OrthoPediatrics price target lowered to $34 from $37 at Lake Street

Lake Street lowered the firm’s price target on OrthoPediatrics (KIDS) to $34 from $37 and keeps a Buy rating on the shares after the company’s preliminary Q3 revenue, revised FY25 revenue guidance, and long-term revenue growth outlook all fell below Street expectations. However, the firm sees “little reason for concern” as the revenue shortfall was caused by products and geographies that generate “insignificant margins,” while the company’s core, high-margin “cornerstone” areas performed “admirably,” the analyst tells investors.