Hologic downgraded to Market Perform from Outperform at Leerink

Leerink downgraded Hologic (HOLX) to Market Perform from Outperform with a price target of $75, down from $80, following the fiscal Q1 report. The company continues to experience a number of challenges in its Breast Health business, the analyst tells investors in a research note. Leerink believes it is “hard to see” how the Breast Health gantry business can start to recover in fiscal 2025. Hologic is facing multiple headwinds, including, inadequate forecasting process, sales execution, and hospital spending pressures, most of which could stretch well into fiscal 2025, contends the firm. Leerink finds it difficult to justify Hologics historical valuation multiple amid these headwinds.