Canaccord Reiterates Buy On Exact Sciences, Raises PT To $23
In a research note released today, Canaccord analyst Mark Massaro reiterated a Buy rating on Exact Sciences (NASDAQ: EXAS) and raised his price target to $23 (from $21), following yesterday’s announcement that Mayo Clinic will be the first health system to offer Cologuard.
Massaro wrote, “While we are not surprised that the Mayo Clinic is going to offer the test (given its existing strong relationship with EXAS), we view today’s call as a strong endorsement for Cologuard and view this as an opportunity for other health systems to hear directly from GI thought leader Dr. David Ahlquist the case to adopt the test. We think today’s news serves as an offset to Aetna’s preliminary decision not to cover Cologuard.”
The analyst added, “Mayo Clinic is one of the most esteemed healthcare systems in the US and treats ~1,165,000 patients, according to 2012 data from the Mayo Clinic. According to the Mayo Clinic website, the system employs 61,000 health staff (4,100+ staff physicians). We believe Mayo Clinic’s endorsement can help persuade other systems to adopt Cologuard. Mayo Clinic’s Dr. Ahlquist is a thought leader in GI and molecular detection and prevention of GI cancer. Mayo Clinic’s Vijay Shah’s primary focus relates to both alcohol and non-alcohol forms of liver cirrhosis. His professional highlights include: associate editor, Journal of Hepatology, 2014-present, associate editor, Hepatology, 2006-2011. Vijah Shah received his BS in medical science and his MD from Northwestern University.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Mark Massaro has a total average return of -11.7% and a 20% success rate. Massaro is ranked #3019 out of 3260 analysts.