Nanosphere Could Be An Attractive Takeout Candidate, Says Roth Capital; Keeps $1.50 PT
In a research report published today, Roth Capital analyst Chris Lewis reiterated a Buy rating on Nanosphere (NASDAQ:NSPH) with a $1.50 price target, as NSPH announced the engagement of an investment bank to assist in a review of strategic alternatives.
Lewis noted, “Despite NSPH’s financial constraints, choppy execution, and competitive pressures, we continue to believe in the company’s differentiated technology and long-term strategic value. As such, we believe the company could be an attractive takeout candidate for the appropriate suitor, and expect the strategic evaluation could expedite that process.” The analyst added, “In our view, potential acquirers could include Abbott, Becton Dickinson, BioMerieux, Bruker, Cepheid, GenMark, Luminex, Roche, and Siemens, in our opinion. That said, we question whether NSPH will be able to capture full value through a sale of the company at this time given its unfavorable financial predicament and lack of alternative strategic options.”
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 -5.7% and a 44.4% success rate. Lewis has a -55.1% average return when recommending NSPH, and is ranked #3081 out of 3255 analysts.