Piper upgrades Omnicell, sees buying opportunity on reset

Piper Sandler upgraded Omnicell to Overweight from Neutral with a price target of $39, down from $70. The company reported a Q3 beat and lowered 2023 revenue, adjusted EBITDA and bookings guidance citing tepid demand and end market challenges, the analyst tells investors in a research note. The firm hopes Omnicell’s limited commentary regarding 2024 “has the effect of resetting consensus estimates to more achievable level.” It believes this reset presents a buying opportunity “for those investors comfortable with a 12-month time horizon.”