JMP lifts AxoGen stock price target to $26 from $20

On Wednesday, JMP Securities analyst David Turkaly adjusted the price target for AxoGen, Inc. (NASDAQ:AXGN), increasing it to $26.00 from the previous $20.00, while retaining a Market Perform rating on the company’s shares. Turkaly noted AxoGen’s performance, stating that the company reported sales of $49.4 million, marking an increase of 15.1% year over year. This figure aligns with the company’s January preannouncement and surpasses JMP Securities’ prior estimate of $46.1 million. The company’s stock has shown remarkable momentum, with InvestingPro data showing a 92% return over the past year and currently trading near its 52-week high of $21.00.

AxoGen’s initial guidance for the year 2025 forecasts a revenue growth of 15-17% year over year, which translates to a range of $215.4 million to $219.1 million. Turkaly highlighted that this projection is approximately $11 million ahead of JMP Securities’ midpoint expectation of $206 million. Furthermore, AxoGen achieved a positive net income in the fourth quarter and provided guidance indicating a move toward cash flow positivity in 2025. InvestingPro analysis reveals the company maintains a healthy current ratio of 3.24 and operates with moderate debt levels. According to InvestingPro Tips, analysts expect the company to be profitable this year, with two analysts recently revising their earnings estimates upward.

The company’s financial results and forward-looking guidance suggest a trajectory of continued growth and financial health. AxoGen’s focus on maintaining its market performance is reflected in the analyst’s decision to maintain the Market Perform rating despite the improved price target. The company’s gross profit margin stands at an impressive 76%, according to InvestingPro data, which offers comprehensive analysis through its Pro Research Report, available for over 1,400 US stocks.

Investors and market watchers may view this revised price target as a signal of AxoGen’s solid performance and potential for sustained growth in the coming years. The company’s achievement of positive net income and its optimistic revenue guidance are key factors in this assessment.

The updated price target from JMP Securities follows AxoGen’s recent financial disclosures, offering a more detailed perspective on the company’s current valuation and future financial prospects. AxoGen’s stock price may respond to these developments as market participants digest the new information and adjust their positions accordingly.

In other recent news, AxoGen, Inc. has reported impressive fourth-quarter earnings, with adjusted earnings per share of $0.07, surpassing analyst expectations of $0.03. The company achieved revenue of $49.4 million for the quarter, exceeding the consensus estimate of $47.58 million and marking a 15.1% increase from the previous year. This strong performance has led several analysts to adjust their price targets and ratings for the company. Canaccord Genuity raised its price target to $26 while maintaining a Buy rating, citing AxoGen’s effective commercial execution and cash flow generation. Raymond (NSE:RYMD) James and Leerink Partners both lifted their price targets to $25, maintaining an Outperform rating, with Raymond James highlighting the company’s strong gross margin and growth sustainability. Cantor Fitzgerald also increased its price target to $24, reaffirming an Overweight rating, and noted AxoGen’s positive revenue outlook for 2025, projecting growth of 15% to 17%. Additionally, AxoGen’s Biologics License Application for its Avance Nerve Graft has been accepted by the FDA, with a potential approval expected in September 2025. These developments reflect a strong confidence in AxoGen’s strategic direction and growth potential.

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