Analyst Daniel Brennan of TD Cowen maintained a Buy rating on GeneDx Holdings, boosting the price target to $118.00.
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Daniel Brennan has given his Buy rating due to a combination of factors that highlight GeneDx Holdings’ promising growth prospects. The company reported a strong second quarter, surpassing expectations with higher test volumes and pricing, as well as improved EBIT margins. This performance led to an increase in guidance, with a projected revenue growth of approximately 35% by 2025, driven by a significant rise in WES/WGS revenues.
Moreover, the potential expansion into the pediatric market, which is three times larger than the current specialist focus, presents a substantial growth opportunity starting from late 2026 or 2027. The company’s visibility into the second half of the year’s exome/genome volume ramp is also a key factor, as it appears reasonable based on revenue forecasts. Additionally, the NICU market represents a $1 billion opportunity, with significant progress already made in terms of orders from top NICUs and health systems. These elements collectively support the Buy rating, reflecting confidence in the company’s future performance.
According to TipRanks, Brennan is a 4-star analyst with an average return of 10.6% and a 48.14% success rate. Brennan covers the Healthcare sector, focusing on stocks such as Bruker, Thermo Fisher, and GeneDx Holdings.
In another report released today, Craig-Hallum also maintained a Buy rating on the stock with a $0.00 price target.