H.C. Wainwright analyst Swayampakula Ramakanth maintained a Buy rating on Vericel (VCEL – Research Report) today and set a price target of $60.00.
Swayampakula Ramakanth has given his Buy rating due to a combination of factors that highlight Vericel’s potential for long-term growth. One of the primary drivers is the MACI franchise, which has shown a strong growth trajectory with a 3-year CAGR of 20.9%. The company is expanding its MACI offerings with new products like MACI Arthro and MACI Ankle, and is planning geographic expansion beyond the U.S., which could significantly boost revenues. The increase in trained surgeons and the anticipated market entry of MACI Ankle by 2030 further support this optimistic outlook.
Additionally, Vericel’s burn care franchise is expected to maintain its growth momentum. Despite some quarterly fluctuations, the burn care segment grew 22% year-over-year in 2024. The company is focusing on increasing adoption of its burn care products, with Epicel being a key revenue driver. The rise in hospital orders for NexoBrid also suggests potential growth in this segment. Overall, these strategic initiatives and product expansions underpin the Buy rating, reflecting confidence in Vericel’s ability to achieve substantial revenue growth by 2030.
Ramakanth covers the Healthcare sector, focusing on stocks such as Eton Pharmaceuticals, Personalis, and AbSci. According to TipRanks, Ramakanth has an average return of 4.3% and a 35.67% success rate on recommended stocks.
In another report released yesterday, BTIG also maintained a Buy rating on the stock with a $63.00 price target.