Penumbra price target lowered to $205 from $289 at RBC Capital

RBC Capital lowered the firm’s price target on Penumbra to $205 from $289 and keeps an Outperform rating on the shares. The company delivered a Q2 beat on sales and EPS but lowered its FY24 revenue guidance by $60MM at the midpoint, the analyst tells investors in a research note. The guidance reduction was disappointing, spanning U.S. thrombectomy, Europe/China, and Immersive Health businesses, while putting in focus Penumbra’s 2025 and long-term growth, the firm added. Longer term, RBC remains positive based on Penumbra’s attractive end-markets and the company’s ability to drive double-digit revenue growth while improving profitability.