Considering Guardant Health Inc. (GH) as a potential investment: What Should You Do?

The price of Guardant Health Inc. (NASDAQ: GH) closed at $31.70 in the last session, up 0.09% from day before closing price of $31.67. In other words, the price has increased by $+0.03 from its previous closing price. On the day, 1857982 shares were traded. GH stock price reached its highest trading level at $32.23 during the session, while it also had its lowest trading level at $29.45.

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Ratios:

We take a closer look at GH’s different ratios to gain a better understanding of the stock. For the most recent quarter (mrq), Quick Ratio is recorded 6.10 and its Current Ratio is at 6.50. In the meantime, Its Debt-to-Equity ratio is 6.82 whereas as Long-Term Debt/Eq ratio is at 6.82.

Upgrades & Downgrades

In addition, analysts’ ratings and any changes thereto give investors an idea of the stock’s future direction. In the most recent recommendation for this company, Scotiabank on January 05, 2023, initiated with a Sector Outperform rating and assigned the stock a target price of $36.

On November 01, 2022, Piper Sandler Downgraded its rating to Neutral which previously was Overweight and also lowered its target price recommendation from $65 to $50.

On October 19, 2022, Craig Hallum started tracking the stock assigning a Buy rating and target price of $88.Craig Hallum initiated its Buy rating on October 19, 2022, with a $88 target price.

Insider Transactions:

An investor can also benefit from insider trades by learning what management is thinking about the future direction of stock prices. A recent insider transaction in this stock occurred on Nov 15 when Kalia Kumud sold 3,125 shares for $51.87 per share. The transaction valued at 162,082 led to the insider holds 20,135 shares of the business.

Kalia Kumud sold 2,000 shares of GH for $102,781 on Aug 17. The Chief Information Officer now owns 18,530 shares after completing the transaction at $51.39 per share. On Aug 12, another insider, Merrill Amelia, who serves as the SVP, People of the company, sold 4,500 shares for $54.32 each. As a result, the insider received 244,441 and left with 20,208 shares of the company.

Valuation Measures:

For the stock, the TTM Price-to-Sale (P/S) ratio is 7.53 while its Price-to-Book (P/B) ratio in mrq is 19.45.

Stock Price History:

Over the past 52 weeks, GH has reached a high of $78.34, while it has fallen to a 52-week low of $24.63. The 50-Day Moving Average of the stock is 39.48, while the 200-Day Moving Average is calculated to be 47.36.

Shares Statistics:

According to the various share statistics, GH traded on average about 1.59M shares per day over the past 3-months and 1.86M shares per day over the past 10 days. A total of 102.29M shares are outstanding, with a floating share count of 97.63M. Insiders hold about 0.10% of the company’s shares, while institutions hold 94.00% stake in the company. Shares short for GH as of Oct 13, 2022 were 3.92M with a Short Ratio of 5.10M, compared to 4.28M on Sep 14, 2022. Therefore, it implies a Short% of Shares Outstanding of 3.83% and a Short% of Float of 5.18%.

Earnings Estimates

The company has 14 analysts who recommend its stock at the moment. On average, analysts expect EPS of -$1.26 for the current quarter, with a high estimate of -$1.04 and a low estimate of -$1.66, while EPS last year was -$1.06. The consensus estimate for the next quarter is -$1.26, with high estimates of -$1.05 and low estimates of -$2.02.

Analysts are recommending an EPS of between -$4.05 and -$7.15 for the fiscal current year, implying an average EPS of -$5.79. EPS for the following year is -$4.73, with 15 analysts recommending between -$4.06 and -$5.67.

Revenue Estimates

According to 15 analysts, the current quarter’s revenue is expected to be $117.81M. It ranges from a high estimate of $120.6M to a low estimate of $114.13M. As of the current estimate, Guardant Health Inc.’s year-ago sales were $92.25M, an estimated increase of 27.70% from the year-ago figure. For the next quarter, 15 analysts are estimating revenue of $138.77M, an increase of 28.40% over than the figure of $27.70% in the same quarter last year. There is a high estimate of $142.7M for the next quarter, whereas the lowest estimate is $129.7M.

A total of 18 analysts have provided revenue estimates for GH’s current fiscal year. The highest revenue estimate was $467.66M, while the lowest revenue estimate was $451.5M, resulting in an average revenue estimate of $461.29M. In the same quarter a year ago, actual revenue was $373.65M, up 23.50% from the average estimate. Based on 18 analysts’ estimates, the company’s revenue will be $609.83M in the next fiscal year. The high estimate is $637.19M and the low estimate is $559M. The average revenue growth estimate for next year is up 32.20% from the average revenue estimate for this year.