TD Cowen analyst Daniel Brennan has maintained their bullish stance on SOPH stock, giving a Buy rating today.
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Daniel Brennan has given his Buy rating due to a combination of factors that highlight SOPHiA GENETICS’s strong performance and growth potential. The company reported impressive third-quarter sales of $19.5 million, surpassing consensus expectations by 7%. This growth was driven by a solid momentum in their clinical business and a significant increase in customer volumes, which grew by 9% year-over-year.
Additionally, SOPHiA GENETICS has successfully expanded its customer base, signing 31 new customers in the third quarter alone, contributing to a robust backlog expected to generate future revenue. The company also raised its guidance for fiscal year 2025, reflecting confidence in its continued growth trajectory. With a strong gross margin exceeding 70% and increasing traction in the liquid biopsy market, Brennan anticipates heightened investor interest, further supporting his positive outlook on the stock.