Natera saw a 7.61% increase in its share price over the last month, potentially buoyed by the release of promising DEFINE-HT clinical trial results. These results highlighted the strong predictive ability of their Prospera test in heart transplant patient monitoring, providing significant insights into patient outcomes. Additionally, the launch of the Signatera Genome assay might have bolstered investor confidence in Natera's innovative capabilities across cancer diagnostics. Amidst a broad market trend of a 5.2% rise over the same period, Natera's advancements in genomic testing added positive weight to its stock performance.

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Over the past three years, Natera's shares generated substantial returns, with a total gain of 330.85%. This impressive performance stands out compared to the broader biotech industry, which experienced a 4.2% decline in the past year, and the U.S. market, which delivered a 7.7% return over the same period. Natera's strides in genomic testing, underscored by the recent DEFINE-HT trial results and the launch of the Signatera Genome assay, may have strengthened revenue projections, potentially impacting revenue forecasts from US$1.87 billion to US$1.95 billion for 2025.

Despite trading below the consensus analyst price target of US$187.72, the current share price offers a significant discount. This movement could reflect market optimism regarding the company's long-term growth prospects, although considerations around profitability remain due to current unprofitability and past negative earnings growth. Analysts expect Natera to pivot to profitability over the next three years, aligning with anticipated positive profit growth.

Explore Natera's analyst forecasts in our growth report.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include NasdaqGS:NTRA.

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