Billionaire Stanley Druckenmiller's Top Holding Isn't Nvidia. Instead, It's This Under-the-Radar Stock That Wall Street Loves.

He's a retired hedge fund manager, but people still want to know what billionaire Stanley Druckenmiller is doing with his money. The answer? Investing in the medical diagnostic company Natera (NASDAQ: NTRA).

As of the first quarter of 2026, Natera was the top holding of the Duquesne Family Office, which manages Druckenmiller's private wealth. It accounted for 18.1% of the portfolio's holdings, and the stake was worth slightly under $613 million at the time.

The genetic testing company may not be as well known as Nvidia or get as much attention, but surprisingly, Natera has quietly returned three times more than the chipmaker over the past 12 months.

Druckenmiller keeps betting big on Natera

Duquesne provides quarterly filings showing what it bought and sold, but it isn't required to explain its investment decisions.

Still, as the medical testing market is rapidly growing, it makes sense as to why Druckenmiller and his family office have been aggressively building a position in Natera. According to Grand View Research, the global genetic testing market was valued at only $11.7 billion in 2024, but is expected to reach $39.3 billion by 2030. And the global cancer diagnostics market is even bigger, expected to climb from $119.8 billion in 2025 to $191.1 billion by 2033.

Natera has a lot of opportunities within those markets, as it specializes in cell-free DNA testing and has testing for oncology, organ health, and women's health. It also offers testing for rare diseases. One product growth source for the company, in particular, has been through oncology testing. Last year, Natera increased its processed oncology tests by 51.6% from over 528,000 in 2024 to more than 800,000 in 2025. In the first quarter of 2026, it also saw a 50%+ increase in processed oncology tests.

In addition, Natera offered its shareholders even more bullish news in June, as its Signatera test became the first approved molecular residual disease test approved for patients with colorectal cancer in Japan. Signatera is expected to launch in Japan by the end of 2026.

Strong results continue into 2026

In 2025, Natera generated $2.3 billion, which was a 35.9% increase from 2024. That's on the back of increased testing; Natera processed 3.5 million total tests in 2025, a 15% increase from the number of tests processed in 2024.

Thus far, Natera is continuing to ride that wave of momentum. In the first quarter of 2026, it exceeded one million processed tests in a quarter for the first time. It also reported revenue of $697 million, a 39% increase, and Natera also boosted the midpoint of its full-year sales guidance by $120 million.

Should you follow Druckenmiller's lead into Natera?

Natera continues to show that demand for its testing is increasing, and shareholders have been rewarded with a rising stock price. As of this writing, the Natera stock price is up over 19%, and while it may not make investing headlines like Nvidia, Natera is performing better than the chipmaker. Over the last 12 months, the Natera stock price has been up more than 72%, while the Nvidia stock price has climbed slightly above 24%.

It's also a company that analysts generally view favorably, with 19 out of 22 saying Natera is a buy.

That said, Natera is also an unprofitable company. In 2025, it reported a net loss of $208.2 million, up from a net loss of $190.4 million in 2024. It's also continuing to invest heavily in research and development (R&D), with its R&D costs climbing from $129.1 million in Q1 2025 to $210.7 million in Q1 2026.

Overall, Natera can reward shareholders who are comfortable with an investment with high-reward potential but also increased risk. It's a leader in the medical diagnostics space and continues to report impressive revenue growth.

But owning Natera also means accepting the company's unprofitability, which may continue for some time. Druckenmiller appears comfortable with the risk associated with his Natera investment, but that's not reason alone for retail investors to own the stock.

Jack Delaney has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Natera and Nvidia. The Motley Fool has a disclosure policy.