Jefferies initiates coverage on 4DMedical stock with Buy rating

Published 26/09/2025, 12:06
Jefferies initiates coverage on 4DMedical stock with Buy rating

Investing.com - Jefferies initiated coverage on 4DMedical Ltd (ASX:4DX) with a Buy rating and a price target of AUD2.50, citing the company’s FDA approval and subsequent CMS reimbursement for its CT:VQ solution.

The research firm identified these regulatory achievements as "the critical inflection point" for 4DMedical’s success, noting that while uptake may take time, the company’s strengthened financial position should carry it through to positive free cash flow.

Jefferies’ price target assumes a fiscal year 2030 U.S. CT:VQ penetration of 18%, though the firm indicated potential for greater returns if the solution entirely displaces Nuclear VQ testing as the company’s leadership believes possible.

The research note highlighted that execution risk in the roll-out of CT:VQ remains a concern, but suggested the value proposition of the solution combined with 4DMedical’s strengthened balance sheet makes this an opportune time for investment.

Jefferies also expressed confidence that 4DMedical’s most recent capital raise is likely its last, suggesting the company now has sufficient funding to reach sustainable operations.

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