Mike Kratky, an analyst from Leerink Partners, reiterated the Buy rating on PROCEPT BioRobotics (PRCT – Research Report). The associated price target was lowered to $91.00.
Mike Kratky has given his Buy rating due to a combination of factors that highlight the resilience and potential of PROCEPT BioRobotics despite recent challenges. The company faced significant impacts from saline shortages, which affected their fourth-quarter results and early 2025 outlook. However, they still managed to exceed sales expectations for both the fourth quarter of 2024 and the fiscal year 2025, suggesting a strong underlying business model and operational efficiency.
Moreover, Kratky points out that the company’s guidance for a 64.5% gross margin and an anticipated adjusted EBITDA loss that is close to breakeven by the fourth quarter of 2025, indicates a promising path towards profitability. The ongoing launch of the HYDROS system and higher average selling prices for their systems are seen as clear opportunities for growth. These elements, combined with the attractive risk/reward profile, underpin Kratky’s confidence in the company’s future performance, justifying the Buy rating.
In another report released yesterday, Piper Sandler also maintained a Buy rating on the stock with a $100.00 price target.
PRCT’s price has also changed moderately for the past six months – from $78.020 to $68.110, which is a -12.70% drop .