Jefferies reiterates Hold rating on Edwards Lifesciences stock amid pricing pressure risk

Published 02/01/2025, 20:42
Jefferies reiterates Hold rating on Edwards Lifesciences stock amid pricing pressure risk
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On Thursday, Jefferies maintained a Hold rating on Edwards Lifesciences stock (NYSE:EW) with a steady price target of $68.00.

The firm's analysis of recent purchasing data indicated a year-over-year revenue decline of 2.7% for November 2024 in the U.S. TAVR (Transcatheter Aortic Valve Replacement) market. This contrasts with a 13.5% growth observed in October. For the fourth quarter to date, the U.S. TAVR revenue is estimated to have grown by 6.5%, which surpasses the consensus estimate of 4% growth for the quarter. The volume of units sold is also up by 6%.

Edwards Lifesciences' current performance reflects a mix of dynamics in the structural heart market. The company faces challenges such as capacity constraints in structural heart procedures, potential risks of pricing pressures, and possible market share losses. Additionally, there are high expectations set for the Transcatheter Mitral and Tricuspid Therapies (TMTT) revenue goals.

The acquisition of Jenavalve by Edwards Lifesciences, which is expected to close by the middle of the year, could further impact the company's financials.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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