Veracyte (NASDAQ:VCYT) Stock Rating Cut to Hold at Wolfe Research

Wolfe Research lowered shares of Veracyte (NASDAQ:VCYT) from a strong-buy rating to a hold rating in a research report report published on Friday morning,Zacks reports.

A number of other equities research analysts have also recently commented on the stock. Stephens lowered their price objective on shares of Veracyte from $68.00 to $55.00 and set an “overweight” rating on the stock in a research note on Tuesday, August 4th. Morgan Stanley cut their target price on shares of Veracyte from $47.00 to $44.00 and set an “underweight” rating for the company in a research report on Tuesday, August 4th. Leerink Partners downgraded shares of Veracyte from an “outperform” rating to a “market perform” rating and reduced their price target for the company from $55.00 to $35.00 in a report on Thursday. Needham & Company LLC lowered their price target on shares of Veracyte from $69.00 to $46.00 and set a “buy” rating on the stock in a research report on Thursday. Finally, Canaccord Genuity Group lowered their price target on shares of Veracyte from $60.00 to $50.00 and set a “hold” rating on the stock in a research report on Monday, August 3rd. Six research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Veracyte presently has an average rating of “Hold” and a consensus price target of $51.40.

Veracyte Stock Performance

Veracyte stock traded up $0.16 during trading hours on Friday, reaching $24.16. 6,580,555 shares of the stock were exchanged, compared to its average volume of 1,170,560. The stock has a market cap of $1.94 billion, a P/E ratio of 15.59 and a beta of 1.98. Veracyte has a 52-week low of $21.91 and a 52-week high of $60.91. The firm’s 50 day moving average is $44.07 and its 200 day moving average is $42.87.

Veracyte (NASDAQ:VCYT) last released its quarterly earnings data on Wednesday, November 4th. The biotechnology company reported $0.51 EPS for the quarter, topping analysts’ consensus estimates of $0.41 by $0.10. The firm had revenue of $151.75 million for the quarter, compared to the consensus estimate of $147.13 million. Veracyte had a net margin of 20.37% and a return on equity of 9.26%. The firm’s revenue was up 15.1% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.51 earnings per share. Equities research analysts expect that Veracyte will post 1.32 EPS for the current fiscal year.

Insider Activity

In other Veracyte news, Director Jens Holstein sold 7,500 shares of the firm’s stock in a transaction dated Tuesday, October 27th. The stock was sold at an average price of $50.00, for a total value of $375,000.00. Following the sale, the director directly owned 27,471 shares of the company’s stock, valued at approximately $1,373,550. This trade represents a 21.45% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Karin Eastham sold 14,850 shares of Veracyte stock in a transaction dated Tuesday, October 27th. The shares were sold at an average price of $50.00, for a total value of $742,500.00. Following the completion of the sale, the director owned 10,247 shares of the company’s stock, valued at $512,350. This trade represents a 59.17% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 62,609 shares of company stock valued at $2,858,904 in the last three months. Company insiders own 1.60% of the company’s stock.

Institutional Investors Weigh In On Veracyte

Hedge funds have recently modified their holdings of the stock. Eurizon Capital SGR S.p.A. acquired a new position in Veracyte during the third quarter worth approximately $34,000. Integrated Wealth Concepts LLC purchased a new position in Veracyte during the second quarter worth approximately $44,000. Allworth Financial LP acquired a new position in shares of Veracyte in the 2nd quarter valued at $50,000. Meeder Asset Management Inc. acquired a new position in shares of Veracyte in the 1st quarter valued at $62,000. Finally, Northwestern Mutual Wealth Management Co. acquired a new position in shares of Veracyte in the 2nd quarter valued at $62,000.

Veracyte News Summary

Here are the key news stories impacting Veracyte this week:

• Positive Sentiment: Veracyte reported Q3 adjusted EPS of $0.51, ahead of estimates, and revenue of $151.75 million, up 15.1% year over year and above consensus. Veracyte tops Q3 earnings and revenue estimates
• Positive Sentiment: The company authorized a share buyback plan, which could provide some support for the stock, though the provided report does not specify its size or timing. Veracyte authorizes a buyback plan
• Negative Sentiment: The main concern is Veracyte’s reduced 2026 revenue outlook, tied to slower-than-expected growth in Decipher Prostate volumes. Management also cited increased investment in breast and bladder cancer tests, potentially weighing on near-term margins and growth. Q3 call highlights slower growth and added investment
• Negative Sentiment: Analyst sentiment weakened after the outlook cut: Leerink Partners downgraded VCYT to Market Perform from Outperform and lowered its price target to $35 from $55. Needham also reduced its target, to $46 from $69, while retaining a Buy rating. Veracyte downgraded after guidance cut
• Negative Sentiment: Several law firms announced investigations into potential securities claims following the company’s disclosures and sharp share-price decline. These are investigations, not findings of wrongdoing, but may add uncertainty for investors. Shareholder investigation notice

Veracyte Company Profile

Veracyte, Inc is a diagnostics company that develops genomic tests to help physicians diagnose cancer, assess disease risk and guide treatment decisions. Its tests are designed to provide additional molecular information from patient samples, often helping reduce uncertainty and support more personalized care.

The company’s portfolio includes Afirma tests for thyroid nodules, Decipher tests for prostate cancer, Percepta tests for lung cancer and Envisio tests for breast cancer. Veracyte also develops and commercializes additional genomic assays intended for use across various cancer types and clinical settings.

Founded in 2008 and headquartered in South San Francisco, California, Veracyte primarily serves the U.S.