23andMe Stock Sinks To New Low

In what has been a challenging market environment, 23andMe Holding's stock (NASDAQ:ME) has plummeted to new lows, touching the $4.67 mark in the most recent session. This represents a dramatic decline of 74.02% since the beginning of the year, and underlines the genetic testing company's ongoing struggles.

The dip in stock price follows a turbulent period for the company that included a significant strategic shift with a 1-for-20 reverse stock split to remain in compliance with NASDAQ listing requirements. This manoeuvre has done little to stem the tide, which has seen 23andMe's stock price shed more than 98% from 2021 highs.

The company, known for its personal genetic testing kits, has faced a tough quarter with first-quarter revenues for the year 2025 falling by 34% to $40 million. This significant revenue drop primarily stems from the termination of a partnership with pharmaceutical giant GSK. Despite this setback in revenue, 23andMe managed to report some silver linings. The company's net loss for the quarter improved, coming in at $69 million ─ an improvement over the previous year's $105 million ─ suggesting a degree of cost control in adverse conditions.

Beyond financial performance, 23andMe faces challenges on the governance front, with potential delisting from the Nasdaq. This risk arises from the company's non-compliance with the exchange's corporate governance requirements, following the resignation of independent directors who cited strategic differences with CEO Anne Wojcicki.

Nevertheless, 23andMe hasn't shied away from innovation and expansion. Recently, the company has debuted a report that explores the genetic predisposition to emotional eating. It also entered a partnership with Mathew Knowles to promote the benefits of genetic testing in identifying health risks. Moreover, their subsidiary, Lemonaid Health, ventured into weight management with the introduction of a novel weight loss program that provides access to GLP-1 medications through a subscription service.

While 23andMe demonstrates adaptability and efforts to innovate, it currently bears the brunt of a significantly bearish pressure. With the stock down 30% in the past month of trading, trying to time the bottom here would be akin to trying to catch the proverbial falling knife. For those paying attention to pre-market moves, ME is trading 0.95% in the green through the early stage of the session.