Here's Why Exact Sciences Stock Rocketed Higher Today
Shares of Exact Sciences (NASDAQ: EXAS) were up 28% at 1:30 p.m. EDT today after the company announced solid third-quarter results and the acquisition of Thrive Earlier Detection, which specializes in tests for the early detection of cancer.
Revenue came in at $408 million, up 87% year over year thanks to the addition of $91.6 million from the precision oncology tests that the company got in the acquisition of Genomic Health, which closed last November. Coronavirus tests also helped boost revenue by $102 million. Screening revenue, which is from the company's legacy colon cancer test, Cologuard, and revenue from Biomatrica products fell 2% year over year.
Exact lost almost $220 million in the third quarter, but almost all of that ($209.7 million) was due to an intangible asset impairment for research and development on a new version of the Oncotype DX test that it acquired from Genomic Health. Backing out that charge, the company lost around $10 million, better than the $40.5 million loss in the year-ago quarter.
Source Fool.com
