CareDx (NASDAQ:CDNA) Announces Earnings Results, Misses Expectations By $0.12 EPS

CareDx (NASDAQ:CDNA) issued its quarterly earnings results on Tuesday. The company reported $0.12 EPS for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.12), FiscalAI reports. The business had revenue of $108.39 million for the quarter, compared to the consensus estimate of $102.76 million. CareDx had a return on equity of 20.15% and a net margin of 19.65%.The business’s revenue was up 25.2% compared to the same quarter last year. During the same quarter last year, the business posted $0.18 earnings per share.

Here are the key takeaways from CareDx’s conference call:

• Q4 revenue of $108.4 million (+25% y/y) and full‑year revenue of $379.8 million (+14% y/y), testing volume up 17% in Q4, ~69% non‑GAAP gross margin, positive adjusted EBITDA (Q4 $6.5M, FY $31.7M), roughly $201M cash and no debt, and ~$88M of share repurchases in 2025.
• Management highlighted multiple product launches and pipeline progress, including AlloSure Heart (pediatrics), AlloSure Plus, HistoMap Kidney and pivotal AlloHeme (ACROBAT) data that detected relapse a median 41 days earlier with 85% sensitivity/92% specificity and a planned commercial rollout in early 2027 targeting payer coverage in 2028.
• A draft Medicare Local Coverage Determination (LCD) could reduce annual revenue by about $15M; the company baked a conservative $7.5M (half‑year) hit into 2026 guidance and also expects a PLA code reimbursement cut that pushes blended revenue per test into the low $1,400s.
• Operations and cash collection improved materially—DSO improved from 71 to 41 days and 2025 cash collections rose ~32% to $405.6M—and the company is investing ~$10M in Epic Aura/Epic Enterprise LIMS integrations, which management says is already reducing login issues (~40%) and should improve order quality, billing and long‑term volume growth.

CareDx Stock Up 2.4%

Shares of NASDAQ:CDNA opened at $19.25 on Wednesday. The firm has a market capitalization of $990.03 million, a PE ratio of 16.18 and a beta of 2.51. The company has a 50-day moving average price of $19.68 and a two-hundred day moving average price of $16.74. CareDx has a twelve month low of $10.96 and a twelve month high of $22.95.

Trending Headlines about CareDx

Here are the key news stories impacting CareDx this week:

• Positive Sentiment: Q4 revenue beat and strong growth — CareDx reported revenue of $108.4M, up ~25% year‑over‑year and above consensus, highlighting solid demand across its transplant diagnostics business. CareDx Inc (CDNA) Q4 2025 Earnings Call Highlights
• Positive Sentiment: FY‑2026 revenue guidance raised/above consensus — CareDx provided FY‑2026 revenue guidance in a range (~$420M–$444M) that sits above street revenue consensus, which supports the growth narrative and likely underpins the positive market reaction. CareDx 2025 Q4 – Results – Earnings Call Presentation
• Neutral Sentiment: Management change — Keith Kennedy (current COO) will assume CFO responsibilities and oversee finance; investors will watch execution and whether this dual role is temporary or signals a broader reorganization. CareDx Announces Appointment of Keith Kennedy as COO and CFO
• Neutral Sentiment: Full earnings materials and call transcript available — management reiterated strategic priorities on the call and slide deck; read the transcript/slides for details on margin drivers and product/service cadence. CareDx Q4 2025 Earnings Call Transcript
• Negative Sentiment: EPS missed expectations — GAAP EPS of $0.12 fell well short of the ~$0.24 consensus; the earnings miss tempers the reaction to the revenue beat and raises questions about near‑term profitability and cost leverage. CareDx Q4 Earnings Miss Estimates (Zacks)
• Negative Sentiment: Profitability and near‑term EPS outlook remains a risk — despite revenue strength, consensus and company commentary point to pressured EPS for the current year, so investors should watch margins, reimbursement trends and cost discipline. CareDx Reports Q4 Earnings: Key Metrics (Zacks)

Insider Activity at CareDx

In related news, CEO John Walter Hanna, Jr. sold 19,280 shares of the firm’s stock in a transaction that occurred on Thursday, January 22nd. The shares were sold at an average price of $21.16, for a total value of $407,964.80. Following the completion of the transaction, the chief executive officer directly owned 597,405 shares of the company’s stock, valued at approximately $12,641,089.80. This trade represents a 3.13% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In the last 90 days, insiders have sold 29,636 shares of company stock worth $625,949. Corporate insiders own 4.40% of the company’s stock.

Institutional Investors Weigh In On CareDx

Several institutional investors have recently made changes to their positions in CDNA. Quarry LP bought a new position in shares of CareDx in the fourth quarter worth $25,000. Meeder Asset Management Inc. purchased a new stake in CareDx during the 4th quarter worth about $79,000. Quantbot Technologies LP bought a new position in CareDx in the 3rd quarter worth about $89,000. Tower Research Capital LLC TRC grew its holdings in CareDx by 120.6% during the 2nd quarter. Tower Research Capital LLC TRC now owns 7,608 shares of the company’s stock valued at $149,000 after buying an additional 4,160 shares in the last quarter. Finally, State of Wyoming purchased a new position in CareDx during the 4th quarter valued at about $155,000.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on the company. Wall Street Zen cut CareDx from a “buy” rating to a “hold” rating in a research note on Saturday, February 7th. Wells Fargo & Company raised their price objective on shares of CareDx from $14.00 to $18.00 and gave the stock an “equal weight” rating in a report on Monday, December 15th. Craig Hallum lowered shares of CareDx from a “buy” rating to a “hold” rating and set a $26.00 price objective on the stock. in a research report on Tuesday, January 6th. Zacks Research raised shares of CareDx from a “strong sell” rating to a “hold” rating in a research report on Tuesday, November 18th. Finally, BTIG Research raised their price target on shares of CareDx from $22.00 to $25.00 and gave the stock a “buy” rating in a research note on Thursday, November 6th. Three investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, CareDx currently has a consensus rating of “Hold” and an average price target of $26.67.

About CareDx

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.