NasdaqGM:CDNABiotechs
CareDx (CDNA): Profit Driven by $89.4 Million One-Off Gain Raises Earnings Sustainability Questions
CareDx (CDNA) shifted into profitability this quarter, backed by forecasts that call for robust annual earnings growth of about 80.2% and revenue growth of 11.1% per year for the next three years. The company’s $16.53 share price and Price-To-Earnings Ratio of 15.1x compare favorably to industry and peer averages. However, the recent results were buoyed by a significant, non-recurring gain of $89.4 million. With these headline numbers and a valuation still above the estimated fair value of...