TD Cowen analyst Brendan Smith has maintained their bullish stance on OABI stock, giving a Buy rating today.
Brendan Smith has given his Buy rating due to a combination of factors, despite the recent pullback in OmniAb’s shares. The conservative fiscal year 2025 guidance, driven by uncertainties in the timing of partner milestones, has led to a reduction in the price target. However, the growing partnership pipeline and upcoming data readouts present significant opportunities for stock appreciation.
Smith acknowledges the unexpectedly conservative revenue guidance for FY25, which is below consensus expectations, but remains optimistic about the platform’s potential. The company’s advancing pipeline is expected to provide more detailed insights into competitive positioning and long-term commercial opportunities. Management’s confidence in the commercial potential of royalty-partnered assets is seen as a key growth driver, contingent on successful execution of near-term goals.
In another report released today, Benchmark Co. also maintained a Buy rating on the stock with a $6.00 price target.