Arcutis Biotherapeutics (ARQT – Research Report), the Healthcare sector company, was revisited by a Wall Street analyst yesterday. Analyst Vikram Purohit from Morgan Stanley maintained a Buy rating on the stock and has a $19.00 price target.
Vikram Purohit has given his Buy rating due to a combination of factors that suggest a positive outlook for Arcutis Biotherapeutics. The company is on track to achieve cash flow break-even by 2026, which indicates a strong financial trajectory. Additionally, management has expressed confidence in not needing to return to equity markets for additional funding, suggesting a stable financial position.
Moreover, there are no significant changes expected in the company’s capital allocation strategies, which implies a steady approach to business development. The management is also optimistic about meeting the fiscal year 2025 sales expectations for the Zoryve franchise. Furthermore, progress in their pipeline programs, including treatments for alopecia areata and atopic dermatitis, adds to the potential growth and innovation prospects for the company.
According to TipRanks, Purohit is an analyst with an average return of -9.6% and a 31.51% success rate. Purohit covers the Healthcare sector, focusing on stocks such as Genmab, Ascendis Pharma, and Axsome Therapeutics.
In another report released on April 9, Needham also maintained a Buy rating on the stock with a $20.00 price target.