WGS Stock Slumps After Hours As Firm Predicts Lower Test Volume For Year

• It also lowered expected exome and genome revenue growth to at least 20%, from 33–35%, while maintaining volume growth of at least 30%.
• Stueland added that the company remains confident in its long-term strategy after “resetting expectations.”
• GeneDx posted first-quarter revenue of $102.3 million, up 17% from $87.1 million a year earlier, but below an analyst estimate of $112.45 million.
   

GeneDx Holdings Corp. (WGS) shares tumbled roughly 40% in after-hours trading on Monday after the company reported first-quarter results below Wall Street estimates and sharply lowered its full-year 2026 revenue outlook, citing slower-than-expected market dynamics.

GeneDx posted first-quarter revenue of $102.3 million, up 17% from $87.1 million a year earlier, but below an analyst estimate of $112.45 million. Exome and genome testing revenue — the company’s flagship offering — climbed 27% to $90.6 million on 34% higher test volume.

Adjusted loss per share came in at $0.28, compared to earnings per share of $0.31 in the corresponding quarter of 2025, and more than an estimates loss of $0.02 per share.  

2026 Guidance

GeneDx also cut its full-year 2026 revenue guidance to $475–$490 million, well below its prior range of $540–$555 million. It also lowered expected exome and genome revenue growth to at least 20%, from 33–35%, while maintaining volume growth of at least 30% and adjusted gross margin of approximately 70%. For the second quarter, the company guided revenue to $110–$112 million with roughly 30,000 exome and genome tests.

“GeneDx delivered 34% year-over-year volume growth in exome and genome testing in the first quarter — a clear signal that there’s sustained, strong demand for our services,” said CEO Katherine Stueland. “While our revenue did not reflect the full potential of what this business is capable of, we are adjusting our outlook and are poised to deliver more than 30% volume growth, 70% gross margin, and profitability on an adjusted basis for the year.”

Stueland added that the company remains confident in its long-term strategy after “resetting expectations.”

GeneDx ended the quarter with $171.7 million in cash, cash equivalents, marketable securities, and restricted cash.

How Did WGS Retail Traders React?

On Stocktwits, retail sentiment around WGS jumped from bearish to extremely bullish territory over the past 24 hours, while message volume rose from normal to extremely high levels.

A Stocktwits user expressed optimism for the stock stabilizing on Tuesday.

Another dismissed the stock as oversold.

A third user highlighted the company’s low cash reserve.

WGS stock gained 3% over the past 12 months. 

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