OncoCyte initiated with a Buy at Lake Street

Lake Street initiated coverage of OncoCyte (OCX) with a Buy rating and $5 price target Oncocyte has “an ambitious plan to upend the current market for transplant rejection testing” using donor-derived cell-free DNA and hopes to enable transplant centers to run Oncocyte’s VitaGraft Plus test in-house rather than using third-party laboratories, the analyst tells investors. Shares have traded down 66% since Josh Riggs took the helm on an interim basis, notes the analyst, who also points out that the company has raised $39M in the last six months. However, the firm does not believe the company is “being fairly priced, creating an attractive entry point for investors with a long-range view.”