Caris Life Sciences, Inc. (CAI) saw its stock plummet 15.32% in intraday trading on Friday, extending losses from after-hours and pre-market sessions.
The sharp decline followed the company's quarterly earnings release, where it reported breakeven earnings per share, beating analyst expectations of a 2-cent loss, and revenue of $216.17 million, which also exceeded forecasts. However, investor sentiment turned negative as the company reported a quarterly loss of $510 thousand, and market attention focused on significant downward revisions in analyst earnings estimates over the past three months, which fell by approximately 146.6%.
Analyst actions contributed to the pressure, with Piper Sandler reiterating a Hold rating and a $21.00 price target, while Citi lowered its price target on the shares to $28 from $35, though maintaining a Buy rating. The combination of the underlying loss and reduced future expectations drove the sell-off despite the earnings beat.
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