Caitlin Cronin, an analyst from Canaccord Genuity, maintained the Buy rating on Vericel (VCEL – Research Report). The associated price target was lowered to $61.00.
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Caitlin Cronin has given her Buy rating due to a combination of factors including Vericel’s maintained revenue guidance for fiscal year 2025 and an increase in profitability guidance. The company’s gross margin expectations have been adjusted to align with the updated guidance of 75%, and the adjusted EBITDA margin is anticipated to reach 26%.
Cronin has also revised the price target for Vericel to $61 from $67, reflecting a retraction in comparative multiples within the high-growth peer group. Despite a slight decrease in fiscal year revenue expectations following the Q1 results and Q2 guidance, the valuation remains robust, supported by a premium increase from 60% to 75% over the comparison group.
VCEL’s price has also changed moderately for the past six months – from $55.890 to $42.650, which is a -23.69% drop .