NeoGenomics (NEO)
NASDAQ:NEO
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NeoGenomics
(NASDAQ:NEO)
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Rating:57Neutral
Price Target:
$9.50
▲(13.77% Upside)
Action:ReiteratedDate:04/29/26
The score is driven primarily by improving operational momentum from the earnings call (raised revenue guidance, EBITDA expansion, and strong NGS/product catalysts) and a manageable balance sheet. These positives are tempered by persistent GAAP losses and still-negative free cash flow, plus only moderate technical confirmation and limited valuation support given the negative P/E and no dividend yield.
Positive Factors
NGS-driven revenue mix shift
Rapid NGS growth (26% YoY) and NGS now ~1/3 of clinical revenue show a durable mix shift toward higher-value molecular testing. This accelerates revenue quality and recurring demand, supports higher AUPs, and provides structural tailwinds as oncology diagnostics adoption expands.
Negative Factors
Persistent GAAP losses and negative FCF
Despite top-line growth, the company records materially negative net margins (TTM net margin ~-15%) and historically negative free cash flow. Persistent losses and negative returns on equity can erode capital over time and increase reliance on external financing or dilution if profitability sustainability is not achieved.
Read all positive and negative factors
Positive Factors
Negative Factors
NGS-driven revenue mix shift
Rapid NGS growth (26% YoY) and NGS now ~1/3 of clinical revenue show a durable mix shift toward higher-value molecular testing. This accelerates revenue quality and recurring demand, supports higher AUPs, and provides structural tailwinds as oncology diagnostics adoption expands.
Read all positive factors
NeoGenomics (NEO) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.17B
Dividend YieldN/A
Average Volume (3M)1.87M
Price to Earnings (P/E)―
Beta (1Y)1.12
Revenue Growth10.95%
EPS Growth-26.52%
CountryUS
Employees2,200
SectorHealthcare
Sector Strength45
IndustryMedical - Diagnostics & Research
Share Statistics
EPS (TTM)-3.83
Shares Outstanding130,211,780
10 Day Avg. Volume2,257,039
30 Day Avg. Volume1,867,457
Financial Highlights & Ratios
PEG Ratio-0.08
Price to Book (P/B)0.36
Price to Sales (P/S)0.41
P/FCF Ratio-13.83
Enterprise Value/Market Cap0.42
Enterprise Value/Revenue0.66
Enterprise Value/Gross Profit1.58
Enterprise Value/Ebitda-15.07
Forecast
1Y Price Target
$14.94Price Target Upside78.89% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering12
EPS Forecast (FY)0.18
Revenue Forecast (FY)$800.28M
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 la...
How the Company Makes Money
NeoGenomics generates revenue primarily from laboratory testing and related oncology diagnostic services. A key revenue stream is clinical testing for patient care, where it performs cancer diagnostic and molecular tests ordered by healthcare prov...
NeoGenomics Key Performance Indicators (KPIs)
NeoGenomics Earnings Call Summary
Earnings Call Date:Apr 28, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 04, 2026
Earnings Call Sentiment Positive
The call conveyed a predominantly positive operational and financial trajectory: consistent double-digit top-line growth, strong NGS performance (+26% YoY) with favorable mix shift (NGS now ~1/3 of clinical revenue), adjusted EBITDA expansion (+27% YoY), early commercial and reimbursement wins (PanTracer MolDX approval, RaDaR ST launch), and an increase to full-year revenue guidance. Offsetting risks include a meaningful nonclinical decline (-15% YoY), first-quarter gross margin headwinds (–80 bps) from acquisition and pre-approval launch timing, freight/fuel cost pressure, payer coverage timing for new products, and the need to refinance a sizable convertible in 2028. On balance, the positive growth, margin recovery plans, product launches, and improved cash flow prospects outweigh the near-term headwinds.Positive Updates
Top-line Revenue Growth
Total Q1 revenue of $186.7M, up 11% year-over-year, exceeding guidance; clinical revenue $171.2M, up 14% year-over-year.
Negative Updates
Nonclinical Revenue Weakness
Nonclinical revenue declined 15% year-over-year to $15.5M, driven primarily by expected softness in pharma services despite double-digit growth in ODS; management expects nonclinical to be down low-to-mid single digits for 2026.
Read all updates
Q1-2026 Updates
Positive
Negative
Top-line Revenue Growth
Total Q1 revenue of $186.7M, up 11% year-over-year, exceeding guidance; clinical revenue $171.2M, up 14% year-over-year.
Read all positive updates
Company Guidance
NeoGenomics raised 2026 revenue guidance to $797–803 million (prior $793–801M), implying a $800M midpoint, and reiterated adjusted EBITDA guidance of $55–57 million (≈27–31% YoY growth); underlying assumptions include RaDaR ST revenue in the mid-single‑million range, PanTracer Liquid revenue in the mid-single‑millions following March MolDX approval, and nonclinical revenue down low‑ to mid‑single digits. The company delivered a Q1 base of $186.7M total revenue (+11% YoY) and $171.2M clinical (+14%), with volumes +6% and AUP +8% (same‑store revenue $167.9M, +12% driven by +3% volumes and +9% AUP); NGS revenue grew 26% and now represents ~1/3 of clinical. Q1 adjusted EBITDA was $9M (+27%) with adjusted EBITDA margin up ~60 bps, adjusted gross profit +$7M and adjusted gross margin 46% (down ~80 bps, with ~150 bps headwind from Pathline and pre‑MolDX PanTracer Liquid); full‑year gross margin expansion is expected to be ~100 bps. Management also guided quarterly cadence of ~9% YoY growth in Q2 (raised from 8–9%), 9–10% in Q3 and >10% in Q4, plans to add ~25 sales reps by Q3, ended Q1 with $146M cash and used $8.1M in operating cash, and plans to refinance the $342M convertible due Jan 2028 in H2.NeoGenomics Financial Statement Overview
Summary
Income Statement
48
Neutral
Balance Sheet
62
Positive
Cash Flow
44
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 745.97M | 727.33M | 660.57M | 591.64M | 509.73M | 484.33M |
| Gross Profit | 314.28M | 282.54M | 290.10M | 244.60M | 187.90M | 187.06M |
| EBITDA | -32.88M | 1.75M | -1.51M | -17.61M | -82.33M | -65.40M |
| Net Income | -99.21M | -108.03M | -78.73M | -87.97M | -144.25M | -8.35M |
Balance Sheet | ||||||
| Total Assets | 1.35B | 1.36B | 1.64B | 1.68B | 1.74B | 1.87B |
| Cash, Cash Equivalents and Short-Term Investments | 146.14M | 159.62M | 386.84M | 415.20M | 437.99M | 515.39M |
| Total Debt | 408.53M | 472.28M | 605.33M | 611.68M | 610.93M | 612.79M |
| Total Liabilities | 517.77M | 523.27M | 735.70M | 739.69M | 742.01M | 761.50M |
| Stockholders Equity | 828.76M | 836.56M | 902.34M | 941.54M | 998.02M | 1.11B |
Cash Flow | ||||||
| Free Cash Flow | -5.09M | -21.78M | -34.04M | -30.70M | -96.88M | -90.86M |
| Operating Cash Flow | 22.42M | 5.23M | 7.02M | -1.95M | -65.99M | -26.72M |
| Investing Cash Flow | -20.90M | -12.34M | 12.86M | 76.71M | 517.00K | -632.37M |
| Financing Cash Flow | -201.57M | -200.29M | 4.65M | 4.55M | 11.83M | 725.28M |
NeoGenomics Technical Analysis
Neutral
8.35
Price Trends
9.00
Negative
10.63
Negative
9.35
Negative
Market Momentum
-0.16
Negative
50.34
Neutral
73.21
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 8.35 is above the 20-day moving average (MA) of 7.92, below the 50-day MA of 9.00, and below the 200-day MA of 9.35, indicating a neutral trend. The MACD of -0.16 indicates Negative momentum. The RSI at 50.34 is Neutral, neither overbought nor oversold. The STOCH value of 73.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NEO.
NeoGenomics Risk Analysis
NeoGenomics disclosed 43 risk factors in its most recent earnings report. NeoGenomics reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
NeoGenomics Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
65 Neutral | $601.44M | -12.63 | -5.27% | ― | -2.06% | -169.07% | |
57 Neutral | $1.17B | -2.80 | -11.82% | ― | 10.95% | -26.52% | |
54 Neutral | $2.65B | -5.63 | -16.42% | ― | 19.44% | 82.94% | |
52 Neutral | $453.27M | -4.94 | -6.70% | ― | 9.54% | -79.16% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
49 Neutral | $405.18M | -3.09 | -109.09% | ― | -0.28% | -286.80% | |
45 Neutral | $860.81M | -3.94 | -16.78% | ― | -15.70% | -364.69% |
* Healthcare Sector Average
NEO
NeoGenomics
8.96
0.45
5.29%
MYGN
Myriad Genetics
4.29
0.04
0.94%
OPK
Opko Health
1.14
-0.12
-9.52%
FLGT
Fulgent Genetics
15.96
-4.16
-20.68%
CSTL
Castle Biosciences
19.83
2.79
16.37%
GRAL
GRAIL Inc
61.64
25.65
71.27%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.