In a report released today, David Saxon from Needham maintained a Buy rating on RxSight (RXST – Research Report), with a price target of $43.00.
David Saxon has given his Buy rating due to a combination of factors that highlight both challenges and opportunities for RxSight. Despite the company preannouncing first-quarter revenue below consensus expectations and lowering its 2025 revenue guidance, Saxon sees potential in the company’s growth trajectory. The sales of Light Delivery Devices exceeded expectations, indicating strong demand and an expanding installed base, which grew significantly year-over-year.
While the utilization of Light Adjustable Lenses fell short of expectations, Saxon notes that the company’s valuation remains attractive given its double-digit growth and potential for near-term profitability. Additionally, a recent competitor’s recall could provide an unexpected boost to RxSight’s market position, which is not yet reflected in the company’s guidance. These factors contribute to Saxon’s optimistic outlook, despite the current headwinds in the premium intraocular lens market.
According to TipRanks, Saxon is an analyst with an average return of -2.1% and a 32.19% success rate. Saxon covers the Healthcare sector, focusing on stocks such as DENTSPLY SIRONA, Globus Medical, and Alcon.
In another report released today, Morgan Stanley also maintained a Buy rating on the stock with a $42.00 price target.