Stanley Druckenmiller’s Top Holding for Eight Quarters: Why Natera Stands Out

Stanley Druckenmiller has built a notable investing career, marked by high‑risk bets that have yielded substantial returns—most famously his partnership with George Soros at the Quantum Fund, where shorting the British pound generated roughly $1 billion in profit.

Because of that track record, the moves made by Druckenmiller’s Duquesne Family Office attract close attention. One of his most intriguing positions is Duquesne’s current largest holding, which has remained his top pick for eight consecutive quarters. It isn’t a household name; rather, it is a next‑generation healthcare diagnostics firm that once flew under the radar.

Diagnostics‑Focused Bet

This sizable wager on the future is Natera (NASDAQ: NTRA), a medical diagnostics company that leverages proprietary, state‑of‑the‑art technology to analyze patients’ blood samples. While several firms offer liquid biopsies, Natera’s personalized, tumor‑informed approach positions it as a leading screening tool across multiple indications.

The company’s flagship application is oncology, a focus that reflects the widespread impact of cancer. Natera’s portfolio includes Signatera, a highly individualized assay built from each patient’s tumor profile that detects circulating tumor DNA in blood. The utility of this method in cancer detection is substantial; in the second quarter Natera processed approximately 296,700 oncology tests—a 57 % increase year‑over‑year.

Beyond oncology, Natera’s overall test volume continues to rise. In the same quarter the total number of completed tests climbed more than 22 % to surpass the one‑million mark.

Natera’s financial performance mirrors this testing momentum. Second‑quarter revenue, derived almost entirely from testing services, rose 38 % year‑over‑year. Although research‑and‑development expenses increased—a typical sign of an ambitious healthcare enterprise—the net loss narrowed significantly, falling from roughly $101 million in the prior‑year quarter to under $67 million.

Growth Opportunities

Natera still possesses considerable upside by expanding the geographic reach and clinical scope of its tests. The company is already advancing on that front; in late June it received clearance from Japan’s Pharmaceuticals and Medical Devices Agency (PMDA) to use Signatera for colorectal‑cancer screening.

Adoption is also being buoyed by expanded Medicare local coverage determinations, which are issued by regional administrative contractors. These decisions have broadened reimbursement for Natera’s assays and are expected to remain a key driver of uptake.

A common concern for emerging healthcare companies is cash runway—how long they can sustain operations while incurring losses. Natera appears well‑positioned: at the end of June it held nearly $1.1 billion in cash, a balance that has grown modestly over each of the preceding four quarters. Management projects positive free cash flow for the full year 2026, suggesting the liquidity cushion will remain ample for the foreseeable future.

According to data compiled by Yahoo! Finance, 19 analysts currently follow the stock, underscoring its rising profile. Their consensus forecasts call for a full‑year 2026 loss of $1.39 per share and a 2027 loss of just $0.09 per share—both notable improvements over the $1.52 per‑share deficit recorded in the prior year.

Revenue is projected to expand as well. Analysts anticipate 2026 sales of approximately $2.91 billion, representing almost a 26 % increase over 2025. For 2027 the outlook points to nearly $3.5 billion in annual revenue.

Considerations and Risks

Natera is not without drawbacks; if it were a flawless investment, Druckenmiller likely would have entered and exited the position years ago. While the company’s bottom‑line losses are trending downward, they remain sizable and persistent, and operating expenses will continue to be substantial.

The stock’s profile has risen partly due to the endorsement of a respected investor, and its share price has climbed roughly 87 % over the past twelve months—far outpacing the S&P 500’s 17 % gain. This appreciation has pushed valuations to lofty levels, with a price‑to‑sales ratio approaching 17.

Should you emulate Druckenmiller and buy Natera? I believe the stock retains considerable upside, given its limited direct competition and the principle that superior diagnostics generate stronger demand. Even after the recent price rally, I see further room for appreciation and consider Natera a sound purchase.

Is Natera a Buy Today?

Before taking a position in Natera, weigh the following points.

The Motley Fool Stock Advisor analyst team recently highlighted what they view as the ten best stocks for investors to acquire at present; Natera did not make that list. The selected stocks are projected to deliver outsized returns in the coming years.

For illustration, when Netflix appeared on that list on December 17, 2004, a $1,000 investment would have grown to about $417,413. Likewise, when Nvidia was featured on April 15, 2005, the same $1,000 would now be worth roughly $1,341,294.

It is worth noting that Stock Advisor’s historical average return stands at 950 %, vastly outperforming the S&P 500’s 212 % return over the same period.

*Stock Advisor returns as of September 14, 2026.

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