Ticker: $WGS 🔬💸
Price: $67.00 (+3.99%, as of Jun-20-2025)
Location: Stamford, CT
Sector: Genomics, AI-Driven Genetic Testing

🧬 Meet GeneDx (WGS)
GeneDx Holdings Corp. isn’t your average diagnostics firm. It’s deep in the DNA game, offering pediatric and rare disease testing via whole exome and genome sequencing. The company also flexes an AI platform to help interpret all that juicy genetic data. Think: rare disease detective meets machine learning wizard. 🧪🤖

💥 Trigger Time: Keith Meister Makes a Splash

Two back-to-back insider buys worth noting:

• May 14, 2025: 50,000 shares @ $60.16 = +$3M

• May 08, 2025: 100,000 shares @ $56.01 = +$5.6M

🧠 Who's Keith? Founder of Corvex Management, former Vice Chairman at Icahn Enterprises (yes, that Icahn). Currently also on the board of MGM Resorts and BetMGM. 🎰🎲

This isn’t just some suit. This is activist investing royalty.

🤔 But Wait... The CEO and CFO Are Selling?

Yep. Over the past few weeks:

• CEO Katherine Stueland: sold ~$944K worth of shares

• CFO Kevin Feeley: sold ~$360K worth of shares

📉 Mixed signals? You bet. But keep in mind: selling doesn’t always mean lack of faith. It could be tax, liquidity, or just summer vacation cash. 😎

🏦 Smart Money Is Piling In Institutions own 117.72% of the float 🤯 (Yes, that means short sellers are squatting on phantom shares.)

Top holders:

• Casdin Capital: 3.51M shares

• FMR (Fidelity): 2.79M

• Corvex (Meister’s own): 2.47M

• Vanguard, Blackrock, Goldman Sachs also on board 📈💼

🔍 For full Institutional Ownership breakdown, see here. 

📊 The Financial Picture

Q4 2024 Highlights:

• Revenue: $95.3M (+64% YoY)

• Adj. Gross Margin: 70%

• Adj. Net Income: $16.8M 💵

FY 2024:

• Revenue: $302.3M (+56% YoY)

• Exome/Genome Revenue: $233.5M (+88%)

• Adj. Gross Margin: 65% (up from 45%)

Cash as of Dec 31, 2024: $142.2M 💰

Guidance for 2025:

• Revenue: $350M - $360M

• Exome/Genome growth: 30%+

• Adj. Net Income: Positive

Q1 2025 Confirmation:

• Revenue: $87.1M (+42% YoY)

• Gross Margin: 69%

• Adj. Net Income: $7.7M (vs. -$8M in Q1 '24)

• Cash: $160.2M. Even after accounting for $13.9M from a share sale (some dilution), cash still increased — the company isn’t burning much money anymore. 💰

The trend is your friend. 📈

👉 Want the full picture? Dive into GeneDx’s financials here.

🧠 Strategic Strengths

• 🔬 Owns 750,000+ clinical exomes/genomes + 6M+ data points

• 📍 32 states now cover outpatient sequencing via Medicaid

• 🧑🤝🧑 Two-thirds of dataset = family-based (super valuable for rare disease research)

⚠️ Key Risks

1. Stock Volatility: WGS has a habit of gapping down after earnings. It’s a rollercoaster. 🎢

2. Valuation Concerns: Forward P/E could be 30 to 65 depending on assumptions. Price/Sales: 5.56. Price/Book: 7.43.

3. Fierce Competition: Natera, Tempus, and a dozen others are in the race.

4. Integration Risks: Recent Fabric Genomics buy might not pan out as planned.

5. Medicaid Reimbursement Cuts: Could dent growth.

6. Legal Cloud: Ongoing investigations into billing practices. Grizzly Research claims fraud (not yet proven). 😬

💡 Curious about another healthcare stock?
Check our takes on UnitedHealth Group or Oscar Health.

🧪 Verdict: A Genomic Gamble Worth Watching

🚀 Growth is real. 💸 Margins are expanding. 🧠 Tech is top-tier. 😬 Risks are loud and clear.

If you're a thrill-seeking investor, maybe dip a toe and dollar-cost average in. If you're risk-averse... bookmark and wait. 

⚠️ Disclaimer: This isn’t investment advice. We don’t know you. Please do your own due diligence.  🚫

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