So, you know that feeling when a stock goes absolutely bonkers one day and then everyone wakes up the next morning and thinks, "Hmm, maybe let's take some money off the table"? That's the story with bioAffinity Technologies Inc (BIAF) on Monday. After rocketing over 120% on Friday, the shares were down about 12% in premarket trading.
Friday's party was all about one thing: CyPath Lung. This is bioAffinity's flagship diagnostic test, and business is booming. The company reported that revenue from the test jumped 87% year-over-year in 2025. Even more impressively, the number of tests performed nearly doubled, up 99%. That's the kind of growth that gets traders very excited about a clinical-stage diagnostics company.
But here's where the story gets a bit more complicated, as it often does. While CyPath Lung is firing on all cylinders, bioAffinity's total revenue for 2025 actually fell—to $6.2 million from $9.4 million. Why? Management says it's by design. They made a strategic decision to ditch certain unprofitable pathology lab services to go all-in on their high-potential star product. It's a classic "focus on the core" move.
The trade-off, however, is that the company's net loss widened significantly. It hit $14.9 million for the year, compared to a $9.0 million loss the year before. A chunk of that increased loss came from non-cash accounting stuff—specifically, changes in the fair value of warrants—along with the costs of ramping up sales activity for CyPath Lung.
On the brighter side, the balance sheet looks healthier. Thanks to about $16.9 million in financings during 2025, the company ended the year with $6.5 million in cash and equivalents. That's a crucial cushion for a company still in the growth and investment phase.
So, what's next? All eyes are on the next earnings report. bioAffinity is scheduled to release its fourth-quarter results on March 30. Analysts are expecting a loss per share of $2.70 on revenue of $1.41 million. It's worth noting the company has missed earnings per share estimates for the last two quarters in a row.
Monday's pullback looks like a classic case of profit-taking after a parabolic move. Investors are weighing the undeniable success of CyPath Lung against the broader financial picture of strategic shifts and wider losses. The next big data point arrives at the end of the month.
