Analyst Michael Matson of Needham reiterated a Buy rating on Lucid Diagnostics, retaining the price target of $3.00.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
Michael Matson has given his Buy rating due to a combination of factors related to Lucid Diagnostics’ recent performance and future prospects. Despite a 12% year-over-year decline in EsoGuard test volume in the second quarter of 2025, the company met consensus revenue expectations. Additionally, Lucid Diagnostics managed to keep its operating expenses below estimates, and its cash burn rate showed a moderate decline, ending the first quarter with approximately $31 million in pro forma cash.
Another significant factor influencing the Buy rating is the upcoming MolDX Contractor Advisory Committee Meeting by the Centers for Medicare and Medicaid Services (CMS) scheduled for September 4, 2025. The meeting will reconsider the local coverage determination for esophageal cancer testing. Given Lucid Diagnostics’ published data, there is a strong likelihood that CMS will revise the coverage to include EsoGuard. This potential coverage expansion by Medicare and other insurers is expected to boost Lucid Diagnostics’ revenue growth and align it more closely with the growth in EsoGuard test volume, reinforcing the Buy recommendation.
According to TipRanks, Matson is an analyst with an average return of -6.9% and a 36.87% success rate. Matson covers the Healthcare sector, focusing on stocks such as Merit Medical Systems, TransMedics Group, and Establishment Labs Holdings.
In another report released today, Canaccord Genuity also maintained a Buy rating on the stock with a $3.00 price target.