Guggenheim starts Adaptive with Buy on cancer test leadership

Guggenheim initiated coverage of Adaptive Biotechnologies (ADPT) with a Buy rating and $20 price target The company is and should remain the dominant provider of minimal residual disease blood cancer tests, the analyst tells investors in a research note. The firm sees a path for sustained revenue growth for Adaptive due to continued market conversion, penetration into different indications, and price increases. The shares trade at a “notable discount” to other leading cancer specialty lab companies, contends Guggenheim.