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Invitae (NVTA) Stock Sinks As Market Gains: What You Should Know

Zacks Equity Research

Invitae (NVTA) closed at $24.47 in the latest trading session, marking a -0.04% move from the prior day. This move lagged the S&P 500's daily gain of 0.69%. Elsewhere, the Dow gained 0.65%, while the tech-heavy Nasdaq added 0.58%.

Coming into today, shares of the genetic testing company had gained 19.24% in the past month. In that same time, the Medical sector lost 3.36%, while the S&P 500 gained 1.36%.

Investors will be hoping for strength from NVTA as it approaches its next earnings release. On that day, NVTA is projected to report earnings of -$0.48 per share, which would represent a year-over-year decline of 2.13%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $50.49 million, up 35.32% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$1.88 per share and revenue of $223.65 million. These totals would mark changes of +3.09% and +51.42%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for NVTA. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.66% higher. NVTA currently has a Zacks Rank of #3 (Hold).

The Medical Info Systems industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 63, which puts it in the top 25% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow NVTA in the coming trading sessions, be sure to utilize Zacks.com.

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