How Investors May Respond To Natera (NTRA) Oncology Test Integration With Flatiron and Upbeat Guidance

• Natera, Inc. reported robust third quarter results, raised its 2025 annual revenue and gross margin forecasts, and announced that Flatiron Health is integrating Natera’s oncology tests into its OncoEMR platform, streamlining workflow for over 4,500 providers and 1,000 community-based care locations across the U.S.
• The integration with Flatiron Health stands out as a significant step toward embedding Natera’s molecular residual disease testing more deeply in everyday clinical practice, expanding its reach and clinical utility in oncology care.
• We’ll explore how the Flatiron Health collaboration could impact Natera’s growth and support the company's evolving investment narrative.

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Natera Investment Narrative Recap

To be a Natera shareholder, you need to believe in the mainstreaming of advanced molecular diagnostics and the success of Natera’s expansion in oncology, particularly with its Signatera test. The new Flatiron Health integration directly supports faster clinical adoption, which could help drive oncology testing volumes, currently the biggest near-term catalyst, while continued high operational spending remains the main risk. This partnership boosts real-world workflow utility, but does not yet meaningfully change the fundamental risk profile or time-to-profitability narrative.

Among recent announcements, Natera’s raised 2025 revenue and gross margin guidance stands out, signaling management’s confidence in commercial momentum and its ability to capitalize on growing clinical acceptance, especially given the Flatiron Health collaboration’s potential to accelerate test adoption in community oncology settings.

Yet, in contrast, investors should recognize that with rising R&D and SG&A costs, margin improvement could be outpaced by expenses if revenue growth slows...

Read the full narrative on Natera (it's free!)

Natera's outlook projects $3.0 billion in revenue and $110.9 million in earnings by 2028. This assumes a 15.2% annual revenue growth rate and a $364.1 million increase in earnings from the current -$253.2 million.

Uncover how Natera's forecasts yield a $222.58 fair value, a 4% upside to its current price.

Exploring Other Perspectives

Nine Simply Wall St Community fair value estimates for Natera range widely from US$49.54 to US$268 per share. Community perspectives differ, but many are watching how expense growth and clinical adoption balance out in the months ahead.

Explore 9 other fair value estimates on Natera - why the stock might be worth less than half the current price!

Build Your Own Natera Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Natera research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Natera research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Natera's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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