Analyst Joanne Wuensch of Citi maintained a Buy rating on Irhythm Technologies, retaining the price target of $242.00.
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Joanne Wuensch’s rating is based on several key considerations regarding Irhythm Technologies. One of the primary factors is the potential impact of proposed Local Coverage Determinations (LCDs) on the company’s revenue. Although these proposals introduce some uncertainty, they are specifically aimed at the Mobile Cardiac Telemetry (MCT) category, and there is an existing National Coverage Determination (NCD) that provides some protection against conflicting LCDs. This regulatory backdrop is crucial in assessing the risk landscape for Irhythm Technologies.
Furthermore, the company’s Zio AT sales, which contribute significantly to its projected revenue, are expected to remain robust despite the proposed changes. With Medicare accounting for a substantial portion of these sales, the existing NCD offers a level of security. Additionally, the anticipated share price return of 41.7% underscores the potential for significant upside, reinforcing the Buy rating. These factors collectively suggest a favorable outlook for Irhythm Technologies, justifying the positive recommendation.
In another report released on November 3, BTIG also reiterated a Buy rating on the stock with a $215.00 price target.