Analyst Tycho Peterson from Jefferies reiterated a Buy rating on Exact Sciences (EXAS – Research Report) and keeping the price target at $80.00.
Tycho Peterson has given his Buy rating due to a combination of factors including Exact Sciences’ impressive first-quarter performance and promising future outlook. The company reported a significant revenue beat, surpassing expectations by $20 million, and demonstrated strong growth in its screening segment, which contributed to a 14% year-over-year increase. Additionally, the company’s EBITDA showed notable improvement, with a 280 basis point increase year-over-year, and the fiscal year guidance was raised by $40 million at the midpoint.
Furthermore, Exact Sciences is making substantial progress in its pipeline, particularly in areas like MRD, CRC blood, and MCED, which are expected to drive future growth. The company’s valuation, currently at 17 times EBITDA, suggests potential for further appreciation as investor sentiment improves. These factors, combined with strong commercial execution and increased customer engagement, underpin Peterson’s confidence in the stock’s potential, leading to the reiteration of a Buy rating.
Peterson covers the Healthcare sector, focusing on stocks such as Exact Sciences, Qiagen, and Bruker. According to TipRanks, Peterson has an average return of 3.6% and a 50.32% success rate on recommended stocks.
In another report released today, TD Cowen also maintained a Buy rating on the stock with a $75.00 price target.