GeneDx Holdings Corp. WGS is slated to report its first-quarter 2026 results on May 4, after the market closes.
The renowned genetic testing company reported adjusted earnings per share (EPS) of 14 cents in the last reported quarter, topping the Zacks Consensus Estimate by 27.27%. GeneDx surpassed estimates in each of the trailing four quarters, the average surprise being 164.21%.
Q1 Estimates for WGS
The Zacks Consensus Estimate for GeneDx’s first-quarter 2026 revenues is pegged at $110.5 million. This suggests a 26.9% rise from the year-ago reported figure.
The Zacks Consensus Estimate for its first-quarter 2026 loss per share stands at 6 cents, compared to the year-ago quarter’s EPS of 28 cents.
Estimate Revision Trend Ahead of GeneDx’s Q1 Earnings
Estimates for GeneDx’s first-quarter loss have remained constant at 6 cents per share in the past 60 days.
Here’s a brief overview of the company’s progress ahead of this announcement.
Factors at Play
Building on a strong finish to 2025, GeneDx is likely to have extended the exome and genome momentum in the first quarter. The company continues to emphasize balancing high growth and profitability to address the large unmet needs in genetic diagnosis. Throughout last year, exome and genome test volumes steadily accelerated, and the company also saw geneticists increasingly shift toward whole genome, signaling a need to generate deeper data for their hardest-to-diagnose patients.
The FDA granted breakthrough device designation to the ExomeDx and GenomeDx tests, both powered by the GeneDx Infinity — the largest and most diverse rare-disease dataset composed of more than 2.5 million rare genetic tests, more than 1 million exomes and genomes and above 8 million phenotypic data points. All these factors are expected to have positively supported the company’s top-line performance. Meanwhile, reimbursement variations for exome and genome have likely stayed in the first quarter due to mix dynamics in the outpatient setting.
GeneDx Holdings Corp. Price and EPS Surprise
GeneDx Holdings Corp. price-eps-surprise | GeneDx Holdings Corp. Quote
The company is also likely to have continued to benefit from multiple growth levers, including driving higher utilization among existing clinicians and introducing its tests to new markets. The foundational markets — geneticists and pediatric specialists — accounted for the most growth in the fourth quarter. GeneDx’s first-mover position, focused sales strategy, strong product portfolio, geneticist endorsements and experienced market access teams across the four newer U.S. markets — prenatal, NICU, adult specialists and general pediatricians — are likely to have provided a solid boost to the quarter’s revenues.
We also expect the company’s gross margin to have remained strong in the first quarter of 2026, reflecting its ability to lower the cost curve with scale over time.
Earnings Whispers for WGS Stock
Per our proven model, stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, have a higher chance of beating estimates, which is not the case here, as you can see below:
WGS’ Earnings ESP: GeneDx has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
WGS’ Zacks Rank: The company currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Top MedTech Picks
Here are some medical stocks worth considering, as these have the right combination of elements to post an earnings beat this time:
Agenus AGEN has an Earnings ESP of +7.69% and a Zacks Rank #1. The company is expected to release first-quarter 2026 results soon.
In the trailing four quarters, AGEN delivered an average surprise of 31.42%. The Zacks Consensus Estimate implies that the company’s first-quarter EPS will increase 289.3% from the year-ago quarter’s figure.
Encompass Health EHC has an Earnings ESP of +0.17% and a Zacks Rank #2. The company is slated to release first-quarter 2026 results on April 30.
EHC’s earnings beat estimates in each of the trailing four quarters, the average surprise being 12.09%. The Zacks Consensus Estimate suggests that EHC’s first-quarter EPS will rise 10.2% from the year-ago reported figure.
The Ensign Group ENSG has an Earnings ESP of +1.12% and a Zacks Rank #2. The company is expected to release first-quarter 2026 results soon.
ENSG’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 2.93%. The Zacks Consensus Estimate for the company’s first-quarter EPS calls for an increase of 17.8% from the year-ago quarter’s figure.
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Agenus Inc. (AGEN): Free Stock Analysis Report
The Ensign Group, Inc. (ENSG): Free Stock Analysis Report
Encompass Health Corporation (EHC): Free Stock Analysis Report
GeneDx Holdings Corp. (WGS): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).