NeoGenomics Stock Just Turned Its First Profit, Creating an Optimal Entry Point

• NeoGenomics (NEO) is a leading cancer genetics diagnostics lab. Its stock recently hit a new 2-year high.
• Shares are up more than 170% over the past 52 weeks.
• NEO maintains a 100% “Buy” technical opinion from Barchart.
• Analyst sentiment is predominantly bullish, with consensus price targets up to $35 and recent profitability marking a compelling entry point.

Today’s Featured Stock

Valued at $2.2 billion, NeoGenomics (NEO) is a high-complexity CLIA-certified clinical laboratory that specializes in cancer genetics diagnostic testing. The company’s testing services include cytogenetics, fluorescence in-situ hybridization, flow cytometry, morphology studies, anatomic pathology, and molecular genetic testing. It services the needs of pathologists, oncologists, urologists, hospitals, and other reference laboratories throughout the United States. 

What I’m Watching

I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals and superior current momentum. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. NEO checks those boxes. The Trend Seeker issued a new “Buy” signal on July 29. Since then, the stock has gained 26.39%.

Barchart’s Technical Indicators for NeoGenomicss

Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.

NeoGenomics scored a 2-year high of $19.15 on Aug. 27.

• NeoGenomics has a Weighted Alpha of 135.39.
• NEO has a 100% “Buy” opinion from Barchart.
• The stock has gained 170.27% over the past 52 weeks.
• NeoGenomics has its Trend Seeker “Buy” signal intact.
• The stock recently traded at $19.27 with a 50-day moving average of $14.94.
• NEO had 10 new highs and gained 45.62% in the last month.
• 60-month beta of 1.74.
• Relative Strength Index (RSI) is at 73.94.
• There’s a technical support level around $16.82.

Don’t Forget the Fundamentals

• $2.2 billion market capitalization.
• Revenue is projected to grow 10.55% this year and another 10.07% next year.
• Earnings are estimated to increase by 31.17% this year and an additional 13.68% next year.

Analyst and Investor Sentiment on NeoGenomics

• The Wall Street analysts followed by Barchart give the stock 6 “Strong Buy,” 1 “Moderate Buy” and 4 “Hold” opinions with price targets between $16 and $35.
• Value Line rates the stock "Above Average."
• Morningstar thinks the stock is 13% overvalued with a fair value of $15.27.
• CFRA’s MarketScope rates the stock as “Buy.”
• 9,710 investors are following the stock on Seeking Alpha, which rates it a “Strong Buy.”
• TipRanks’ analysts’ price targets are between $16 and $21 with a consensus price target of $18.33 for a 5.55% gain.
• Short interest is 12% of the float with 4.17 days to cover the float.

The Bottom Line on NeoGenomics

On July 28, the company announced it finally booked a profit. That makes this a very good entry point. 

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculate should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.

On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.