What Happened?
Shares of diagnostics company Guardant Health (NASDAQ: GH) jumped 5.2% in the morning session after the company announced a collaboration with Quest Diagnostics and provided an upbeat financial outlook at its investor day. The partnership aimed to make Guardant's Shield blood-based cancer screening test more widely available to physicians and patients in the United States. During its investor event, the company also revealed it accelerated its timeline for reaching cash flow breakeven by about 12 months.
Furthermore, Guardant projected that its Shield product would generate at least $500 million in annual revenue by 2028. Following these positive announcements, analysts reacted favorably, with JP Morgan raising its price target on the stock to $70 from $60.
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What Is The Market Telling Us
Guardant Health’s shares are extremely volatile and have had 39 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 2 days ago when the stock gained 1.2% on the news that multiple financial analysts issued positive ratings on the stock. Canaccord Genuity reaffirmed its "Buy" rating with a $65 price target ahead of the company's investor day.
Similarly, BTIG Research also restated a "Buy" rating and maintained a $70 price target.
Adding to the bullish sentiment, Wells Fargo & Company began coverage on the stock, setting an "overweight" rating and a $72 price objective. The collective confidence from these firms signaled a positive outlook for the company's performance, which appeared to boost investor interest.
Guardant Health is up 92.8% since the beginning of the year, but at $61.27 per share, it is still trading 9.1% below its 52-week high of $67.42 from August 2025. Investors who bought $1,000 worth of Guardant Health’s shares 5 years ago would now be looking at an investment worth $547.99.
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