NeoGenomics (NEO) moves 6.3% higher: Will this strength last?

NeoGenomics (NEO) shares soared 6.3% in the last trading session to close at $9.97. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock’s 17.4% gain over the past four weeks.

This rise in share price is attributable to positive investor expectations around the company’s diagnostics business. At the upcoming ESMO 2025 medical conference, NeoGenomics is set to showcase new clinical data and ongoing interventional studies for its RaDaR ST molecular residual disease (MRD) assay. This personalized ctDNA test is designed to enhance precision oncology and accelerate drug development. Such presentations highlight the company’s growing role as a key partner for biopharma companies.

This operator of cancer-focused testing laboratories is expected to post quarterly earnings of $0.02 per share in its upcoming report, which represents a year-over-year change of -60%. Revenues are expected to be $183.63 million, up 9.4% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For NeoGenomics, the consensus EPS estimate for the quarter has been revised 5.7% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on NEO going forward to see if this recent jump can turn into more strength down the road.

NeoGenomics is a member of the Zacks Medical – Biomedical and Genetics industry. One other stock in the same industry, Bristol Myers Squibb (BMY), finished the last trading session 0.4% lower at $43.61. BMY has returned -5.5% over the past month.

For Bristol Myers, the consensus EPS estimate for the upcoming report has changed -0.7% over the past month to $1.56. This represents a change of -13.3% from what the company reported a year ago. Bristol Myers currently has a Zacks Rank of #3 (Hold).

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