Quality Momentum

QM · rank #10 · 2026-09-10

CDNA

NASDAQ · $2.63B (USD)

SignalStrong Buy4.1strength 4.1 / 10
verdict · PROCEED

The exact numbers the algorithm saw.

Factor scores and the inputs behind this pick.
Momentum 12-1
Return from 12 months ago to 1 month ago.
+301.27%
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 2026-08-11
$47.23
Anchor (far)
Close on 2025-08-11
$11.77

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 providing genomics-based molecular testing, lab products, and digital health platforms for transplant, specialty oncology, and cell therapy patients [5].

Rationale

Strong Q2 2026 revenue growth of 52% YoY and consecutive full-year 2026 guidance raises validate the high-quality momentum signal and support high ROE and profit margins [4, 5].

Material risks

  • 1Intensifying competition from peer diagnostics providers Natera and Eurofins threatens CareDx’s dominant 45–65% transplant molecular testing market share [6].
  • 2Reimbursement volatility, including Medicare local coverage determinations that reduce revenues, and ongoing patent litigation and historical regulatory investigations [7].

AI verdict council

Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.

OpenAI
Proceed
Claude
Caution
Gemini
Proceed