Schall, Brown & Schwartz LLP has joined Bragar Eagel & Squire, P.C. and Kirby McInerney LLP in investigating potential securities law violations by Myriad Genetics, Inc. (NASDAQ: MYGN). The legal scrutiny intensifies after Myriad’s stock price plummeted 47%, closing at $2.86 on July 31, 2026, following disappointing second-quarter financial results that missed Wall Street consensus and forced a sharp downgrade in full-year guidance.

The investigation centers on disclosures made on July 30, 2026, when Myriad reported Q2 revenue of approximately $190.7 million, down roughly 11% year-over-year. This figure fell 7% to 8% below the Wall Street consensus estimate of $206–$208 million. Simultaneously, the company slashed its full-year 2026 revenue guidance to $770–$790 million from the previously reiterated range of $860–$880 million—a reduction of approximately $90 million at the midpoint. Management also lowered gross margin expectations and suspended its adjusted EBITDA guidance entirely, which had been set at $37–$49 million.

Operational and Financial Pressures

Myriad attributed the shortfall to reimbursement pressure, collections issues, lower average revenue per test, and weaker prenatal performance. Average revenue per test fell by 9%, while hereditary cancer testing revenue declined by 13% despite an 8% increase in volume. The company identified "payer-generated revenue-cycle friction" as a key driver, citing changing prior-authorization requirements, increased medical-record requests, and higher denial rates.

New details reveal an $11 million reduction in revenue due to changes in collection estimates for tests completed in prior periods. Management acknowledged these issues were "not new" and admitted that earlier engagement with payers "could have reduced the downstream impact" on financial performance. Specifically, unfavorable estimate changes were associated primarily with first-quarter 2026 orders.

Key Financial Metrics

Legal Proceedings

No lawsuit has been filed at this stage. Schall, Brown & Schwartz LLP, along with Bragar Eagel & Squire, P.C. and Kirby McInerney LLP, is determining whether claims can be brought under federal securities laws. Shareholders who purchased or acquired Myriad securities between the relevant periods are encouraged to contact litigation partners Brandon Walker or Melissa Fortunato at investigations@bespc.com or (212) 355-4648 to discuss their rights. Alternatively, investors may contact Brian Schall or David Schwartz of Schall, Brown & Schwartz LLP at 310-301-3335. Investors may also contact Lauren Molinaro of Kirby McInerney LLP at investigations@kmllp.com or (212) 699-1171.

Law firm Levi & Korsinsky, LLP announced on Aug. 10, 2026, that it is investigating potential securities fraud claims against Myriad Genetics, Inc. (NASDAQ: MYGN) following a significant downgrade in financial outlook. The investigation centers on whether the company made materially false or misleading statements regarding its full-year 2026 performance between May 5, 2026, and early August 2026. Myriad Genetics reported Q2 2026 revenue of approximately $190.7 million, missing consensus estimates by 7% to 8%, and subsequently cut full-year revenue guidance by roughly $90 million at the midpoint while suspending adjusted EBITDA guidance entirely.

The core of the inquiry involves a stark divergence between management's public affirmations and subsequent actual results. On May 5, 2026, during its first-quarter earnings call, Chief Financial Officer Ben Wheeler reaffirmed the company's full-year 2026 financial guidance, projecting revenue of $860 million to $880 million and adjusted EBITDA of $37 million to $49 million. Chief Executive Officer Samraat Raha indicated that the company anticipated sequential revenue growth in the low single digits for the second quarter. However, actual performance fell short, with Q2 revenue declining from the prior quarter's $200.4 million.

Key Financial Discrepancies

Management attributed the shortfall to reimbursement pressure, collections issues, lower average revenue per test, and weaker prenatal performance. These operational headwinds were further highlighted by working capital metrics disclosed in the company's Form 10-Q for the quarter ended March 31, 2026, filed on May 6, 2026. The filing reported net cash used in operating activities of $15.7 million. Additionally, trade accounts receivable rose to $123.8 million, up from $115.3 million at December 31, 2025, suggesting potential collection pressures that may have preceded the revenue miss.

What the Numbers Show

The rapid reversal of guidance within a three-month window highlights significant volatility in Myriad Genetics' operational execution. The shift from reaffirming a $860-$880 million revenue band to cutting it to $770-$790 million suggests that the initial May 5 statements may not have accurately reflected the underlying business trajectory. Furthermore, the suspension of EBITDA guidance indicates that margin pressures or cost structures may have deteriorated more severely than disclosed during the Q1 earnings call. Investors are advised to gather brokerage records, including purchase dates, share quantities, and prices paid, to evaluate their potential eligibility for the ongoing investigation. Eligibility is determined by purchase date and documented losses, regardless of whether the investor still holds the shares.