Hologic upgraded to Buy at Needham on above-normal growth potential

As previously reported, Needham upgraded Hologic to Buy from Hold with a $95 price target. COVID-related headwinds for the company will soon end, and Hologic should be able to grow at least at its 5%-7% organic ex-COVID growth target, the analyst tells investors in a research note. Needham also anticipates the potential for above-normal non-COVID Diagnostics, Breast Health, and GYN Surgical growth in the next few quarters, driving operating margin improvement of about 50bps with earnings growth of 8%-12%.