Vericel initiated with a Buy at Canaccord

Canaccord initiated coverage of Vericel with a Buy rating and $57 price target. The firm is “excited” about the company’s “unique” biomaterial product portfolio featuring two approved products in autologous cultured chondrocytes on porcine collagen membrane and licensed NexoBrid as well as a time-tested product in Epicel. While the company has generated 20% annual revenue growth in the recent past, it has the opportunity for sustained high growth going forward as it continues to penetrate its sizable segment total addressable markets and launches new indications to accelerate market penetration, the analyst tells investors in a research note.