GRAIL (NASDAQ:GRAL) Issues Earnings Results

GRAIL (NASDAQ:GRAL) issued its earnings results on Wednesday. The company reported ($2.21) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($2.45) by $0.24, FiscalAI reports. GRAIL had a negative net margin of 236.95% and a negative return on equity of 15.88%. The company had revenue of $37.53 million during the quarter, compared to analysts’ expectations of $44.21 million.

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

• Galleri received a favorable FDA advisory committee vote, with GRAIL expecting an FDA decision by early Q1 2027. The company said discussions with the FDA are active, including label negotiations, but no decision date has been provided.
• GRAIL highlighted clinical results showing Galleri detected 4–6.5 times more cancers when added to standard screening, with nearly half of detected cancers at stages 1 or 2; it also reported a 20% reduction in stage 4 diagnoses for a prespecified group of 12 cancers. However, the NHS-Galleri trial did not show a reduction in the combined incidence of stage 3 and 4 cancers.
• Test volume rose 24% year over year in Q3 and 36% in the first nine months, with the company citing provider activation and reactivation. GRAIL is expanding sales, health-system integrations and marketing, while using promotional pricing to encourage demand ahead of a potential FDA decision.
• Q3 revenue increased just 4% to $37.5 million despite 24% volume growth, as lower average selling prices weighed on results. Adjusted gross margin fell to 42% from 55%, adjusted EBITDA loss widened 29%, and GRAIL lowered full-year Galleri sales revenue growth guidance to 17%–21%; the Illumina royalty is also expected to resume in late December.
• GRAIL ended the quarter with $788.7 million in cash and said its cash position provides runway into 2029; its 2026 cash-burn guidance of no more than $300 million was unchanged.

GRAIL Stock Performance

NASDAQ GRAL traded up $4.22 during trading hours on Wednesday, reaching $143.66. The company’s stock had a trading volume of 755,261 shares, compared to its average volume of 974,166. The stock has a market cap of $6.42 billion, a PE ratio of -14.73 and a beta of 2.86. GRAIL has a fifty-two week low of $41.50 and a fifty-two week high of $166.48. The company’s 50-day moving average is $115.58 and its two-hundred day moving average is $79.12.

Insider Buying and Selling at GRAIL

In other GRAIL news, insider Andrew Partridge sold 7,873 shares of the company’s stock in a transaction dated Monday, October 5th. The shares were sold at an average price of $146.39, for a total value of $1,152,528.47. Following the sale, the insider owned 155,865 shares of the company’s stock, valued at $22,817,077.35. This represents a 4.81% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Aaron Freidin sold 23,619 shares of the stock in a transaction that occurred on Monday, October 5th. The shares were sold at an average price of $146.39, for a total transaction of $3,457,585.41. Following the completion of the sale, the chief financial officer owned 225,364 shares in the company, valued at $32,991,035.96. This represents a 9.49% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 129,944 shares of company stock worth $14,832,805. 1.83% of the stock is owned by corporate insiders.

Analysts Set New Price Targets

Several brokerages have recently commented on GRAL. Guggenheim boosted their price target on GRAIL from $75.00 to $155.00 and gave the stock a “buy” rating in a research note on Thursday, October 1st. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of GRAIL in a research note on Thursday, October 15th. Robert W. Baird raised their price objective on GRAIL from $96.00 to $118.00 and gave the company an “outperform” rating in a research note on Tuesday, September 22nd. TD Cowen lifted their price objective on GRAIL from $88.00 to $180.00 and gave the stock a “buy” rating in a report on Tuesday, October 13th. Finally, UBS Group lifted their price objective on GRAIL from $105.00 to $175.00 and gave the stock a “buy” rating in a report on Friday, October 2nd. Five research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $119.80.

About GRAIL

GRAIL, Inc (NASDAQ: GRAL) is a healthcare company focused on developing blood-based screening technologies for the early detection of cancer. Its principal product is Galleri, a multi-cancer early detection test designed to identify DNA patterns associated with multiple types of cancer from a single blood sample.

Galleri is intended for use alongside recommended cancer screenings and is available by prescription through qualified healthcare providers in the United States. The test is offered as a laboratory-developed test and has not been approved or cleared by the U.S.