NeoGenomics (NEO) AI Stock Analysis

• Market Cap: $953.63M
• Dividend Yield: N/A
• Average Volume (3M): 1.94M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.21
• Revenue Growth: 10.10%
• EPS Growth: 8.79%
• Country: US
• Employees: 2,200
• Sector: Healthcare
• Sector Strength: 47
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 0.00
• Shares Outstanding: 128,694,500
• 10 Day Avg. Volume: 2,042,330
• 30 Day Avg. Volume: 1,936,289
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -11.85
• Enterprise Value/Market Cap: 3.04
• Enterprise Value/Revenue: 1.11
• Enterprise Value/Gross Profit: 9.84
• Enterprise Value/Ebitda: -382.50
• 1Y Price Target: $13.19
• Price Target Upside: 78.24% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 51 Neutral
• Price Target: $7.00 ▼(-5.41%Downside)

NeoGenomics is experiencing growth in revenue and strategic expansion through acquisitions and board enhancements. However, profitability and cash flow challenges, along with bearish technical indicators, are significant concerns. The overall score reflects a cautious outlook with potential upside if operational efficiencies are realized and market conditions improve.

Positive Factors

Clinical Revenue

Clinical revenue showed growth, indicating a positive contribution to the overall revenue.

Management Strategy

Management highlighted actions such as increasing the community channel sales team by 25% and broadening NEO's testing menu while maintaining white glove service.

Market Expansion

The Pathline acquisition should improve turnaround times in the Northeast, enabling NEO to win new market share.

Negative Factors

Management Changes

The recent management changes, including the departure of the former CEO and appointment of a new CEO, raise the risk of further senior management turnover.

Market Competition

The NGS solid tumor CGP market is becoming more competitive, making a 25% growth expectation for 2025-26 unlikely to materialize.

Revenue Guidance

The growth outlook for NeoGenomics Inc. appears challenging with an overly aggressive guidance for 2025.

NeoGenomics Business Overview & Revenue Model

Company Description

NeoGenomics, Inc. operates a network of cancer-focused testing laboratories in the United States, Europe, and Asia. It operates through, Clinical Services and Pharma Services segments. The company offers testing services to hospitals, reference labs, pathologists, oncologists, clinicians, pharmaceutical firms, and researchers. It provides cytogenetics testing services to study normal and abnormal chromosomes and their relationship to diseases; fluorescence in-situ hybridization testing services that focus on detecting and locating the presence or absence of specific DNA sequences and genes on chromosomes; flow cytometry testing services to measure the characteristics of cell populations; and immunohistochemistry and digital imaging testing services to localize cellular proteins in tissue section, as well as to allow clients to visualize scanned slides, and perform quantitative analysis for various stains. The company also provides molecular testing services, which focus on the analysis of DNA and/or RNA, and the structure and function of genes at the molecular level; morphologic analysis, which is the process of analyzing cells under the microscope by a pathologist for the purpose of diagnosis; and testing services in support of its pharmaceutical clients' oncology programs covering discovery and commercialization, as well as acts as a reference laboratory supplying anatomic pathology testing services. It has a strategic alliance agreement and laboratory services agreement with Inivata Limited. The company was founded in 2001 and is headquartered in Fort Myers, Florida.

How the Company Makes Money

NeoGenomics generates revenue primarily through offering specialized diagnostic testing services to healthcare providers and pharmaceutical companies. The company's revenue model is based on laboratory service fees charged for each test conducted. This includes routine testing as well as more complex molecular and genetic tests. NeoGenomics also derives income from its pharmaceutical services segment, where it partners with pharmaceutical and biotech companies to support clinical trials and drug development through laboratory testing and consultative services. Key revenue streams include testing services for community-based pathology practices, hospitals, and health systems, as well as strategic collaborations with pharmaceutical companies for research and development projects. Significant factors contributing to its earnings include its expansive testing menu, advanced technological capabilities, and a strong focus on personalized medicine in oncology.

NeoGenomics Financial Statement Overview

Summary

NeoGenomics shows a growth trajectory with increasing revenues but struggles with profitability. High leverage and negative free cash flow highlight the need for improved operational efficiency.

Income Statement

NeoGenomics has shown a steady increase in total revenue over recent years, with a TTM revenue of $672 million, indicating a growth trajectory. However, persistent negative EBIT and net income indicate ongoing profitability challenges, with negative margins across gross, EBIT, and net profit. The company needs to focus on cost management and operational efficiency to achieve profitability.

Balance Sheet

The company maintains a healthy equity ratio with stockholders' equity representing a significant portion of total assets. However, the debt-to-equity ratio remains elevated, reflecting a reliance on debt financing. Positive equity growth is a strength, but the high leverage poses potential risks, particularly given the current lack of profitability.

Cash Flow

Operating cash flow remains positive in the TTM, an improvement from previous periods, although free cash flow is still negative due to high capital expenditures. The company has shown improvement in cash management, but achieving positive free cash flow is critical for long-term sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	672.36M	660.57M	591.64M	509.73M	484.33M	444.45M
Gross Profit	294.43M	290.10M	244.60M	187.90M	187.06M	185.89M
EBITDA	-93.00K	-1.51M	-17.61M	-82.33M	46.50M	34.85M
Net Income	-77.59M	-78.73M	-87.97M	-144.25M	-8.35M	4.17M
Balance Sheet
Total Assets	1.60B	1.64B	1.68B	1.74B	1.87B	988.33M
Cash, Cash Equivalents and Short-Term Investments	358.08M	386.84M	415.20M	437.99M	515.39M	296.26M
Total Debt	604.78M	605.33M	611.68M	610.93M	612.79M	218.22M
Total Liabilities	713.16M	735.70M	739.69M	742.01M	761.50M	294.04M
Stockholders Equity	888.27M	902.34M	941.54M	998.02M	1.11B	694.29M
Cash Flow
Free Cash Flow	-32.37M	-34.04M	-30.70M	-96.88M	-90.86M	-27.64M
Operating Cash Flow	7.61M	7.02M	-1.95M	-65.99M	-26.72M	1.46M
Investing Cash Flow	1.89M	12.86M	76.71M	517.00K	-632.37M	-159.44M
Financing Cash Flow	4.78M	4.65M	4.55M	11.83M	725.28M	235.60M

NeoGenomics Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NEO, the sentiment is Neutral. The current price of 7.4 is above the 20-day moving average (MA) of 7.29, below the 50-day MA of 7.73, and below the 200-day MA of 12.23, indicating a neutral trend. The MACD of -0.13 indicates Negative momentum. The RSI at 49.53 is Neutral, neither overbought nor oversold. The STOCH value of 67.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NEO.

NeoGenomics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CDNA	74 Outperform	$1.05B	16.92	21.57%	―	25.92%	―
CSTL	73 Outperform	$587.26M	30.59	-1.20%	―	38.43%	86.19%
OPK	52 Neutral	$1.05B	―	-3.04%	―	-13.79%	82.82%
FLGT	52 Neutral	$606.13M	―	-3.61%	―	1.71%	76.00%
NEO	51 Neutral	$953.63M	―	-8.57%	―	10.10%	8.79%
Sector *	46 Neutral	C$192.85M	-4.28	-8.56%	2.83%	13.52%	-1.74%
MYGN	45 Neutral	$509.74M	―	-13.84%	―	7.38%	60.45%

NeoGenomics Corporate Events

NeoGenomics Expands Board, Appoints New Director

On June 19, 2025, NeoGenomics, Inc. expanded its Board of Directors from nine to ten members and appointed Marjorie C. Green as a new director. Dr. Green, who is currently Senior Vice President and Head of Oncology, Global Clinical Development at Merck, brings extensive experience in oncology and business development. Her appointment is expected to enhance NeoGenomics’ strategic direction in the precision oncology market, aligning with the company’s mission to improve patient care.

The most recent analyst rating on (NEO) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on NeoGenomics stock, see the NEO Stock Forecast page.

NeoGenomics Approves Key Proposals at Annual Meeting

On May 22, 2025, NeoGenomics, Inc. held its annual stockholders meeting where several key proposals were approved. These included an amendment to the 2023 Equity Incentive Plan, which increased the number of shares authorized for issuance and established a minimum vesting period, among other changes. Additionally, the election of nine directors to the Board and the approval of executive compensation were confirmed. The stockholders also ratified the appointment of Deloitte & Touche LLP as the independent registered public accountant.

The most recent analyst rating on (NEO) stock is a Buy with a $19.00 price target. To see the full list of analyst forecasts on NeoGenomics stock, see the NEO Stock Forecast page.