Q2 and 1,800 tests in Q4, reflecting historical seasonality and market trends. The company expects to realize up to a one-third reduction in Navaris' cost per test by applying CareDx's operational scale, automation, and supply chain leverage. The Lab Products divestiture will provide $170 million in upfront cash, significantly enhancing financial flexibility and supporting a $100 million share repurchase program. A $7.5 million negative revenue impact is modeled for 2026 to account for potential LCD pricing adjustments, though volume assumptions remain unaffected. The Navaris acquisition adds a tumor-naive platform with ADLT designation and $1,800 per-test reimbursement, currently covering approximately 100 million lives. Q1 results included a $2 million incremental bonus accrual due to performance exceeding internal plans, which is expected to continue quarterly through 2026. Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management clarified that $1.5 billion of the TAM is immediately accessible through Navaris' established channels in head, neck, and anal cancers. Growth will be accelerated by applying CareDx's expertise in repeat testing adherence and Epic workflow integration to the existing Navaris provider base. CareDx identifies a potential 33% reduction in cost per test for Navaris through automation, engineering support, and scaled procurement negotiations. The Navaris platform will be integrated into CareDx's existing Epic instance to 'turbocharge' commercial reach without significant incremental infrastructure costs. While national transplant volumes remain inconsistent, management is seeing growth in select centers focused on meeting IOTA program goals. The company emphasized that surveillance testing growth typically outpaces underlying transplant procedure growth because patients are monitored for multiple years post-surgery. The projected increase in the average accrual rate per test to $14.60 by year-end is driven by improved automation and revenue cycle management rather than Epic Aura uplift. Cash collections are currently exceeding revenue recognition, leading to significant 'out-of-period' revenue contributions that are expected to normalize throughout 2026. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.

CareDx (CDNA) came out with quarterly earnings of $0.34 per share, beating the Zacks Consensus Estimate of $0.11 per share. This compares to earnings of $0.09 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +209.09%. A quarter ago, it was expected that this molecular diagnostics company would post earnings of $0.24 per share when it actually produced earnings of $0.12, delivering a surprise of -50%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. CareDx, which belongs to the Zacks Medical Services industry, posted revenues of $117.7 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 7.31%. This compares to year-ago revenues of $84.68 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. CareDx shares have added about 16% since the beginning of the year versus the S&P 500's gain of 4.8%. While CareDx has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for CareDx was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.17 on $111.76 million in revenues for the coming quarter and $0.65 on $449.76 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical Services is currently in the bottom 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Cencora (COR), another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on May 6. This prescription drug distributor is expected to post quarterly earnings of $4.81 per share in its upcoming report, which represents a year-over-year change of +8.8%. The consensus EPS estimate for the quarter has been revised 0.1% higher over the last 30 days to the current level. Cencora's revenues are expected to be $80.62 billion, up 6.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CareDx, Inc. (CDNA) : Free Stock Analysis Report Cencora, Inc. (COR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

CareDx reported Q1 revenue up 39% YoY to $118 million, driven by a 48% rise in testing services and a 33% increase in patient/digital solutions; GAAP net income was $3 million and adjusted EBITDA was $19 million (up "300%+"), with testing volume of 54,900. The company is divesting its lab products business for $170 million upfront (≈$160M net after ~$10M expenses), expected to close by end of Q3, and has embedded $45–50M of product revenue and $3–9M of EBITDA in 2026 guidance assumptions. CareDx agreed to acquire Naveris to enter viral‑mediated cancers; Naveris’ TTMV assay has ADLT Medicare coverage with ~$1,800 reimbursement, ~130,000 commercial tests and estimated 2025 revenue of $34M, but its results are not included in 2026 guidance. Interested in CareDx, Inc.? Here are five stocks we like better. CareDx (NASDAQ:CDNA) reported first-quarter 2026 results showing faster growth in its core testing and patient services businesses, while outlining two major portfolio moves: the pending divestiture of its lab products business and an agreement announced on the call date to acquire Naveris. Total revenue grew 39% year over year to $118 million, driven by a 48% increase in testing services revenue and 33% growth in patient and digital solutions, according to Chief Operating Officer and Chief Financial Officer Keith Kennedy. Testing volume rose 17% to 54,900 tests. The company also posted GAAP net income of $3 million, or $0.05 per diluted share, and adjusted EBITDA of $19 million, which Kennedy said was up “300%+.” → Pipelines and Automation: 2 Energy Plays Built for Any Oil Price Kennedy said testing services revenue increased to $91 million in the quarter, or $1,660 per test as reported. He also highlighted that results included “out-of-period revenue” from collections on prior receivables. CareDx collected $14 million in excess of December 31 receivables, which Kennedy said contributed $260 per reported test; excluding that, revenue per test was $1,405. Non-GAAP gross margin improved to 73% in the quarter, while non-GAAP operating expenses were $69 million, or 59% of revenue, including about $2 million of incremental bonus accrual tied to performance “above plan,” Kennedy said. The company ended the quarter with $198 million in cash and cash equivalents and no debt. → Homebuilder Earnings: D.R. Horton Sticks Out as Pulte & NVR Sales Tank Cash collections increased 52% year over year to $121 million, and Kennedy said cash flow from operations was $4 million for the quarter and $72 million over the last four quarters. CareDx raised its 2026 revenue outlook to $447 million to $465 million and forecast adjusted EBITDA of $43 million to $57 million. At the midpoint, Kennedy said the updated ranges imply 20% revenue growth and a 58% increase in adjusted EBITDA year over year. → Meta Platforms Earnings Preview: What to Watch in Q1 2026 Report For the full year, the company expects testing volume of 224,000 to 229,000 tests. Kennedy described expected seasonality, modeling an increase of about 1,700 tests from Q1 to Q2, flat volumes from Q2 to Q3, and another step-up of about 1,800 tests from Q3 to Q4. At the midpoint of guidance, CareDx expects: Testing services revenue: $337 million to $351 million (25% growth at the midpoint) Patient digital revenue: $63 million to $66 million (13% growth at the midpoint) Product revenue: $45 million to $50 million (flat at the midpoint) Kennedy said CareDx expects revenue per test to increase 10% year over year to the midpoint of its guide, driven primarily by a higher average accrual rate. He also modeled out-of-period revenue of $7.5 million in Q2, $5 million in Q3, and none in Q4. The company also incorporated an expected Local Coverage Determination (LCD) impact: Kennedy said it is modeled as a negative to revenue—“not volume”—of $7.5 million in the second half of 2026. In Q&A, Chief Executive Officer John Hanna said the company continued to expect the MolDX-related LCD timing to be “mid-2026,” adding that based on the July 15 draft issuance date, CareDx anticipated it could arrive “sometime at the end of the second quarter or early third quarter.” Hanna said CareDx’s planned divestiture of its lab products business “simplifies the company” and sharpens focus on “precision medicine testing services and digital and patient solutions.” He noted the lab products unit includes manufacturing, regulatory, and commercial operations distinct from its U.S.-based testing services platform. Financially, Hanna said the transaction provides $170 million of upfront cash consideration at closing. Kennedy added that CareDx expects to net about $160 million after an estimated $10 million in transaction expenses, and the company expects the deal to close by the end of the third quarter. Kennedy also provided carve-out assumptions embedded in full-year guidance, noting that in Q1 the products business generated about $10 million of revenue and less than $1 million of adjusted EBITDA. For 2026 guidance purposes, CareDx assumes the products business generates $45 million to $50 million in revenue and contributes $3 million to $9 million in EBITDA, though he cautioned that results may vary based on the closing date and transition services. CareDx also announced an agreement to acquire Naveris, which Hanna described as a targeted expansion into viral-mediated cancers rather than “a move to broadly pursue MRD as a category.” Hanna said the addition is focused on a space where “longitudinal molecular monitoring is already reimbursed, embedded in specialty workflows, and aligned with how we operate our core business today.” Hanna said Naveris has performed more than 130,000 commercial tests, has roughly 2,000 active ordering physicians, and employs about 100 people. The test is covered for about 100 million lives, including Medicare, and has ADLT designation with “an $1,800 Medicare reimbursement per test,” he said. Naveris’ estimated unaudited 2025 revenue was $34 million, and Hanna said CareDx expects it to grow “by 30%-40% or greater over the next 3 years.” In Q&A, Kennedy added that Naveris’ revenue grew 75% from 2024 to 2025. Hanna said Naveris’ platform uses a “tumor tissue modified viral DNA, or TTMV,” approach and is “tumor-naive by design,” which means it does not require tumor tissue. He also cited a body of evidence including 56 peer-reviewed publications, and referenced a multicenter real-world observational study of 543 patients where the Naveris test showed a negative predictive value of 98% and a positive predictive value of 95% during post-treatment MRD surveillance. Hanna said the median lead time to identify recurrence was four months ahead of standard of care methods. Chief Medical Officer Dr. Jeffrey Teuteberg described how the test can fit into head and neck cancer workflows, including aiding diagnosis when biopsies are inconclusive and enabling longitudinal post-treatment monitoring aligned with guideline-recommended follow-up intervals. Teuteberg said the surveillance protocol includes quarterly testing in years one and two and semi-annual testing in years three through five—“a total of 14 tests per patient over the first 5 years post-treatment,” followed by annual testing thereafter. He added that Naveris is currently “the only Medicare-covered assay for HPV-positive head, neck, and anal cancer MRD.” On commercial execution, Hanna told analysts that Naveris already has an established channel into specialty providers, particularly ENTs and medical oncologists, and he said CareDx does not expect to build “a net new channel.” He said CareDx believes it can accelerate growth through repeat-testing expertise, workflow optimization, and Epic integration capabilities. He also said 70% of U.S. transplant centers use at least one CareDx patient or digital solution, and that broader solution adoption tends to embed CareDx into workflows and increase testing and revenue at those centers. CareDx did not include any Naveris contribution in its 2026 revenue guidance, Hanna confirmed in Q&A. CareDx, Inc (NASDAQ: CDNA) is a precision diagnostics company focused on the care of transplant patients. The firm develops and commercializes non‐invasive tests designed to detect organ transplant rejection and infection risk, helping physicians make informed management decisions throughout the post‐transplant journey. The company's core product portfolio includes AlloMap®, a gene expression profiling test for heart transplant recipients, and AlloSure®, a donor‐derived cell‐free DNA assay used primarily in kidney transplant monitoring. The article "CareDx Q1 Earnings Call Highlights" was originally published by MarketBeat.