10x Genomics Analysts Adjust Forecasts After Q3 Earnings Report

10x Genomics, Inc. (NASDAQ: TXG) released its third-quarter earnings report on Tuesday, revealing a loss for the period.

The company reported a loss of 30 cents per share, which was better than analysts' expectations of a loss of 34 cents per share. However, 10x Genomics' quarterly sales came in at $151.654 million, falling short of the analyst consensus estimate of $158.632 million.

Serge Saxonov, Co-founder and CEO of 10x Genomics, commented on the results, stating, "Our performance this quarter did not meet our expectations due to unexpected challenges arising from the sales restructuring we undertook during the quarter and cautious spending by our customers. These factors, combined with a challenging macroeconomic environment, have led to lower revenue growth projections than we had anticipated for this year." He added, "Despite these difficulties, I am optimistic that the actions we are taking will allow us to better reach our customers, enhance our performance across our product portfolio, and promote the widespread adoption of our technologies to capitalize on the significant opportunities ahead."

Following the report, 10x Genomics revised its fiscal year 2024 revenue guidance, lowering it from a range of $640 million - $660 million to between $595 million and $605 million.

The stock of 10x Genomics saw a 6.3% increase on Wednesday, trading at $16.79.

In light of the Q3 results, several analysts revised their price targets for 10x Genomics' stock:

• Dan Leonard from UBS maintained a Neutral rating but reduced the price target from $25 to $20.
• JP Morgan analyst Rachel Vatnsdal also kept a Neutral rating while lowering the price target from $20 to $14.
• Goldman Sachs analyst Matthew Sykes maintained a Sell rating and decreased the price target from $16 to $14.
• Citigroup analyst Patrick Donnelly retained a Buy rating but cut the price target from $35 to $23.

Considering buying TXG stock? Here’s what analysts think:

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10x, Genomics, Earnings