Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Aug 10, 2026
Genedx Holdings Corp. (WGS)
A forensic read on Genedx Holdings Corp. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Safe
Financial health
4.6
Distress distance
Clean
Earnings quality
6
Forensic signals
-21.2
P / E (ttm)
-6.8%
ROE
$2.3B
Market cap
0.00%
Dividend yield
40.0%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Genedx Holdings Corp. earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 4.6, placing it in the Safe zone. 6 forensic signals were flagged in its latest SEC filings, led by receivables vs revenue.
What the filings flag
63d DSO
FY2024→FY2025
Receivables vs revenue.Days sales outstanding moved from 45 to 63 days FY2024→FY2025 (receivables +98% vs revenue +40%). Receivables are outrunning sales — a flag for aggressive revenue recognition or slipping collections. Measured against the same quarter twelve months earlier — like-for-like on the calendar, so an ordinary seasonal build cannot produce it — receivables took longer to collect in 3 consecutive quarters (Dec 2025 +20, Mar 2026 +20, Jun 2026 +24 days). In the latest of them the receivable balance grew +74% against sales +11%, so more of a quarter's billings were still outstanding at the period end than a year earlier — money the company has recognized and not yet been paid. There's no FY2023 figure on file for receivables, so FY2024 has no opening balance to average against — both figures are measured on period-end balances rather than the beginning-plus-ending average, since averaging only the current year would make the move track balance-sheet growth rather than the business.
-3.3%
FY2025
Return on invested capital.Return on invested capital is -3.3% in the latest fiscal year and rising from -232% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
+18.2%
FY2024→FY2025
Accruals ratio (% of NOA).Net operating assets grew +18.2% relative to their own average in FY2025 — scaled by NOA itself, not total assets (see the Forensic Screens card's differently-scaled Sloan Accrual Ratio for that read). Accruals are building faster than is comfortable — part of profit is sitting in the balance sheet rather than turning to cash. The build is led by receivables up +98% against revenue +40% and payables paid down 69% against +16% in cost of sales. This is the third straight fiscal year of building accruals — a multi-year streak is a materially stronger tell than a single year's move. The cash-flow cross-check is more mixed: reported earnings ran behind operating cash by 23% of net operating assets, diverging from the balance-sheet accrual read.
Key fundamentals
Latest Revenue$427.5M
Revenue Growth YoY+40.0%
Revenue CAGR (3yr)+22.1%
Net Margin-4.9%
Free Cash Flow$14.3M
Return on Equity-6.8%
Debt / Equity0.17x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Genedx Holdings Corp.'s actual 10-K/10-Q/8-K filings?
Share count (stock split).Diluted share count changed +180% over the last 3 years to FY2025, but that includes a large one-time change around FY2023 consistent with a stock split or reverse split, not gradual buybacks or issuance — a split changes the count with NO effect on any holder's proportional ownership, so the raw +40.9%/yr figure isn't a real buyback/dilution read here.
8% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 8% of revenue and 226% of free cash flow in FY2025 — about $1.12 per diluted share. The cost of it is not in the cash flow — no cash left the business — it is in the count, and there it has run at about 8.6% a year and is falling.
$174M
FY2022–FY2022
Goodwill impairments.Took $174M of goodwill writedowns across 1 year (FY2022 ($174M)). Writedowns mean past acquisitions underperformed what was paid for them.