QM · rank #13 · 2026-09-09
CDNA
NASDAQ · $2.63B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +293.23% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +29.5% |
| Profit margin Net profit margin, trailing 12 months. | +24.2% |
| Market cap (USD) Size filter: > $500M required. | $2.63B |
| Anchor (recent) Close on 2026-08-10 | $47.07 |
| Anchor (far) Close on 2025-08-08 | $11.97 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
CareDx is a precision medicine company dominating transplant molecular diagnostics via dd-cfDNA and gene expression assays (AlloSure, AlloMap) integrated with digital workflow tools across the majority of U.S. transplant centers.
Rationale
The momentum_12_1 of 2.93 and profit_margin of 24% are directly reinforced by 52% YoY revenue growth, a raised full-year guidance to $490–500M, and adjusted EBITDA expanding from $5M to $25M in a single year, confirming that quality fundamentals are driving—not lagging—the price signal.
Material risks
- 1Natera's Prospera cfDNA test is a direct, well-capitalized competitor in the exact transplant monitoring niche where CDNA earns its margin, and ongoing patent litigation leaves market share and pricing structurally contested rather than locked in.
- 2Medicare LCD reimbursement restrictions have already clipped ~$7.5M from 2026 revenue over six months, and any expansion of coverage limitations could compress the testing services revenue line that is the engine of the quality/momentum thesis.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.