BTIG cuts MaxCyte stock price target to $5, maintains Buy rating

On Thursday, BTIG analyst Mark Massaro adjusted the price target for MaxCyte Inc. (NASDAQ:MXCT) to $5.00, a decrease from the previous $6.00, while keeping a Buy rating on the stock. According to InvestingPro data, the stock is currently undervalued, despite falling over 34% year-to-date. The revision follows MaxCyte’s first-quarter earnings, which showcased a modest 1% growth in core revenue and a performance surpassing expectations in its milestone and royalty segment, with trailing twelve-month revenue reaching $38.63 million.

MaxCyte’s management noted during the Q1 earnings call that biopharmaceutical customers have shown increased reluctance to make capital investments in the company’s systems, a trend that has grown more pronounced in recent months. Despite this, MaxCyte reaffirmed its revenue guidance for 2025, citing a broad initial estimate as one reason for their confidence. InvestingPro analysis reveals the company maintains strong liquidity with a current ratio of 10.88 and holds more cash than debt on its balance sheet, providing flexibility during this challenging period.

The company also conveyed a positive outlook, suggesting that new leadership within the administration could be advantageous for MaxCyte. The firm emphasized its commitment to delivering high-quality treatments and cures with a strong safety profile. MaxCyte is recognized for its leading position in electroporation technology, which is crucial for administering gene therapies.

The adjustment in MaxCyte’s price target by BTIG reflects the current macroeconomic challenges and funding uncertainties within the biopharmaceutical industry. Despite reducing the price target, BTIG remains optimistic about MaxCyte’s stock, reiterating their Buy rating and recognizing the company’s potential in delivering innovative and safe therapeutic solutions.

In other recent news, MaxCyte Inc. reported its first-quarter 2025 earnings, revealing a revenue of $10.4 million, which exceeded the anticipated $9.05 million. The company’s earnings per share (EPS) were reported at -$0.10, slightly better than the forecasted -$0.11. Despite this positive financial performance, MaxCyte’s stock experienced a decline in aftermarket trading. The company also highlighted its strategic acquisition of SecureDx, which is expected to contribute significantly to its revenue growth. MaxCyte reaffirmed its 2025 guidance, projecting core revenue growth between 8% and 15%, supported by SecureDx and Strategic Partnership Licenses. Additionally, MaxCyte announced plans to delist from the AIM market, maintaining a single listing on NASDAQ, which is anticipated to save the company approximately $100,000 annually. The company’s management remains optimistic about its operational focus and the potential for growth in the cell and gene therapy sector.

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