Daniel Brennan, an analyst from TD Cowen, maintained the Hold rating on Myriad Genetics (MYGN – Research Report). The associated price target is $18.00.
Daniel Brennan’s decision to rate Myriad Genetics with a Hold rating is influenced by several aspects. Firstly, MYGN demonstrated a solid performance in a seasonally weak quarter by posting a 3% revenue increase, excluding a one-time benefit. Moreover, the company has raised its guidance by $10M at the midpoint for 2023 and initiated 2024 guidance, aligning with the long-term rate of 10%+ per annum. This, in addition to positive commentary, is seen as a progressive move towards building confidence in the long-term.
Despite MYGN’s strong third quarter performance, Brennan maintains a Hold position due to its valuation currently sitting at 1.8x EV/’24 Rev and the stock’s performance being well relative to lab peers. However, he does see potential upside if the company continues to execute well and confidence builds in the durability of LDD+ growth and durable positive free cash flow and profitability. In the third quarter, revenue growth was broad across the portfolio, with HCT, Prenatal, and Pharmacogenomics all surpassing forecast, although Tumor Profiling fell light of estimates. Finally, the raised guidance for 2023 and the 2024 guidance being in line with the long-term plan contributes to Brennan’s Hold rating.
See today’s best-performing stocks on TipRanks >>
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Myriad Genetics (MYGN) Company Description:
Myriad Genetics, Inc. engages in the discovery, development, and marketing of transformative molecular diagnostic test. It operates through the Diagnostics and Other segments. The Diagnostics segment provides testing and collaborative development of testing that is designed to asses an individual’s risk of developing a disease later in life. The Other segment offers products and services to the pharmaceutical, biotechnology and medical research industries, research and development, and clinical services for patients; and also includes corporate services such as finance, human resources, legal, and information technology. The company was founded by Walter A. Gilbert, Mark H. Skolnick, and Peter D. Meldrum in May 1991 and is headquartered in Salt Lake City, UT.
Read More on MYGN:
- Myriad Genetics Reports Third Quarter 2023 Financial Results; Generates Double-Digit Revenue Growth; Raises 2023 Revenue Guidance and Introduces 2024 Revenue Guidance
- Myriad Genetics appoints Raha as Chief Operating Officer
- Myriad Genetics Appoints Sam Raha as Chief Operating Officer
- Myriad Genetics to Release Third Quarter Financial Results on November 6, 2023
- Is MYGN a Buy, Before Earnings?
