Stifel Nicolaus analyst James Orsborne downgraded the rating on Oxford Nanopore Technologies PLC (ONT – Research Report) to a Sell yesterday, setting a price target of p100.00.
James Orsborne has given his Sell rating due to a combination of factors affecting Oxford Nanopore Technologies PLC. The company’s recent performance has shown a disappointing growth outlook for 2025, which has led to a decline in share prices. The expected revenue growth for 2025 is at the lower end of previous estimates and below prior consensus, indicating potential challenges in meeting mid-term growth targets.
Furthermore, the company faces a deteriorating funding environment and increasing competition, which adds uncertainty to its investment case. Despite trading at a discount to peers, these factors contribute to the increased downside risk to mid-term guidance. The company’s cash reserves, although currently healthy, are expected to be strained by future losses unless there is an injection of capital or significant cost savings. These elements combined have led to the downgrade to a Sell rating with a price target of 100p.
Based on the recent corporate insider activity of 27 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of ONT in relation to earlier this year.