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Piper downgrades Tactile Systems to Neutral after ‘disappointing” Q1

Piper Sandler analyst Adam Maeder downgraded Tactile Systems (TCMD) to Neutral from Overweight with a price target of $14, down from $25. The company reported a “disappointing” Q1 update where it missed Q1 revenue and adjusted earnings targets and revised its fiscal 2025 guidance lower, the analyst tells investors in a research note. Piper is now concerned with the forward visibility into the business. While Tactile’s 2025 guidance was lowered, numbers “may still be a touch too high,” contends the firm. Piper recommends investors “take a wait-and-see approach for now” given the level of turnover to the lymphedema commercial team.

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