Why NeoGenomics (NEO) Shares Are Trading Higher Today - NeoGenomics (NASDAQ:NEO)

NeoGenomics Inc NEO reported Q4 revenues of $138.71 million, +10.3% Y/Y beating the consensus of $129.97 million but aligned with William Blair estimates.
William Blair reiterated Outperform rating on the stock.
Clinical Services revenue was $108.2 million (+4%) (compared to William Blair's estimate of $109.3 million), driven by a volume of 278,089 and an average price of $389.
Pharma Services revenue was $30.5 million.
William Blair says the quarter showed strong underlying improvement, improved margins, and adjusted EBITDA (-$1.2 million versus our estimate of -$10.2 million).
The analyst says that fourth-quarter results represent another data point that shows management is beginning to appropriately address the operational issues which plagued the company over the last several years.
Outlook: NeoGenomics forecasts FY23 revenues Of $545 million - $555 million as against the $535.08 million estimate.
It sees the guidance as being set at an appropriately conservative level, coming ahead of expectations, and leaving room for potential upside from the clinical turnaround and RaDaR launch.
Price Action: NEO shares are up 21.8% at $16.27 on the last check Thursday.

Why NeoGenomics Shares Are Trading Higher Today