Maxim Group analyst Michael Diana has reiterated their bullish stance on SWKH stock, giving a Buy rating on August 23.
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Michael Diana has given his Buy rating due to a combination of factors including SWK Holdings’ strategic asset sales and financial performance. The company recently sold its pharma royalty portfolio and MOD3 Pharma assets, allowing it to focus entirely on its core healthcare finance business. This strategic shift is expected to stabilize the company’s financial position, as evidenced by the special dividend paid from the proceeds of these sales.
Moreover, SWK Holdings reported strong second-quarter results, surpassing earnings estimates and showcasing stable credit quality. The tangible book value of its healthcare finance segment was adjusted upwards, leading to an increased price target of $18.50. Despite trading at a discount compared to similar companies, the expectation of a 26% stock price appreciation over the next year reinforces the Buy rating.
In another report released on August 23, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $16.50 price target.