Analyst Caitlin Cronin from Canaccord Genuity maintained a Buy rating on Bioventus (BVS – Research Report) and keeping the price target at $15.00.
Caitlin Cronin’s rating is based on Bioventus’s impressive financial performance and strategic improvements. The company reported a strong fourth quarter, surpassing expectations in revenue, adjusted EBITDA, and pro forma EPS. This growth was driven by double-digit increases in both Pain Treatments and Surgical Solutions, alongside a notable turnaround in the Exogen business, which showed growth after years of decline.
Moreover, Bioventus is strategically positioned for future growth, with expectations of continued double-digit growth in Surgical Solutions and above-market growth in HA. The company anticipates significant cash flow acceleration in 2025 by optimizing inventory and reducing expenses. Additionally, Bioventus plans to maintain leverage below 2.5x net debt to adjusted EBITDA by the end of 2025. These factors, combined with the company’s ability to invest in commercial and R&D initiatives, support the Buy rating as Bioventus transitions from a recovery to an execution story.
According to TipRanks, Cronin is a 4-star analyst with an average return of 6.3% and a 49.32% success rate. Cronin covers the Healthcare sector, focusing on stocks such as Vericel, Globus Medical, and AxoGen.