Natera Stock Fair Value – NATERA Reports Record-Breaking Third Quarter Revenue Growth of 27.4% in FY2023

☀️Earnings Overview

For the third quarter of FY2023, NATERA ($NASDAQ:NTRA) reported total revenue of USD 268.3 million, a 27.4% growth compared to the same period of the previous year. The company saw a decrease in net income to USD -109.0 million, as opposed to the -121.5 million reported for the third quarter of FY2022.

Analysis – Natera Stock Fair Value

GoodWhale has recently conducted an analysis of the financials of NATERA, a company specializing in software. Our proprietary Valuation Line determined that the intrinsic value of a NATERA share is approximately $88.0. This means that the NATERA stock is currently undervalued by 53.1%, as it is trading at $41.3. This presents an excellent opportunity for investors to buy into the NATERA stock at a significant discount. As the company’s financials improve, we expect the share price to increase in line with our intrinsic value determination. More…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Natera. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Natera. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Natera. More…

Key Ratios Snapshot

Some of the financial key ratios for Natera are shown below. More…

Peers

The company’s products are used for pregnancy and fertility testing, as well as for cancer and inherited disease risk assessment. Natera‘s competitors include Genetic Technologies Ltd, Dr Lalchandani Labs Ltd, and NeoGenomics Inc.

– Genetic Technologies Ltd ($ASX:GTG)

Genetic Technologies Ltd is a biotechnology company that develops and commercializes molecular diagnostic tests. The company has a market cap of 27.7M as of 2022 and a Return on Equity of -24.9%. The company’s products are used for the detection of genetic disorders and cancer.

– Dr Lalchandani Labs Ltd ($BSE:541299)

Lalchandani Labs Ltd is a pharmaceutical company with a market cap of 141.91M as of 2022. The company has a Return on Equity of 12.87%. The company manufactures and sells pharmaceutical products and services. It offers products and services in the areas of diagnostics, therapeutics, and general health care. The company also provides services in the areas of research and development, manufacturing, marketing, and sales.

– NeoGenomics Inc ($NASDAQ:NEO)

NeoGenomics, Inc. is a holding company, which engages in the business of providing cancer-focused genetic testing services. It operates through the Clinical Services and Pharma Services segments. The Clinical Services segment includes tumor tissue tests, fluid tests, and other ancillary tests. The Pharma Services segment provides genomic services to pharmaceutical clients to support their drug development programs. The company was founded by Douglas M. Ross in 2001 and is headquartered in Fort Myers, FL.

Summary

Investors should take a closer look at NATERA following its recently reported third quarter earnings results. Total revenue for the period ending September 30 2023 grew by 27.4% compared to the same period last year, but net income declined to USD -109.0 million from -121.5 million in the same period the year prior. The stock price moved down following the earnings report, indicating that investors may be concerned about the company’s financial performance. It is important for investors to consider factors such as revenue and earnings growth, as well as broader macroeconomic and industry trends, when determining how to approach investing in NATERA.