Oxford Nanopore Shares Plunge Over 20% on Weaker-Than-Expected Revenue Growth

Shares of Oxford Nanopore Technologies (LSE:ONT) plummeted more than 20% on Monday after the genomic sequencing company reported first-half revenue growth that fell short of management's expectations, raising concerns about its full-year targets.

The sell-off was a direct reaction to a scheduled H1 2026 trading update, which sent the stock to a new 52-week low of 95.7 pence.

Revenue Misses Expectations

Oxford Nanopore disclosed that its revenue for the first half of the year was approximately £116.5 million. While this figure represents 10% growth on a reported basis (12% at constant currency), the company acknowledged it was below internal projections.

The shortfall was attributed to significant headwinds in two key regions:

• China: Revenue declined by 16% due to tightened export control restrictions, which the company stated materially curtailed its ability to serve the market.
• The Middle East: Revenue fell by approximately 14%, a decline the company linked to ongoing geopolitical disruption.

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Market Impact and Outlook

The sharp drop in share price reflects investor concern over the company's ability to achieve its full-year goals. The 10% growth in the first half stands in stark contrast to the company's full-year 2026 guidance, which had targeted revenue growth between 21% and 25%. This discrepancy raises questions about whether performance in the second half of the year can bridge the significant gap.

The market's reaction is amplified by the company's financial profile. As Oxford Nanopore is not yet profitable and is targeting EBITDA breakeven in 2027, it has little room for error on top-line growth. The sell-off was specific to the company's announcement, occurring while broader U.S. equity markets posted modest gains.

Broader Context

While industry rivals like Illumina and Pacific BioSciences also face challenges related to China, Monday's stock movement was driven squarely by Oxford Nanopore's specific disclosures. Investors now face a period of uncertainty, as the company is not scheduled to release its full half-year results until August 19, 2026.