Myriad Genetics Inc. (NASDAQ:MYGN) shares rallied 35.7%, to $5.25 in after-hours trading on Tuesday following second-quarter results that exceeded analyst expectations and raised full-year revenue guidance.
Check out how MYGN stock is trading here.
What Happened: The Salt Lake City-based genetic testing company reported second-quarter revenue of $213.1 million, beating Wall Street forecasts that expected approximately $202.30 million. Analysts had expected the company to post earnings of negative $0.01 per share, but Myriad delivered a non-GAAP profit of $0.05 per share, significantly outperforming consensus estimates.
CEO Sam Raha attributed the strong performance to “continued strength in hereditary cancer testing in oncology, improving momentum in hereditary cancer testing for unaffected individuals, and favorable pricing trends supported by mix and our ongoing efforts to expand payer coverage.”
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According to Benzinga Pro data, Myriad closed at $3.87 after dropping 2.76% on Tuesday. The stock, which has traded between $3.76 and $29.30 over the past 52 weeks, saw trading volume hit 2.2 million shares, slightly above its average daily volume of 2.1 million. Myriad has a total market cap of $356.73 million.
Why It Matters: Myriad raised its full-year revenue guidance, with the midpoint coming in above analyst estimates. The company secured a strategic financing partnership with OrbiMed, a global investment firm focused exclusively on the healthcare industry. Entered into a $200 million term loan facility that replaced its existing asset-based credit facility. As of quarter-end, the company reported cash and cash equivalents of $74.4 million.
The company is implementing an updated strategy focused on the Cancer Care Continuum, designed to accelerate growth while maintaining the disciplined expense management that contributed to improved profitability this quarter. The strong quarterly beat and optimistic guidance drove the substantial after-hours surge in investor confidence.
Benzinga Edge Stock Rankings indicate that MYGN stock has a negative price trend across all time frames. Know how the stock fares on other parameters here.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
