Analyst Ratings February 17, 2026

Piper Sandler Sticks With Overweight on Natera, Cites Japan as Major Market Opportunity

Analyst reiterates $230 price target and highlights potential for Signatera expansion in Japan alongside multiple clinical and regulatory developments

By Nina Shah NTRA
Piper Sandler Sticks With Overweight on Natera, Cites Japan as Major Market Opportunity
NTRA

Piper Sandler has reaffirmed an Overweight rating and a $230 price target on Natera (NTRA), citing a roughly 12% upside from the prevailing share price and pointing to Japan as a potentially underappreciated growth market for the company’s Signatera test. The firm emphasized a 2026 approval target in Japan and commercialization with reimbursement in 2027, and outlined several additional growth catalysts including ongoing clinical trials and regulatory filings.

Key Points

  • Piper Sandler reaffirmed an Overweight rating and a $230 price target on Natera, implying roughly 12% upside from the cited $206.23 share price - impacts equity markets and diagnostics sector.
  • Japan is identified as a major expansion market for Signatera with planned approval in 2026 and commercialization with reimbursement in 2027, which could bolster Natera’s revenue trajectory in the healthcare diagnostics space.
  • Natera has multiple clinical and regulatory initiatives underway - including a U.S. PMA submission for Signatera CDx, completed enrollment in the ACES-EMB transplant study, and forthcoming EXPAND data - affecting oncology, transplant medicine, and maternal-fetal diagnostics.

Piper Sandler has maintained its Overweight recommendation on Natera (NASDAQ:NTRA), keeping a price target of $230.00 that implies about 12% upside from the quoted share price of $206.23. The analyst house also noted a range of analyst price targets extending from $186 to $300, and the company’s market capitalization was cited at $28.53 billion.

The firm singled out Japan as a strategically significant market for Natera’s Signatera molecular residual disease test, arguing that investors may not be fully valuing the opportunity. Piper Sandler said Natera intends to secure regulatory approval for Signatera in Japan in 2026 and to begin commercial sales with reimbursement in 2027. If realized, that expansion could add momentum to revenue growth that has already been robust - Natera reported a 38.17% increase in revenue over the last twelve months.

According to the note, Japan presents several characteristics that favor specialty diagnostics. The market features centralized testing infrastructure and a single-payer system capable of covering a test for the national population, attributes the firm believes are conducive to broad uptake. The analysts also pointed to colorectal cancer case volumes in Japan as being comparable to those in the United States, suggesting a sizable addressable market for Signatera.

Piper Sandler outlined a set of potential expansion vectors for Signatera beyond the Japan rollout, including broader pan-cancer indications, alignment with NCCN guidelines, and ongoing clinical work such as the VEGA trial. These elements were presented as complementary drivers that could support adoption and guideline inclusion over time.


Separately, Natera has advanced multiple programs and regulatory initiatives that the analyst community is watching. The company submitted a premarket approval application to the U.S. Food and Drug Administration for Signatera CDx, a test designed to detect molecular residual disease in patients with muscle-invasive bladder cancer. That submission rests on results from the phase 3 IMvigor011 clinical trial, which reported significant improvements in disease-free and overall survival for patients who were Signatera-positive and subsequently treated with atezolizumab.

On the transplant front, Natera completed enrollment for the ACES-EMB study evaluating its Prospera Heart test. The trial includes more than 300 patients across 17 U.S. transplant centers and is positioned to assess whether the blood-based test can reduce reliance on invasive biopsies for monitoring heart transplant rejection.

Looking to maternal-fetal medicine, Natera said it will present data from the EXPAND clinical trial at the Society for Maternal-Fetal Medicine meeting in 2026. That presentation will focus on the Fetal Focus screening test and its performance in detecting inherited disease-causing variants.

The company also introduced a new artificial intelligence model intended to enhance risk assessment for cancer recurrence by integrating multiple data inputs into the Signatera MRD platform.

Among other sell-side commentary, Canaccord Genuity retained a Buy rating on Natera after preliminary fourth-quarter results that showed expected revenue growth near 40% year-over-year and a 17% increase in test volume.


These items together create a mosaic of commercial, regulatory, and clinical catalysts that underpin Piper Sandler’s stance. The firm’s reiterated Overweight rating reflects an expectation that the combination of geographic expansion, guideline progress, trial readouts, and product enhancements could sustain above-market growth for the company’s diagnostics franchises.

Risks

  • Regulatory timelines and approvals remain uncertain - the planned 2026 approval in Japan and the U.S. PMA process for Signatera CDx carry inherent timing and outcome risk, which could affect healthcare and diagnostics markets.
  • Reimbursement and commercialization timing in Japan is contingent on securing coverage in 2027 - delays or limited reimbursement could reduce the anticipated market impact on diagnostics revenues.
  • Clinical trial outcomes and guideline incorporation are uncertain - the prospective benefits from trials such as IMvigor011, VEGA, ACES-EMB, and EXPAND depend on final data and regulatory or guideline responses, influencing oncology and transplant sectors.

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