CareDx (CDNA) Stock Forecast & Price Target

CareDx Inc demonstrated strong financial performance, achieving a 21% increase in top-line growth during Q3, driven by 13% growth in volume and a 5% increase in average selling prices. The company reported its highest historical cash collections in October and recorded a GAAP net income, which contributed to a positive market response, with the stock rising 10%. Additionally, the significant expansion of the sales force by approximately 50% is expected to further enhance volume growth in the coming months, building on the solid performance seen in prior quarters.

CareDx has experienced a volume growth of only 13% year-over-year in Q3'25, falling short of expectations, despite a notable 20% year-over-year increase in surveillance testing. The company's stock has faced downward pressure, trading at significantly lower multiples than historical averages, which raises concerns about its valuation relative to the diagnostics market. Additionally, uncertainties surrounding the company's ability to successfully commercialize new diagnostic solutions, coupled with leadership instability over the past three years, present substantial risks that could hinder CareDx's growth strategy.