Omada Health (NASDAQ:OMDA) Announces Quarterly Earnings Results, Beats Expectations By $0.10 EPS

Omada Health (NASDAQ:OMDA) posted its earnings results on Thursday. The company reported $0.08 EPS for the quarter, beating analysts’ consensus estimates of ($0.02) by $0.10, Zacks reports. The company had revenue of $87.83 million for the quarter, compared to analysts’ expectations of $80.93 million. Omada Health had a negative net margin of 2.22% and a negative return on equity of 1.82%.

Here are the key takeaways from Omada Health’s conference call:

• Record Q2 performance: Revenue rose 43% year over year to $88 million, while GAAP gross margin expanded to 73%, net income reached $5 million, and adjusted EBITDA rose to $11 million.
• Omada ended the quarter with approximately 1.1 million members, up 45% year over year, supported by broad growth across diabetes, hypertension, GLP-1, prevention, and weight-health programs. Members also remained in active treatment nearly 10% longer, while cost of revenue per member declined more than 10%.
• Commercial momentum remains strong, including new employer wins, expanding PBM channels, a cholesterol launch with a major retailer, and an HCSC expansion covering an additional 1.5 million lives that is expected to begin contributing revenue in the first half of 2027.
• Management raised full-year 2026 guidance to $334 million-$340 million of revenue and $21 million-$27 million of adjusted EBITDA, citing Q2 strength and visibility into the second half.
• CEO and co-founder Sean Duffy will become Executive Chair on January 1, 2027, with President Wei-Li Shao succeeding him as CEO; management characterized the transition as planned and emphasized continuity, while noting that second-half revenue growth and EBITDA margins will moderate because of seasonality and ongoing investments.

Omada Health Stock Performance

NASDAQ OMDA opened at $19.54 on Friday. The firm has a market cap of $1.16 billion, a price-to-earnings ratio of -72.37 and a beta of 1.73. The firm has a 50 day simple moving average of $20.24 and a 200-day simple moving average of $16.15. Omada Health has a one year low of $10.28 and a one year high of $26.92.

Wall Street Analyst Weigh In

OMDA has been the topic of a number of research analyst reports. BTIG Research assumed coverage on shares of Omada Health in a research note on Friday, July 17th. They issued a “buy” rating and a $30.00 price target on the stock. Barclays increased their price objective on shares of Omada Health from $20.00 to $25.00 and gave the stock an “overweight” rating in a research report on Monday. Citizens Jmp boosted their target price on Omada Health from $21.00 to $27.00 and gave the company a “market outperform” rating in a research report on Monday, July 20th. Canaccord Genuity Group upped their price target on Omada Health from $24.00 to $28.00 and gave the stock a “buy” rating in a research note on Tuesday, July 21st. Finally, The Goldman Sachs Group restated a “buy” rating on shares of Omada Health in a research report on Friday, May 8th. Eleven equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Omada Health has a consensus rating of “Moderate Buy” and a consensus price target of $24.75.

Insiders Place Their Bets

In other Omada Health news, CFO Steven L. Cook sold 12,337 shares of the business’s stock in a transaction on Tuesday, July 7th. The shares were sold at an average price of $23.09, for a total value of $284,861.33. Following the completion of the transaction, the chief financial officer owned 187,209 shares in the company, valued at $4,322,655.81. The trade was a 6.18% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, CEO Sean P. Duffy sold 12,944 shares of the stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $20.40, for a total value of $264,057.60. Following the completion of the sale, the chief executive officer owned 411,861 shares in the company, valued at approximately $8,401,964.40. The trade was a 3.05% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 206,406 shares of company stock worth $4,191,483 in the last ninety days. 6.38% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Omada Health

Several large investors have recently bought and sold shares of OMDA. XTX Topco Ltd purchased a new position in shares of Omada Health in the 4th quarter valued at about $297,000. Utah Retirement Systems purchased a new position in Omada Health in the fourth quarter worth approximately $1,237,000. VARCOV Co. acquired a new position in Omada Health during the 4th quarter worth approximately $504,000. Voloridge Investment Management LLC purchased a new stake in shares of Omada Health in the 4th quarter valued at approximately $2,590,000. Finally, Tudor Investment Corp ET AL raised its holdings in shares of Omada Health by 373.7% in the 4th quarter. Tudor Investment Corp ET AL now owns 211,416 shares of the company’s stock valued at $3,336,000 after purchasing an additional 166,783 shares in the last quarter.

About Omada Health

Omada Health is a digital health company that specializes in the prevention and management of chronic conditions through personalized, technology-driven programs. The company’s platform combines data analytics, behavioral science and human coaching to support individuals at risk for or living with conditions such as prediabetes, type 2 diabetes, hypertension and musculoskeletal disorders. Participants access the program via a mobile app or web portal, where they receive tailored curriculum, feedback on health metrics and ongoing virtual coaching.

In addition to its core disease-management offerings, Omada Health has expanded its services to include mental health support and digital therapeutics for weight management.