Carlsmed, Inc.: Strong Performance and Promising Growth Prospects with Upcoming Product Launch

Analyst Travis Steed from Bank of America Securities reiterated a Buy rating on Carlsmed, Inc. and keeping the price target at $16.00.

Travis Steed’s rating is based on Carlsmed, Inc.’s strong performance and future growth prospects. The company’s Q2 results aligned with preliminary expectations, showcasing a solid revenue and gross margin. Despite the market already adjusting expectations, Steed sees potential for revenue growth driven by increased surgeon adoption and a robust pipeline.
Carlsmed’s confidence in its full-year revenue guidance is bolstered by a significant increase in new surgeon additions and predictable procedure volumes. The company anticipates stable pricing, with revenue growth primarily fueled by procedure volumes. Additionally, Carlsmed’s upcoming cervical spine product launch in 2026 is expected to address a significant market need, supported by recent regulatory approvals and reimbursement improvements.

In another report released on August 18, Piper Sandler also initiated coverage with a Buy rating on the stock with a $18.00 price target.