HC Wainwright & Co. Maintains Buy Rating on Personalis, Lowers Price Target to $8.50

HC Wainwright & Co. has maintained a "Buy" rating for Personalis (PSNL) but lowered its price target to $8.50 from $9.00, a 5.56% decrease. The firm's earlier price target change on May 7, 2025, raised the target from $8.00 to $9.00, a 12.50% positive adjustment. Analyst ratings suggest a consistent positive outlook for Personalis despite the recent target price adjustment.

July 2, 2025 - Personalis Inc. (PSNL), a biotechnology company specializing in molecular diagnostics, reported its Q2 2025 earnings on August 5. The company is expected to show a fall in quarterly revenue, with analysts forecasting a 10.9% decrease to $20.114 million from $22.58 million a year ago [1].

The company's guidance for the period ending June 30, 2025, was for revenue between $19.50 million and $20.50 million. The mean analyst estimate for Personalis Inc. is for a loss of 24 cents per share. Despite the revenue decrease, analysts maintain a "buy" rating on the stock, with 7 "strong buy" or "buy," 1 "hold," and no "sell" or "strong sell" recommendations [1].

HC Wainwright & Co. has maintained a "Buy" rating for Personalis but lowered its price target to $8.50 from $9.00, a 5.56% decrease. The firm's earlier price target change on May 7, 2025, raised the target from $8.00 to $9.00, a 12.50% positive adjustment [2].

During the earnings call, CEO Christopher M. Hall highlighted the company's strong clinical momentum, with test volume growing 59% sequentially and the physician base expanding to over 600. The company's full-year revenue guidance was updated to a range of $70 million to $80 million, down from the prior $80 million to $90 million range [2].

The company reported $17.2 million in total revenue for Q2 2025, a decrease from the prior year, with biopharma revenue at $11.1 million and clinical revenue from NeXT Dx and NeXT Personal molecular tests at $0.5 million. Gross margin was 27.6% for Q2, down from 35.6% year-over-year, with unreimbursed clinical test costs impacting margin by approximately 12% [2].

Management acknowledged industry headwinds in biopharma R&D spending and the impact of delayed biopharma revenue on full-year results. Despite these challenges, the company remains focused on driving adoption of NeXT Personal, converting its biopharma pipeline, and achieving Medicare reimbursement for two indications in 2025.

References:
[1] Reuters, "Personalis Inc. Expected to Post a Loss of 24 Cents a Share in Earnings Preview," https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TT349:0-personalis-inc-expected-to-post-a-loss-of-24-cents-a-share-earnings-preview/
[2] Seeking Alpha, "Earnings Call Insights: Personalis, Inc. (PSNL) Q2 2025 Management View," https://seekingalpha.com/news/4479417-personalis-outlines-70m-80m-revenue-target-for-2025-amid-59-percent-sequential-clinical-test