Roth Capital Maintains Buy On Exact Sciences Following 3Q Update
In a research report issued today, Roth Capital analyst Chris Lewis maintained a Buy rating on Exact Sciences (NASDAQ:EXAS) with a price target of $30, following the company’s third-quarter update.
Lewis noted, “With FDA approval and CMS reimbursement now in place, we expect EXAS investors will focus primarily on Cologuard’s commercial launch trajectory, including the rate of physician adoption, commercial execution, and third party reimbursement coverage. Early commercial indications around better-than- anticipated physician sign-ups and conversions paired with accelerating test order volumes appear encouraging.”
The analyst added, “We reiterate our Buy rating on EXAS and expect a continued acceleration in physician adoption and test order volumes will drive significant revenue growth over the near and longer term. We continue to believe Cologuard will become a viable standard of care option in the colorectal cancer screening paradigm over the coming years. Our $30 target price is based on our P/E, peer comparable, and NPV analyses, and implies ~6.5x our 2018 revenue projection, discounted back to 2015 at 15% per year.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Chris Lewis has a total average return of -6.8% and a 45.2% success rate. Lewis has a 40.9% average return when recommending EXAS, and is ranked #3144 out of 3349 analysts.