CareDx (NASDAQ:CDNA) Shares Gap Down on Disappointing Earnings

Shares of CareDx, Inc. (NASDAQ:CDNA) gapped down prior to trading on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $19.25, but opened at $17.08. CareDx shares last traded at $17.6310, with a volume of 325,343 shares.

The company reported $0.12 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.12). The business had revenue of $108.39 million during the quarter, compared to analyst estimates of $102.76 million. CareDx had a net margin of 19.65% and a return on equity of 20.15%. The business’s quarterly revenue was up 25.2% compared to the same quarter last year. During the same period last year, the business earned $0.18 EPS.

CareDx News Summary

Here are the key news stories impacting CareDx this week:

• Positive Sentiment: Q4 revenue topped Street estimates and showed robust year‑over‑year growth (quarterly revenue ~$108.4M, ~25% YoY), supporting the company’s top‑line momentum. CareDx Q4 2025 Highlights
• Positive Sentiment: Management updated FY‑2026 revenue guidance to a range (~$420M–$444M) that sits above consensus (~$417.5M), which likely helped sentiment despite the EPS miss.
• Positive Sentiment: Leadership move: COO Keith Kennedy will also assume CFO responsibilities, giving investors clarity on finance leadership during the transition. BusinessWire: CFO Appointment
• Neutral Sentiment: Company released the full earnings presentation and call transcript/slides — useful for modeling but not market-moving by itself. Earnings Presentation
• Negative Sentiment: Q4 EPS missed consensus: reported $0.12 vs. consensus ~$0.24, which disappointed earnings-focused investors and pressured margins/earnings durability questions. Zacks: Q4 Earnings Miss
• Negative Sentiment: Some transcripts/reporting show conflicting EPS figures (one transcript cites an adjusted/GAAP discrepancy with a negative EPS figure), adding short‑term uncertainty around reported metrics and adjustments. Earnings Call Transcript

Analysts Set New Price Targets

Several equities analysts recently commented on the stock. Zacks Research upgraded shares of CareDx from a “strong sell” rating to a “hold” rating in a research note on Tuesday, November 18th. Wells Fargo & Company boosted their price objective on shares of CareDx from $18.00 to $21.00 and gave the stock an “equal weight” rating in a report on Wednesday. BTIG Research upped their price objective on shares of CareDx from $22.00 to $25.00 and gave the company a “buy” rating in a research report on Thursday, November 6th. Craig Hallum cut shares of CareDx from a “buy” rating to a “hold” rating and set a $26.00 target price for the company. in a research note on Tuesday, January 6th. Finally, Wall Street Zen lowered CareDx from a “buy” rating to a “hold” rating in a research note on Saturday, February 7th. Three equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $27.17.

Insider Activity at CareDx

In other news, CEO John Walter Hanna, Jr. sold 19,280 shares of CareDx stock in a transaction dated Thursday, January 22nd. The shares were sold at an average price of $21.16, for a total transaction of $407,964.80. Following the sale, the chief executive officer directly owned 597,405 shares in the company, valued at approximately $12,641,089.80. The trade was a 3.13% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Over the last ninety days, insiders have sold 29,636 shares of company stock worth $625,949. 4.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. Hood River Capital Management LLC raised its holdings in shares of CareDx by 11.5% in the 2nd quarter. Hood River Capital Management LLC now owns 1,765,981 shares of the company’s stock worth $34,507,000 after buying an additional 182,025 shares in the last quarter. Envestnet Asset Management Inc. grew its position in CareDx by 17.7% in the second quarter. Envestnet Asset Management Inc. now owns 22,489 shares of the company’s stock valued at $439,000 after acquiring an additional 3,389 shares during the period. SG Capital Management LLC bought a new stake in CareDx in the second quarter valued at $6,171,000. Geode Capital Management LLC raised its stake in CareDx by 3.4% during the second quarter. Geode Capital Management LLC now owns 1,323,497 shares of the company’s stock worth $25,864,000 after acquiring an additional 43,074 shares in the last quarter. Finally, Zweig DiMenna Associates LLC bought a new position in shares of CareDx during the second quarter valued at $4,428,000.

CareDx Stock Performance

The company’s 50 day moving average price is $19.68 and its 200 day moving average price is $16.74. The company has a market cap of $924.56 million, a price-to-earnings ratio of 15.03 and a beta of 2.51.

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.