Omada Health: Accelerating Membership and Revenue Growth Underpins Buy Rating and Upside Potential

Analyst Richard Close of Canaccord Genuity maintained a Buy rating on Omada Health, Inc., retaining the price target of $28.00.

Richard Close has given his Buy rating due to a combination of factors tied to Omada Health’s accelerating growth and strong operating momentum. He notes that preliminary fourth-quarter 2025 revenue and membership figures exceeded both his team’s and the broader market’s expectations, with top-line growth sustaining at roughly 50% and annual revenue projected to rise by just over 50% year over year. Membership growth of 55% and a total enrollee base approaching 900,000 indicate not only robust customer demand but also an acceleration versus the prior quarter, which he interprets as a sign of strengthening market position. Close also highlights that Omada’s momentum is being driven by its cardiometabolic and obesity management programs, which are well aligned with the needs of employers and health plans facing rising costs in these areas.

Additionally, the company’s pattern of strong member additions outside the typical surge at the start of benefit years suggests durable demand and the potential for more frequent in-year client launches, supporting a constructive outlook for future growth. Close views the upside in both revenue and membership as evidence that Omada’s value proposition is resonating with key stakeholders in the healthcare ecosystem. While management has not yet provided updated profitability guidance, the analyst believes the current trajectory in scale and customer adoption provides a solid foundation for continued expansion. Taken together, these factors underpin his conviction that the stock offers attractive upside potential relative to its current valuation, justifying a Buy recommendation.

In another report released today, Barclays also maintained a Buy rating on the stock with a $22.00 price target.