Stephens starts Paragon 28 at Overweight, sees return to positive EBITDA in FY24

Stephens analyst George Sellers initiated coverage of Paragon 28 with an Overweight rating and $23 price target. The company’s broad device portfolio spans the full breadth of F&A surgical procedures, positioning it to effectively compete with single device companies, the analyst tells investors in a research note. While Paragon’s increased investments in R&D and sales/marketing drove negative adjusted EBITDA in 2022, the business is poised to return to positive adjusted EBITDA in 2024 and beyond, Stephens adds.