Natera (NASDAQ:NTRA) Announces Quarterly Earnings Results

Natera (NASDAQ:NTRA) posted its quarterly earnings data on Thursday. The medical research company reported ($0.47) earnings per share for the quarter, beating the consensus estimate of ($0.49) by $0.02, FiscalAI reports. Natera had a negative return on equity of 11.82% and a negative net margin of 7.11%.The business had revenue of $752.75 million for the quarter, compared to analysts’ expectations of $661.24 million. During the same period in the previous year, the firm posted ($0.74) EPS. The business’s revenue was up 37.7% on a year-over-year basis.

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

• Record quarter and raised outlook: Natera processed approximately 1.04 million tests and generated $753 million in Q2 revenue, up 38% year over year. Management raised its 2026 revenue guidance by $100 million at the midpoint to $2.85 billion–$2.91 billion while maintaining its OpEx outlook and expecting positive cash generation.
• Signatera momentum accelerated: Clinical oncology volumes rose 56% year over year to 283,000 units, including a record 34,000-unit sequential increase. Growth was attributed to commercial-team productivity, new patient starts, FDA and PMDA approvals, and an NCCN Category 1 recommendation for bladder cancer.
• Reimbursement and pricing offer longer-term upside: Signatera ASP increased to approximately $1,275, with management still targeting a mature ASP near $2,000. Seven MolDX submissions could add an estimated $150–$200 to ASP over the next 12–18 months, although those benefits are largely excluded from 2026 guidance.
• Product and international catalysts expanded: The enhanced Panorama prenatal test reduced the no-call rate to 0.5%, helping drive new account wins, while a broader Medicare policy for transplant surveillance should support Prospera volumes and ASPs in the second half. Natera also expects to launch Signatera in Japan later this year, pending pricing and reimbursement decisions.
• Investment and product mix continue to weigh on profitability: Natera is spending roughly $100 million in 2026 on early cancer detection and the FIND study, which currently generates no revenue. Gross-margin expansion was also constrained by higher volumes of recently launched products with unoptimized costs, though management expects related cost reductions over the next 12–18 months.

Natera Trading Up 21.4%

NASDAQ:NTRA traded up $56.72 during trading hours on Friday, reaching $322.10. 3,385,814 shares of the company traded hands, compared to its average volume of 1,072,972. The business’s 50-day moving average price is $254.03 and its two-hundred day moving average price is $223.79. Natera has a 1 year low of $149.38 and a 1 year high of $323.01. The stock has a market capitalization of $46.13 billion, a P/E ratio of -236.84 and a beta of 1.51.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on the company. TD Cowen raised their target price on Natera from $325.00 to $340.00 and gave the company a “buy” rating in a research note on Friday. Guggenheim increased their price objective on Natera from $270.00 to $290.00 and gave the stock a “buy” rating in a report on Monday, June 29th. Morgan Stanley raised their price objective on Natera from $250.00 to $310.00 and gave the company an “overweight” rating in a research report on Thursday, July 9th. Leerink Partners set a $330.00 target price on shares of Natera in a report on Friday. Finally, The Goldman Sachs Group initiated coverage on shares of Natera in a research report on Friday, June 5th. They issued a “neutral” rating and a $245.00 target price on the stock. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, Natera has a consensus rating of “Moderate Buy” and an average price target of $299.65.

Insider Transactions at Natera

In other Natera news, insider Solomon Moshkevich sold 3,410 shares of Natera stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $265.58, for a total value of $905,627.80. Following the completion of the transaction, the insider directly owned 129,019 shares of the company’s stock, valued at approximately $34,264,866.02. The trade was a 2.57% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Herm Rosenman sold 16,530 shares of the company’s stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $250.00, for a total transaction of $4,132,500.00. Following the completion of the transaction, the director owned 4,250 shares in the company, valued at approximately $1,062,500. This represents a 79.55% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 181,045 shares of company stock worth $41,330,968 over the last quarter. Corporate insiders own 5.05% of the company’s stock.

Institutional Trading of Natera

Institutional investors have recently added to or reduced their stakes in the business. Integrated Wealth Concepts LLC boosted its position in shares of Natera by 6.6% during the first quarter. Integrated Wealth Concepts LLC now owns 1,560 shares of the medical research company’s stock valued at $221,000 after buying an additional 96 shares during the last quarter. NewEdge Advisors LLC grew its stake in shares of Natera by 68.3% in the first quarter. NewEdge Advisors LLC now owns 4,552 shares of the medical research company’s stock worth $644,000 after acquiring an additional 1,847 shares during the period. Focus Partners Wealth raised its holdings in shares of Natera by 8.6% during the first quarter. Focus Partners Wealth now owns 5,993 shares of the medical research company’s stock valued at $847,000 after purchasing an additional 474 shares during the last quarter. Sivia Capital Partners LLC purchased a new position in shares of Natera during the second quarter valued at approximately $298,000. Finally, WINTON GROUP Ltd bought a new position in Natera during the second quarter valued at approximately $558,000. 99.90% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Natera

Here are the key news stories impacting Natera this week:

• Positive Sentiment: Revenue significantly exceeded expectations. Natera generated $752.8 million in second-quarter revenue, up 37.7% year over year and well above the $661.2 million analyst consensus. Gross margin also improved to 64.5% from 63.4% a year earlier. Natera Reports Second Quarter 2026 Financial Results
• Positive Sentiment: The quarterly loss narrowed. Natera reported a loss of $0.47 per share, compared with a $0.74-per-share loss in the prior-year quarter, and better than the $0.49 loss expected by analysts. The result suggests continued operating improvement despite the company remaining unprofitable. Natera Reports Q2 Loss and Beats Revenue Estimates
• Positive Sentiment: Management raised its fiscal 2026 revenue outlook to approximately $2.9 billion, above the roughly $2.8 billion consensus estimate. The higher guidance points to sustained momentum across Natera’s reproductive health, oncology, and transplant-testing businesses.
• Positive Sentiment: JPMorgan raised its price target on NTRA from $315 to $360 and maintained an “overweight” rating, signaling that the bank sees additional upside after the earnings beat. Benzinga
• Positive Sentiment: Natera submitted its Signatera bladder-cancer test to Japan’s PMDA for approval as a companion diagnostic. Clearance could expand the company’s international oncology market and create another source of long-term growth. Natera Submits Signatera to Japan’s PMDA
• Neutral Sentiment: Several executives sold shares under pre-arranged Rule 10b5-1 plans to cover tax withholding on vested equity awards. Because the sales were relatively small compared with their remaining holdings and were not discretionary open-market disposals, they provide limited negative information.
• Negative Sentiment: Natera remains unprofitable, and its very high valuation leaves the shares vulnerable to profit-taking if growth slows or future results fail to exceed elevated expectations. Commentary identifying NTRA as entering a potential profit-taking zone highlights this near-term risk. IBD 50 Stock Natera Profit-Taking Zone

Natera Company Profile

Natera is a global diagnostics company that develops and commercializes cell-free DNA and other genetic testing technologies for clinical applications. The company focuses on three principal areas: reproductive health (including non-invasive prenatal testing and carrier screening), oncology (tumor-informed assays for minimal residual disease and recurrence monitoring), and organ transplantation (cell-free DNA tests to detect allograft injury). Natera combines laboratory testing, proprietary bioinformatics, and clinical reporting to deliver personalized genetic information to clinicians and patients.

Key product offerings include Panorama, a non-invasive prenatal test that screens for fetal chromosomal abnormalities and select single-gene conditions; Horizon carrier screening for inherited conditions; Signatera, a personalized, tumor-informed assay used for detecting minimal residual disease and monitoring treatment response in cancer patients; and Prospera, a donor-derived cell-free DNA test used to assess the risk of organ rejection.