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Exact Sciences has work to do, says UBS

UBS made no change to the firm’s Neutral rating or $66 price target on Exact Sciences following the FDA’s advisory committee on multi-cancer detection tests. The firm believes the FDA panel favored having a tissue of origin signal as a required feature of an MCD test, which Exact’s Cancerguard does not, and says Exact must convince the community both of the benefits of its test approach without a tissue of origin signal as well as the potential benefits of trading 1 point of specificity for greater sensitivity, or redesign its test, the analyst tells investors in a research note.

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