12 Best Diagnostics Stocks to Invest In Right Now

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9. Exact Sciences Corporation (NASDAQ:EXAS)

Number of Hedge Fund Holders: 49

Exact Sciences Corporation (NASDAQ:EXAS) is a diagnostics and screening company that focuses on the early detection and prevention of particular types of cancer. It offers Cologuard, a non-invasive screening test for the early detection of colorectal cancer, pre-cancer, and Oncotype DX.

On February 5, 2025, the company announced a partnership with Flatiron Health to use its research platform to analyze data from Exact Sciences Corporation’s (NASDAQ:EXAS) Oncodetect MRD test. The collaboration aims to collect real-world data from diverse patients in an attempt to integrate MRD testing into precision cancer care. The partnership began with a clinical study of 1,350 patients to track cancer recurrence across different solid tumors.

Exact Sciences Corporation (NASDAQ:EXAS) also has sound operations. It reported a 10% revenue growth in fiscal Q4 2024, with adjusted EBITDA increasing 52% to $75 million. Screening revenue also rose 14% to $553 million, primarily fueled by strong Cologuard adoption. In addition, the company strengthened its balance sheet in 2024, more than doubling free cash flow and ending the year with $1.04 billion in cash and securities. On March 18, BTIG analyst Mark Massaro reiterated a Buy rating on Exact Sciences Corporation (NASDAQ:EXAS) and set a price target of $65.00.

Parnassus Growth Equity Fund stated the following regarding Exact Sciences Corporation (NASDAQ:EXAS) in its Q4 2024 investor letter:

“We bought two new positions in biotechnology company Vertex Pharmaceuticals and genetic testing company Exact Sciences Corporation (NASDAQ:EXAS). Exact Sciences, a cancer diagnostic company, is approaching profitability and should be able to continue to grow its top and bottom line due to its leadership in non-invasive colorectal cancer tests and entry into new markets like cancer recurrence monitoring.”

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