📊 CDNA Key Takeaways
Is CareDx, Inc. (CDNA) a Good Investment?
CareDx demonstrates solid revenue growth of 13.8% and strong cash generation with $40.2M in free cash flow, supported by a fortress balance sheet with zero debt and $65.4M in cash. However, persistent unprofitability with -5.6% net margin and negative operating income of -$30.8M despite 13.9% gross margins suggest operational inefficiencies that must be resolved before considering the company investment-grade.
CareDx shows a mixed fundamental profile: revenue growth of 13.8% and solid free cash flow generation indicate the business still has commercial momentum, while the balance sheet remains strong with no long-term debt and ample liquidity. However, persistent operating and net losses, weak margins, and sharply deteriorating diluted EPS limit conviction until profitability improves more sustainably.
Why Buy CareDx, Inc. Stock? CDNA Key Strengths
- Strong revenue growth of 13.8% YoY demonstrates market demand for services
- Excellent liquidity position with 2.86x current ratio and zero long-term debt provides financial flexibility
- Positive free cash flow of $40.2M (10.6% FCF margin) indicates underlying business cash generation capability
- Adequate balance sheet with $65.4M cash and $303.1M stockholders equity supports runway for operations
- Revenue grew 13.8% year over year, indicating continued demand and business expansion
- Strong financial health with $65.43M in cash, a 2.86x current ratio, and no long-term debt
- Positive operating cash flow and $40.23M of free cash flow support flexibility despite accounting losses
CDNA Stock Risks: CareDx, Inc. Investment Risks
- Sustained operating losses (-$30.8M operating income) and negative net margin (-5.6%) indicate business is not yet profitable at scale
- Gross margin of only 13.9% leaves minimal room for operating expenses; structural profitability challenges persist despite revenue growth
- Negative interest coverage ratio of -22.8x reflects inability to cover any debt obligations from operations; entirely dependent on cash reserves
- Diluted EPS deteriorated -143% YoY to -$0.40, signaling shareholder value destruction despite revenue gains
- Profitability remains weak with negative operating margin of -8.1% and net margin of -5.6%
- Gross margin of 13.9% is low and leaves limited room to absorb costs or execution missteps
- Diluted EPS fell sharply year over year, signaling pressure on per-share earnings quality
Key Metrics to Watch
- Operating margin trend - must demonstrate path to profitability with scale
- Gross margin expansion - critical to achieving profitability with current operating expense base
- Cash burn rate - monitor whether free cash flow remains positive as operating losses continue
- Operating income inflection point - key threshold for investment thesis validation
- Operating margin and gross margin trend
- Free cash flow consistency relative to net income
CareDx, Inc. (CDNA) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.86x current ratio provides a solid financial cushion.
CDNA Profit Margin, ROE & Profitability Analysis
CDNA vs Healthcare Sector: How CareDx, Inc. Compares
How CareDx, Inc. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is CareDx, Inc. Stock Overvalued? CDNA Valuation Analysis 2026
Based on fundamental analysis, CareDx, Inc. has mixed fundamental signals relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
CareDx, Inc. Balance Sheet: CDNA Debt, Cash & Liquidity
CDNA Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: CareDx, Inc.'s revenue has grown significantly by 28% over the 5-year period, indicating strong business expansion. The most recent EPS of $-3.54 indicates the company is currently unprofitable.
CDNA Revenue Growth, EPS Growth & YoY Performance
CDNA Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $82.9M | $1.7M | $0.03 |
| Q2 2025 | $86.7M | -$4.6M | $-0.09 |
| Q1 2025 | $72.0M | -$10.4M | $-0.19 |
| Q3 2024 | $67.2M | -$1.4M | $-0.14 |
| Q2 2024 | $70.3M | -$1.4M | $-0.03 |
| Q1 2024 | $72.0M | -$16.7M | $-0.32 |
| Q3 2023 | $67.2M | -$16.9M | $-0.32 |
| Q2 2023 | $70.3M | -$19.6M | $-0.41 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CareDx, Inc. Dividends, Buybacks & Capital Allocation
CDNA SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for CareDx, Inc. (CIK: 0001217234)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Apr 16, 2026 | 8-K | tm2611749d1_8k.htm | View → |
| Apr 7, 2026 | 4 | xslF345X06/form4-04072026_080410.xml | View → |
| Apr 3, 2026 | 4 | xslF345X06/form4-04032026_080457.xml | View → |
| Apr 3, 2026 | 4 | xslF345X06/form4-04032026_080422.xml | View → |
| Apr 3, 2026 | 4 | xslF345X06/form4-04032026_080435.xml | View → |
❓ Frequently Asked Questions about CDNA
What is the AI rating for CDNA?
CareDx, Inc. (CDNA) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 69% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CDNA's key strengths?
Claude: Strong revenue growth of 13.8% YoY demonstrates market demand for services. Excellent liquidity position with 2.86x current ratio and zero long-term debt provides financial flexibility. ChatGPT: Revenue grew 13.8% year over year, indicating continued demand and business expansion. Strong financial health with $65.43M in cash, a 2.86x current ratio, and no long-term debt.
What are the risks of investing in CDNA?
Claude: Sustained operating losses (-$30.8M operating income) and negative net margin (-5.6%) indicate business is not yet profitable at scale. Gross margin of only 13.9% leaves minimal room for operating expenses; structural profitability challenges persist despite revenue growth. ChatGPT: Profitability remains weak with negative operating margin of -8.1% and net margin of -5.6%. Gross margin of 13.9% is low and leaves limited room to absorb costs or execution missteps.
What is CDNA's revenue and growth?
CareDx, Inc. reported revenue of $379.8M.
Does CDNA pay dividends?
CareDx, Inc. does not currently pay dividends.
Where can I find CDNA SEC filings?
Official SEC filings for CareDx, Inc. (CIK: 0001217234) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CDNA's EPS?
CareDx, Inc. has a diluted EPS of $-0.40.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CDNA a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, CareDx, Inc. has a HOLD rating with 69% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CDNA stock overvalued or undervalued?
Valuation metrics for CDNA: ROE of -7.0% (sector avg: 15%), net margin of -5.6% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy CDNA stock in 2026?
Our dual AI analysis gives CareDx, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CDNA's free cash flow?
CareDx, Inc.'s operating cash flow is $42.0M, with capital expenditures of $1.8M. FCF margin is 10.6%.
How does CDNA compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -5.6% (avg: 12%), ROE -7.0% (avg: 15%), current ratio 2.86 (avg: 2).