Anika Therapeutics price target lowered to $25 from $37 at Barrington

Barrington analyst Michael Petusky lowered the firm’s price target on Anika Therapeutics (ANIK) to $25 from $37 and keeps an Outperform rating on the shares after Q3 results fell short of expectations and the company “materially reduced” its previous adjusted EBITDA guidance for FY24. Weakening OA pain volumes and softer pricing in the U.S. were the primary factors in “the more pessimistic outlook,” notes the analyst, who notes the firm’s target is based on its FY25 adjusted EBITDA estimate plus $50M of value it adds for the company’s “two potential needle-mover products,” namely Cingal and Hyalofast, that have completed pivotal trials but have not yet received U.S. approval.