Treace Medical downgraded to Neutral from Buy at UBS

UBS analyst Danielle Antalffy downgraded Treace Medical to Neutral from Buy with a price target of $6.50, down from $16. The analyst cites limited visibility into Treace’s further penetration into the bunion market and its ability to maintain share in the face of competitive entrants for the downgrade. Treace, being largely a single product company, is facing both direct and indirect competition, which leads UBS to reduce its fiscal 2024 growth estimates to low-double-digits from 20% and has left little visibility for investors regarding outyear growth, the analyst tells investors in a research note.