MiMedx pullback presents ‘compelling entry point,’ says Northland

Northland attributes year-to-date weakness in MiMedx (MDXG) shares to concerns around CMS reimbursement in the private physician setting that represents about 25% of revenue and technical pressure following breaks below the 50- and 200-day moving averages. However, the firm argues that the “dislocation is unsupported” and views the recent pullback as one that “presents a compelling entry point for long-term investors.” The firm maintains an Outperform rating and $12 price target on the shares.