Lucid Diagnostics: Strong Cash Position and Growing EsoGuard Test Volumes Justify Buy Rating

Analyst Michael Matson of Needham maintained a Buy rating on Lucid Diagnostics (LUCD – Research Report), retaining the price target of $3.00.

Michael Matson has given his Buy rating due to a combination of factors including the year-over-year growth in the volume of EsoGuard tests, which increased by 14% in the first quarter of 2025. Despite missing consensus revenue expectations due to temporary payment delays with United Healthcare, Lucid Diagnostics shows potential for revenue growth. The company ended the quarter with approximately $40 million in cash after a successful fundraising effort in April, which strengthens its financial position.
Matson anticipates that Lucid Diagnostics will see increased revenue growth as it gains coverage from Medicare and other insurers, which is expected to align more closely with the growth in EsoGuard test volumes. This potential for expanded coverage and the company’s solid cash position contribute to the positive outlook and justify the Buy rating.