Guardant Health (GH) AI Stock Analysis

• Market Cap: $12.61B
• Dividend Yield: N/A
• Average Volume (3M): 2.27M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.37
• Revenue Growth: 30.38%
• EPS Growth: 24.17%
• Country: US
• Employees: 1,999
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): -0.74
• Shares Outstanding: 129,374,420
• 10 Day Avg. Volume: 2,092,918
• 30 Day Avg. Volume: 2,269,455
• PEG Ratio: 0.51
• Price to Book (P/B): -26.85
• Price to Sales (P/S): 5.07
• P/FCF Ratio: -13.64
• Enterprise Value/Market Cap: 0.68
• Enterprise Value/Revenue: 9.47
• Enterprise Value/Gross Profit: 14.85
• Enterprise Value/Ebitda: -24.13
• 1Y Price Target: $111.16
• Price Target Upside: 14.48% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 21
• EPS Forecast (FY): -3.09
• Revenue Forecast (FY): $968.60M

• Rating: 61 Neutral
• Price Target: $110.00 ▲(13.29% Upside)

Guardant Health's strong technical momentum and positive earnings call insights are offset by financial instability and valuation concerns. Strategic partnerships and recent corporate events provide a supportive backdrop for future growth, but profitability and financial health remain critical areas for improvement.

Positive Factors

Revenue Growth

Strong revenue growth indicates expanding market reach and successful product adoption, supporting long-term business sustainability.

Strategic Partnerships

Strategic partnerships enhance distribution channels and market penetration, potentially increasing revenue and market share.

Product Innovation

FDA approval of Shield as a primary screening option strengthens product portfolio and competitive edge in the diagnostics market.

Negative Factors

Financial Instability

High leverage and negative equity raise concerns about financial stability, limiting flexibility and increasing solvency risks.

Profitability Challenges

Persistent profitability issues indicate challenges in achieving sustainable operations, impacting long-term financial health.

Reimbursement Uncertainty

Reimbursement uncertainties could affect revenue stability and growth, posing risks to financial projections and market confidence.

Guardant Health Business Overview & Revenue Model

Company Description

Guardant Health (GH) is a precision oncology company that focuses on transforming cancer care through its innovative blood-based genomic tests. The company specializes in liquid biopsy technology, providing diagnostic insights for cancer patients and enabling oncologists to make informed treatment decisions. Guardant Health operates primarily in the healthcare sector, offering products such as Guardant360 and GuardantOMNI, which analyze circulating tumor DNA to detect genetic mutations and inform personalized therapy options.

How the Company Makes Money

Guardant Health generates revenue primarily through the sale of its genomic testing services. The main revenue stream comes from fees charged for the Guardant360 and GuardantOMNI tests, which are utilized by healthcare providers to guide treatment for cancer patients. Additionally, the company collaborates with pharmaceutical companies in clinical trials to provide genomic insights, which can lead to further revenue through partnerships and agreements. Guardant Health also engages in research and development activities, which may lead to new product offerings and additional revenue opportunities. The company's reimbursement framework, where tests are covered by insurance providers, further supports its financial model by ensuring a broader market access for its services.

Guardant Health Financial Statement Overview

Summary

Guardant Health faces significant financial challenges, with negative net profit and EBIT margins, high leverage, and negative equity. Despite revenue growth and a strong gross profit margin, the company's financial instability and cash flow issues weigh heavily on its financial health.

Income Statement

Guardant Health's income statement reveals a mixed performance. The company has shown revenue growth, with a TTM increase of 8.89%. However, profitability remains a significant concern, as evidenced by negative net profit margins (-49.93%) and EBIT margins (-49.43%). The gross profit margin is relatively strong at 62.84%, indicating efficient cost management at the gross level, but the high operating losses suggest challenges in scaling operations profitably.

Balance Sheet

The balance sheet highlights financial instability, with a negative stockholders' equity and a high debt-to-equity ratio of -4.37 in the TTM period, indicating high leverage and potential solvency issues. The return on equity is positive at 2.19%, but this is due to negative equity, which is not a sustainable position. The equity ratio is negative, further underscoring the financial risk.

Cash Flow

Cash flow analysis shows some resilience, with a free cash flow to net income ratio of 1.14, indicating that the company is generating cash relative to its net losses. However, the operating cash flow is negative, and free cash flow growth is slightly negative at -3.49%, reflecting ongoing cash burn and the need for improved cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	902.57M	739.02M	563.95M	449.54M	373.65M	286.73M
Gross Profit	575.46M	449.22M	336.90M	293.21M	250.74M	194.19M
EBITDA	-354.11M	-390.12M	-433.31M	-614.91M	-359.62M	-225.07M
Net Income	-398.79M	-436.37M	-479.45M	-654.59M	-405.67M	-253.78M
Balance Sheet
Total Assets	1.28B	1.49B	1.79B	1.61B	2.20B	2.27B
Cash, Cash Equivalents and Short-Term Investments	580.01M	839.98M	1.17B	1.01B	932.75M	1.79B
Total Debt	1.33B	1.34B	1.35B	1.37B	1.37B	854.49M
Total Liabilities	1.63B	1.63B	1.63B	1.55B	1.56B	916.19M
Stockholders Equity	-354.47M	-139.65M	158.68M	60.18M	645.00M	1.30B
Cash Flow
Free Cash Flow	-262.23M	-274.94M	-345.46M	-386.92M	-284.05M	-157.99M
Operating Cash Flow	-222.90M	-239.86M	-324.98M	-309.46M	-209.02M	-103.93M
Investing Cash Flow	288.39M	-261.31M	840.25M	149.82M	-63.16M	-617.09M
Financing Cash Flow	-63.83M	-996.00K	477.38M	-189.09M	-66.82M	1.41B

Guardant Health Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 97.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GH, the sentiment is Positive. The current price of 97.1 is below the 20-day moving average (MA) of 103.89, above the 50-day MA of 91.35, and above the 200-day MA of 60.00, indicating a neutral trend. The MACD of 1.57 indicates Positive momentum. The RSI at 51.30 is Neutral, neither overbought nor oversold. The STOCH value of 16.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GH.

Guardant Health Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
QGEN	77 Outperform	$9.80B	24.39	11.29%	3.36%	5.32%	336.29%
NTRA	73 Outperform	$31.19B	-98.39	-29.02%	―	38.17%	-28.77%
EXAS	70 Outperform	$19.28B	-19.07	-34.54%	―	14.47%	-353.69%
RVTY	67 Neutral	$10.97B	48.39	3.04%	0.29%	3.37%	-18.80%
RDNT	67 Neutral	$5.51B	-401.57	-1.30%	―	11.09%	-165.89%
GH	61 Neutral	$12.61B	-30.22	―	―	30.38%	24.17%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Guardant Health Corporate Events

Guardant Health Completes $402.5M Convertible Notes Offering

On November 4, 2025, Guardant Health entered into an underwriting agreement for a public offering of 3,833,332 shares of common stock at $90 per share, raising approximately $327.2 million. The proceeds will be used for general corporate purposes, potentially including repurchasing a portion of the company’s convertible senior notes due 2027. Additionally, on November 7, 2025, Guardant Health completed a private offering of $402.5 million in convertible senior notes due 2033, with proceeds also intended for general corporate purposes. These financial moves are expected to strengthen Guardant Health’s operational capabilities and market positioning.

Guardant Health Hosts Investor Day in NYC

Guardant Health, Inc. announced it will host an Investor Day on September 24, 2025, in New York City, featuring presentations from its co-CEOs and executive team to discuss the company’s operations, strategic priorities, and financial outlook. This event is expected to provide stakeholders with valuable insights into the company’s future direction and market positioning.

Guardant Health Expands Board, Appoints Alex Azar

On September 12, 2025, Guardant Health expanded its Board of Directors to 11 members, appointing Alex M. Azar II, former U.S. Secretary of Health and Human Services, as a Class III director. Azar’s extensive experience in both government and the private sector is expected to provide valuable insights as Guardant Health continues to innovate in precision oncology and expand access to its cancer detection and management technologies.