Veracyte (NASDAQ:VCYT) Rating Lowered to Market Perform at Leerink Partners

Veracyte (NASDAQ:VCYT) was downgraded by research analysts at Leerink Partners from an “outperform” rating to a “market perform” rating in a research note issued to investors on Thursday, MarketBeat.com reports. They currently have a $35.00 price objective on the biotechnology company’s stock, down from their prior price objective of $55.00. Leerink Partners‘s price target points to a potential upside of 44.87% from the company’s previous close.

Several other brokerages have also recently commented on VCYT. Weiss Ratings cut shares of Veracyte from a “hold (c+)” rating to a “hold (c)” rating in a report on Thursday, September 24th. Piper Sandler reduced their price target on shares of Veracyte from $66.00 to $54.00 and set an “overweight” rating for the company in a research report on Tuesday, August 4th. Needham & Company LLC reaffirmed a “buy” rating on shares of Veracyte in a research note on Tuesday, September 15th. Stephens decreased their price objective on shares of Veracyte from $68.00 to $55.00 and set an “overweight” rating for the company in a research note on Tuesday, August 4th. Finally, Zacks Research cut shares of Veracyte from a “strong-buy” rating to a “hold” rating in a research report on Friday, October 2nd. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Veracyte has a consensus rating of “Moderate Buy” and a consensus target price of $51.40.

Veracyte Trading Up 0.7%

VCYT stock traded up $0.16 on Thursday, hitting $24.16. 6,580,555 shares of the company’s stock traded hands, compared to its average volume of 1,170,560. Veracyte has a 1-year low of $21.91 and a 1-year high of $60.91. The stock has a market cap of $1.94 billion, a price-to-earnings ratio of 15.59 and a beta of 1.98. The stock has a fifty day moving average of $44.07 and a 200-day moving average of $42.87.

Veracyte (NASDAQ:VCYT) last issued its earnings results on Wednesday, November 4th. The biotechnology company reported $0.51 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.41 by $0.10. The business had revenue of $151.75 million for the quarter, compared to analysts’ expectations of $147.13 million. Veracyte had a return on equity of 9.26% and a net margin of 20.37%. The company’s quarterly revenue was up 15.1% on a year-over-year basis. During the same period in the previous year, the firm posted $0.51 EPS. On average, equities research analysts anticipate that Veracyte will post 1.32 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Veracyte news, Director Jens Holstein sold 7,500 shares of the company’s stock in a transaction that occurred on Tuesday, October 27th. The shares were sold at an average price of $50.00, for a total value of $375,000.00. Following the transaction, the director owned 27,471 shares in the company, valued at approximately $1,373,550. This represents a 21.45% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Muna Bhanji sold 1,864 shares of the company’s stock in a transaction that occurred on Monday, October 19th. The shares were sold at an average price of $43.70, for a total transaction of $81,456.80. Following the completion of the transaction, the director owned 40,854 shares in the company, valued at approximately $1,785,319.80. This represents a 4.36% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 62,609 shares of company stock valued at $2,858,904 over the last ninety days. Insiders own 1.60% of the company’s stock.

Institutional Investors Weigh In On Veracyte

A number of institutional investors have recently modified their holdings of VCYT. GAMMA Investing LLC increased its stake in shares of Veracyte by 21.2% in the second quarter. GAMMA Investing LLC now owns 1,121 shares of the biotechnology company’s stock worth $66,000 after acquiring an additional 196 shares during the last quarter. Abel Hall LLC boosted its position in Veracyte by 3.6% during the third quarter. Abel Hall LLC now owns 6,511 shares of the biotechnology company’s stock valued at $300,000 after purchasing an additional 229 shares during the last quarter. Allworth Financial LP boosted its position in Veracyte by 178.0% during the second quarter. Allworth Financial LP now owns 845 shares of the biotechnology company’s stock valued at $50,000 after purchasing an additional 541 shares during the last quarter. Eurizon Capital SGR S.p.A. purchased a new position in Veracyte in the third quarter valued at about $34,000. Finally, Integrated Wealth Concepts LLC purchased a new position in Veracyte in the second quarter valued at about $44,000.

Veracyte News Summary

Here are the key news stories impacting Veracyte this week:

• Positive Sentiment: Veracyte reported Q3 adjusted EPS of $0.51, ahead of estimates, and revenue of $151.75 million, up 15.1% year over year and above consensus. Veracyte tops Q3 earnings and revenue estimates
• Positive Sentiment: The company authorized a share buyback plan, which could provide some support for the stock, though the provided report does not specify its size or timing. Veracyte authorizes a buyback plan
• Negative Sentiment: The main concern is Veracyte’s reduced 2026 revenue outlook, tied to slower-than-expected growth in Decipher Prostate volumes. Management also cited increased investment in breast and bladder cancer tests, potentially weighing on near-term margins and growth. Q3 call highlights slower growth and added investment
• Negative Sentiment: Analyst sentiment weakened after the outlook cut: Leerink Partners downgraded VCYT to Market Perform from Outperform and lowered its price target to $35 from $55. Needham also reduced its target, to $46 from $69, while retaining a Buy rating. Veracyte downgraded after guidance cut
• Negative Sentiment: Several law firms announced investigations into potential securities claims following the company’s disclosures and sharp share-price decline. These are investigations, not findings of wrongdoing, but may add uncertainty for investors. Shareholder investigation notice

About Veracyte

Veracyte, Inc is a diagnostics company that develops genomic tests to help physicians diagnose cancer, assess disease risk and guide treatment decisions. Its tests are designed to provide additional molecular information from patient samples, often helping reduce uncertainty and support more personalized care.

The company’s portfolio includes Afirma tests for thyroid nodules, Decipher tests for prostate cancer, Percepta tests for lung cancer and Envisio tests for breast cancer. Veracyte also develops and commercializes additional genomic assays intended for use across various cancer types and clinical settings.

Founded in 2008 and headquartered in South San Francisco, California, Veracyte primarily serves the U.S.