Personalis (PSNL) AI Stock Analysis

• Market Cap: $535.61M
• Dividend Yield: N/A
• Average Volume (3M): 867.94K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: 0.36%
• EPS Growth: 22.13%
• Country: US
• Employees: 228
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): -0.23
• Shares Outstanding: 88,677,060
• 10 Day Avg. Volume: 842,275
• 30 Day Avg. Volume: 867,937
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.84
• Enterprise Value/Revenue: 5.61
• Enterprise Value/Gross Profit: 17.84
• Enterprise Value/Ebitda: -5.58
• 1Y Price Target: $7.21
• Price Target Upside: 19.37% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 52 Neutral
• Price Target: $5.00 ▼(-17.22% Downside)

Personalis faces significant financial challenges, including declining revenues and profitability issues, which weigh heavily on the overall score. While recent corporate events and potential growth in the MRD market provide some optimism, the stock's technical indicators and valuation remain concerning. The company's ability to improve its financial performance and capitalize on growth opportunities will be crucial for future stock performance.

Positive Factors

Partnership Expansion

The expanded agreement with Tempus AI to include colorectal cancer strengthens Personalis' market position in cancer diagnostics, enhancing its competitive advantage and potential revenue streams in a growing market.

VA Contract Task Order

Securing a new VA contract task order valued at $13.5 million solidifies Personalis' role in large-scale genomic research, providing a stable revenue source and reinforcing its strategic partnerships.

MRD Market Growth

The significant growth potential in the MRD market positions Personalis to capture a substantial share, driving long-term revenue growth and expanding its footprint in precision medicine.

Negative Factors

Revenue Decline

A 24% year-over-year revenue decline indicates challenges in maintaining market share and financial stability, potentially impacting long-term growth and operational efficiency.

Profitability Challenges

Ongoing profitability issues, with negative margins, highlight operational inefficiencies and the need for strategic improvements to achieve sustainable financial health.

Cash Flow Issues

Negative cash flow reflects challenges in generating sufficient cash to support operations and growth, necessitating a focus on improving cash generation capabilities.

Personalis Business Overview & Revenue Model

Company Description

Personalis, Inc. operates as a cancer genomics company worldwide. The company provides sequencing and data analysis services to support the development of cancer therapies and large-scale genetic research programs. It offers NeXT Platform, which provides data analysis for tumor and its immune microenvironment, from a single limited tissue or plasma sample; ImmunoID Next for tumor profiling from tissue; NeXT Liquid Biopsy for tumor profiling from plasma; NeXT Personal, a liquid biopsy offering for personalized tumor tracking for patients; NeXT Dx Test, a genomic cancer profiling test enabling composite biomarkers for cancer treatment; and NeXT SHERPA and NeXT NEOPS for neoantigen prediction capabilities. The company also provides ACE platform for clinical and therapeutic applications such as neoantigen prediction, biomarker identification, and novel drug target selection. It serves biopharmaceutical customers, universities, non-profits, and government entities. The company has partnership with Mayo Clinic; MapKure, LLC; SpringWorks Therapeutics, Inc.; and Moores Cancer Center. Personalis, Inc. was incorporated in 2011 and is headquartered in Menlo Park, California.

How the Company Makes Money

Personalis generates revenue primarily through its genomic sequencing services, which are utilized by pharmaceutical companies, academic institutions, and healthcare providers. The company offers a range of products and services, including whole exome and custom gene panel sequencing, as well as bioinformatics analysis. Key revenue streams include contracts with pharmaceutical companies for companion diagnostics and clinical trials, where Personalis provides genomic insights to support drug development. Additionally, the company has established partnerships with leading cancer centers and research institutions, contributing to its earnings through collaborative research projects and service agreements. Personalis also benefits from reimbursement for its services through health insurance providers, further enhancing its revenue model.

Personalis Financial Statement Overview

Summary

Personalis displays mixed financial health with strong equity positions, yet struggles with profitability and cash flow negativity. Revenue growth provides some optimism, but operational losses and cash flow issues are concerning. The company must strategically manage costs and leverage growth opportunities to improve financial performance.

Income Statement

The company shows a mixed performance on the income statement. The TTM (Trailing-Twelve-Months) Gross Profit Margin stands at 33.31%, which indicates a reasonable level of profitability, albeit with high operational costs reflected in negative EBIT and EBITDA margins. The Net Profit Margin is significantly negative at -98.10%, highlighting ongoing losses. Revenue growth is positive at 3.20% year-over-year, suggesting some potential for future revenue expansion despite current challenges.

Balance Sheet

Personalis maintains a solid balance sheet, with a Debt-to-Equity ratio of 0.21, indicating low leverage and financial stability. The Equity Ratio is strong at 75.88%, showing substantial equity funding. However, despite a positive Return on Equity of -40.54%, the company operates at a loss, impacting overall financial health.

Cash Flow

Cash flow analysis reveals challenges with negative free cash flow, though the Free Cash Flow to Net Income Ratio of 0.56 suggests some alignment between cash outflows and net loss. The Operating Cash Flow to Net Income Ratio at 0.51 indicates cash operations are not fully supporting net income, a risk factor for liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	80.32M	84.61M	73.48M	65.05M	85.49M	78.65M
Gross Profit	25.26M	26.82M	18.21M	13.35M	31.66M	20.11M
EBITDA	-80.80M	-70.30M	-96.81M	-104.64M	-59.01M	-34.05M
Net Income	-91.32M	-81.28M	-108.30M	-113.31M	-65.23M	-41.28M
Balance Sheet
Total Assets	258.68M	270.27M	225.10M	292.70M	396.53M	244.84M
Cash, Cash Equivalents and Short-Term Investments	173.23M	185.01M	114.18M	167.66M	287.06M	203.29M
Total Debt	42.44M	44.25M	48.96M	48.65M	52.80M	10.99M
Total Liabilities	67.85M	67.31M	95.66M	74.56M	86.23M	49.90M
Stockholders Equity	190.83M	202.96M	129.44M	218.14M	310.30M	194.94M
Cash Flow
Free Cash Flow	-49.18M	-46.75M	-67.17M	-120.13M	-81.91M	-45.90M
Operating Cash Flow	-44.89M	-45.15M	-56.26M	-70.23M	-70.83M	-42.65M
Investing Cash Flow	-81.28M	-35.07M	13.10M	52.54M	-60.07M	-65.14M
Financing Cash Flow	131.79M	114.67M	11.03M	1.37M	169.70M	121.27M

Personalis Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PSNL, the sentiment is Positive. The current price of 6.04 is above the 20-day moving average (MA) of 5.64, above the 50-day MA of 5.40, and above the 200-day MA of 5.01, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 61.66 is Neutral, neither overbought nor oversold. The STOCH value of 64.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PSNL.

Personalis Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FLGT	63 Neutral	691.46M	-13.54	-4.57%	―	4.31%	69.57%
CSTL	59 Neutral	658.78M	-63.85	-2.08%	―	20.40%	-165.41%
CDNA	58 Neutral	794.68M	14.62	15.79%	―	14.72%	―
PSNL	52 Neutral	$535.61M	―	-60.26%	―	0.36%	22.13%
MYGN	52 Neutral	716.44M	-1.80	-101.83%	―	3.83%	-137.31%
LAB	48 Neutral	496.59M	-4.06	-28.38%	―	13.17%	64.50%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Personalis Corporate Events

Personalis Secures New VA Contract Task Order

On August 19, 2025, Personalis, Inc. announced a new task order under its contract with the U.S. Department of Veterans Affairs for the Million Veteran Program, effective September 30, 2025, valued at up to $13.5 million. This order increases the cumulative value of task orders received by Personalis under its contracts with the VA MVP to approximately $225.0 million, highlighting the company’s significant role in this large-scale genomic research initiative.

Personalis Expands Agreement with Tempus AI for Cancer Test

On July 8, 2025, Personalis, Inc. and Tempus AI, Inc. amended their existing agreement to include colorectal cancer as a new indication for the NeXT Personal® test, alongside breast cancer, lung cancer, and immuno-oncology monitoring. The amendment extends the exclusivity period for marketing the test and modifies certain standstill restrictions, potentially strengthening Personalis’ market position in cancer diagnostics.