Peeling Back The Layers: Exploring Natera Through Analyst Insights

In the latest quarter, 9 analysts provided ratings for Natera NTRA, showcasing a mix of bullish and bearish perspectives.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $137.67, a high estimate of $150.00, and a low estimate of $120.00. This upward trend is apparent, with the current average reflecting a 6.0% increase from the previous average price target of $129.88.

Exploring Analyst Ratings: An In-Depth Overview

The standing of Natera among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Natera. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Natera compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Natera's stock. This examination reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Natera's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Natera analyst ratings.

Delving into Natera's Background

Natera Inc is a diagnostic and research company with proprietary molecular and bioinformatics technology. The company's key product offerings include its Panorama Non-Invasive Prenatal Test (NIPT) which screens for chromosomal abnormalities of a fetus as well as in twin pregnancies, typically with a blood draw from the mother, Horizon Carrier Screening (HCS) to determine carrier status for a large number of severe genetic diseases that could be passed on to the carrier's children, Signatera molecular residual disease (MRD) test, which detects circulating tumor DNA in patients previously diagnosed with cancer to assess molecular residual disease and monitor for recurrence; and Prospera, to assess organ transplant rejection.

Understanding the Numbers: Natera's Finances

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Natera's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 58.13%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Health Care sector.

Net Margin: Natera's net margin is impressive, surpassing industry averages. With a net margin of -9.06%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of -4.59%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Natera's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -2.51%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Natera's debt-to-equity ratio is below the industry average. With a ratio of 0.52, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

How Are Analyst Ratings Determined?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.