GeneDx (NASDAQ:WGS) Stock Price Declines 6.7% - Is It Time to Sell?

GeneDx Holdings Corp. (NASDAQ:WGS) experienced a notable decrease in its stock price, falling by 6.7% during mid-day trading on Thursday. The shares traded as low as $62.43 before closing at $62.71, down from the previous close of $67.18. During this trading session, approximately 444,893 shares were exchanged, indicating a significant 55% drop from the average daily volume of 999,337 shares.

Analysts Revise Price Targets

Recent evaluations from several research analysts reveal updates on GeneDx’s stock price targets. Wells Fargo & Company raised their target for the stock from $34.00 to $75.00 and assigned an "equal weight" rating on October 30. Meanwhile, TD Cowen lifted their target from $75.00 to $118.00, issuing a "buy" rating on January 7. Craig Hallum also increased their target from $70.00 to $95.00, maintaining a "buy" rating on the same date. Additionally, The Goldman Sachs Group amended its price target from $54.00 to $70.00, assigning a "neutral" rating. Currently, three investment analysts suggest holding the stock, whereas three others recommend a buy, leading to an overall average rating of "Moderate Buy" with a target price hovering around $70.67.

Current Stock Performance

As of now, GeneDx's stock shows a 50-day simple moving average of $76.94 and a 200-day simple moving average of $59.14. The company holds a market capitalization of approximately $1.64 billion, with a negative P/E ratio of -19.14 and a beta of 2.01, indicating significant volatility. Its current ratio stands at 2.40 and the quick ratio at 2.27, with a relatively low debt-to-equity ratio of 0.25.

Insider Activities

In a recent move, the major shareholder, School Of Medicine At Mo Icahn, sold off 126,782 shares of GeneDx stock on November 18 for an average price of $70.78, totaling approximately $8.97 million. Following this transaction, the shareholder maintains ownership of 2,719,692 shares, valued around $192.5 million. This sale reflects a 4.45% reduction in their holdings. Furthermore, CEO Katherine Stueland sold 1,657 shares on January 29 for an average price of $78.48, amounting to about $130,041.36, which is a 29.62% decrease in her stock position. Over the last 90 days, insiders have sold a total of 363,669 shares valued at approximately $28.06 million, with corporate insiders owning 27.30% of the stock.

Institutional Ownership Insights

Several institutional investors have adjusted their stakes in GeneDx recently. MCF Advisors LLC increased its position by 107.7% in the fourth quarter, now owning 351 shares valued at $27,000 after adding 182 shares. Global Retirement Partners LLC also invested in the company with a new stake worth about $28,000. Other institutional activities saw Rhumbline Advisers boost their stake by 5.5%, Principal Financial Group enhancing their holdings by 10.6%, and Palumbo Wealth Management growing their investment by 22.8%. Hedge funds and other institutional purchasers currently hold 61.72% of GeneDx stocks.

About GeneDx Holdings Corp.

GeneDx Holdings Corp. operates through its subsidiaries to provide genomic-related diagnostic and information services. One of its key offerings is Centrellis, an AI-driven health intelligence platform that enables the integration of digital tools and artificial intelligence, allowing for the synthesis of clinical and genomic data to deliver in-depth health insights.

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