Avid Bioservices price target lowered to $15 from $17 at RBC Capital

RBC Capital analyst Sean Dodge lowered the firm’s price target on Avid Bioservices to $15 from $17 but keeps an Outperform rating on the shares. The company’s Q1 results were “mixed” with revenue exceeding estimates but EBITDA missing expectations, the analyst tells investors in a research note. The typical Q2 seasonal slowing and Gene Therapy opening means EBITDA is unlikely to have bottomed yet, but given the large amount of unused capacity, once revenue re- accelerates, it should come on at very high incremental margins, the firm added.