Abstract

Guardant Health Inc. will report quarterly results on February 19, 2026 Post Market; this preview summarizes consensus revenue, margin, and EPS expectations alongside prior-quarter results and prevailing institutional opinions.

Market Forecast

For the to-be-reported quarter, market models point to total revenue of 270.52 million, up 40.79% year over year, with forecast EBIT at -96.66 million and EPS at -0.70; forecasts imply ongoing operating losses while revenue growth remains strong. Based on the last reported quarter’s structure, the mix is led by oncology testing, and forecasts imply continued scale benefits; the most promising segment remains oncology testing with revenue of 184.40 million and robust year-over-year momentum indicated by guidance trends.

Last Quarter Review

In the previous quarter, Guardant Health Inc. delivered revenue of 265.20 million, a gross profit margin of 64.71%, GAAP net loss attributable to shareholders of 92.73 million, a net profit margin of -34.96%, and adjusted EPS of -0.74, with revenue rising 38.50% year over year. The company exceeded revenue expectations versus the prior consensus and narrowed operating losses relative to guidance cadence. Main business highlights: oncology testing generated 184.40 million, biopharma and data 54.73 million, screening 24.11 million, and licensing and other 1.95 million.

Current Quarter Outlook

Main revenue engine: oncology testing

Oncology testing is the backbone of Guardant Health Inc.’s commercial model and the primary determinant of quarterly revenue variability. The segment’s recent dollar growth, coupled with a company-level gross margin of 64.71% last quarter, suggests continued leverage from test menu expansion, payer coverage gains, and higher clinical volumes. Into this print, investors will watch test volumes and average selling price trajectories, which influence both top line sustainability and gross margin mix; a steady or improving case mix generally supports unit economics, while adverse mix can pressure margin even amid revenue growth. Reimbursement execution and turnaround times remain practical swing factors for near-term operating trends, feeding into both reported revenue and cash conversion cadence. With the forecast pointing to 270.52 million in revenue, oncology testing likely remains above two-thirds of sales, sustaining a leading role in quarterly performance visibility. Evidence of improved collections or expanded indications would enhance confidence in sequential margin stability and the path toward operating breakeven, even with a projected EBIT loss of 96.66 million.

High-upside platform: biopharma partnerships and data

The biopharma and data business contributes a meaningful secondary revenue stream and often carries attractive gross margins due to project-based economics. Last quarter’s 54.73 million underscores a diversified backlog across companion diagnostics, clinical trial testing, and data solutions. Into this quarter, deal timing and milestone recognition can create lumpiness, but the broadening of late-stage oncology collaboration pipelines tends to add resilience to this line. As pipelines mature, conversion from discovery to development programs can provide incremental revenue visibility, which supports the company’s consolidated gross margin. The forecast revenue acceleration of 40.79% year over year implies healthy activity levels, and an uptick in enterprise agreements or study awards could yield upside to consensus, even while EBIT remains negative as the company invests in commercial scale and R&D to expand indications.

Stock-price drivers this quarter: cash burn trajectory, margin mix, and screening scale-up

Three variables are poised to influence the share reaction around results. The first is cash burn and operating leverage: the forecast EBIT of -96.66 million and EPS of -0.70 suggest losses persist, so qualitative commentary on expense discipline, automation, and utilization rates will be dissected for signs of improved efficiency. The second is margin mix across clinical testing versus project-based biopharma work: last quarter’s 64.71% gross margin set a constructive baseline, and any sequential improvement would strengthen the argument for operating breakeven over the medium term. The third is the screening business trajectory: while screening contributed 24.11 million last quarter and remains smaller than oncology testing, progress on payer coverage, ordering patterns, and study readouts can re-rate expectations for long-range revenue. Incremental clarity on market access and physician adoption would be viewed as constructive for multi-year growth, given the segment’s large addressable market.

Analyst Opinions

The balance of institutional commentary tilts bullish, with a majority pointing to resilient clinical testing demand, expanding biopharma engagements, and an improving reimbursement backdrop as support for top-line growth and margin stability. Analysts emphasize that consensus revenue of 270.52 million with 40.79% year-over-year growth reflects robust test volume trends and pipeline conversion in partnerships, while the projected EPS loss of -0.70 and EBIT of -96.66 million keep the focus on operating leverage milestones. Notably, several well-followed research desks highlight upside risks tied to continued beat-and-raise potential after last quarter’s revenue outperformance versus estimates and to catalysts from new indication launches. Bullish reports also flag that the company’s gross margin profile near mid-60s can be sustained given improved lab throughput and a richer mix of higher-value tests. On the valuation narrative, positive notes argue that durable revenue growth, coupled with improving unit economics, provides a foundation for narrowing losses over the next few quarters, though execution on collections and coverage remains a required proof point.