Oncology (cancer) diagnostics company NeoGenomics (NASDAQ: NEO) reported Q1 CY2026 results beating Wall Street’s revenue expectations, with sales up 11.1% year on year to $186.7 million. The company expects the full year’s revenue to be around $800 million, close to analysts’ estimates. Its non-GAAP profit of $0.01 per share was in line with analysts’ consensus estimates.
Is now the time to buy NeoGenomics? Find out by accessing our full research report, it’s free.
NeoGenomics (NEO) Q1 CY2026 Highlights:
- Revenue: $186.7 million vs analyst estimates of $184.5 million (11.1% year-on-year growth, 1.2% beat)
- Adjusted EPS: $0.01 vs analyst estimates of $0 (in line)
- Adjusted EBITDA: $9.00 million vs analyst estimates of $8.33 million (4.8% margin, 8% beat)
- The company slightly lifted its revenue guidance for the full year to $800 million at the midpoint from $797 million
- EBITDA guidance for the full year is $56 million at the midpoint, in line with analyst expectations
- Operating Margin: -9.8%, up from -16.6% in the same quarter last year
- Free Cash Flow was -$13.14 million compared to -$29.83 million in the same quarter last year
- Market Capitalization: $1.12 billion
“The first quarter of 2026 was a truly transformational one for NeoGenomics. We again delivered double-digit revenue growth while making meaningful strides in our efforts to bring the latest innovation in advanced cancer testing to the community setting,” stated Tony Zook, Chief Executive Officer of NeoGenomics.
Company Overview
Operating a network of CAP-accredited and CLIA-certified laboratories across the United States and United Kingdom, NeoGenomics (NASDAQ: NEO) provides specialized cancer diagnostic testing services, including genetic analysis, molecular testing, and pathology consultation for oncologists and healthcare providers.
Revenue Growth
A company’s long-term sales performance is one signal of its overall quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. Thankfully, NeoGenomics’s 10.4% annualized revenue growth over the last five years was decent. Its growth was slightly above the average healthcare company and shows its offerings resonate with customers.
Long-term growth is the most important, but within healthcare, a half-decade historical view may miss new innovations or demand cycles. NeoGenomics’s annualized revenue growth of 10.5% over the last two years aligns with its five-year trend, suggesting its demand was stable. 
This quarter, NeoGenomics reported year-on-year revenue growth of 11.1%, and its $186.7 million of revenue exceeded Wall Street’s estimates by 1.2%.
Looking ahead, sell-side analysts expect revenue to grow 9.5% over the next 12 months, similar to its two-year rate. Still, this projection is healthy and indicates the market sees success for its products and services.
ALSO WORTH WATCHING: Nvidia’s Quiet Partner. Nvidia’s chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all.
Every AI server needs specialized infrastructure the chip companies don’t make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE.
Adjusted Operating Margin
Adjusted operating margin is one of the best measures of profitability because it tells us how much money a company takes home after subtracting all core expenses, like marketing and R&D. It also removes various one-time costs to paint a better picture of normalized profits.
NeoGenomics’s high expenses have contributed to an average adjusted operating margin of negative 9.1% over the last five years. Unprofitable healthcare companies require extra attention because they could get caught swimming naked when the tide goes out. It’s hard to trust that the business can endure a full cycle.
On the plus side, NeoGenomics’s adjusted operating margin rose by 17.5 percentage points over the last five years, as its sales growth gave it operating leverage. Zooming in on its more recent performance, we can see the company’s trajectory is intact as its margin has also increased by 5 percentage points on a two-year basis.
In Q1, NeoGenomics generated a negative 4.6% adjusted operating margin.
Earnings Per Share
Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.
NeoGenomics’s EPS grew at an unimpressive 1.6% compounded annual growth rate over the last five years, lower than its 10.4% annualized revenue growth. However, its adjusted operating margin actually improved during this time, telling us that non-fundamental factors such as interest expenses and taxes affected its ultimate earnings.
Diving into the nuances of NeoGenomics’s earnings can give us a better understanding of its performance. A five-year view shows NeoGenomics has diluted its shareholders, growing its share count by 11.2%. This dilution overshadowed its increased operational efficiency and has led to lower per share earnings. Taxes and interest expenses can also affect EPS but don’t tell us as much about a company’s fundamentals. 
In Q1, NeoGenomics reported adjusted EPS of $0.01, up from $0 in the same quarter last year. This print easily cleared analysts’ estimates, and shareholders should be content with the results. Over the next 12 months, Wall Street expects NeoGenomics’s full-year EPS of $0.13 to grow 63.8%.
Key Takeaways from NeoGenomics’s Q1 Results
It was encouraging to see NeoGenomics meet analysts’ EPS expectations this quarter. We were also happy its revenue narrowly outperformed Wall Street’s estimates. Overall, we think this was a decent quarter with some key metrics above expectations. The stock remained flat at $8.94 immediately after reporting.
Is NeoGenomics an attractive investment opportunity right now? When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here (it’s free).
