Leerink Partners upgrades CryoPort stock to Outperform on market position

Investing.com - Leerink Partners upgraded CryoPort (NASDAQ:CYRX) from Market Perform to Outperform on Tuesday, raising its price target to $16.00 from $10.00, citing the company’s dominant market position and growth potential. The stock, currently trading at $6.74, has seen a -10.6% decline over the past week, according to InvestingPro data, which also indicates the stock is trading near its Fair Value.

The research firm highlighted CryoPort’s strong position in C> services, where it holds approximately 70% market share. Leerink expressed confidence that CryoPort is positioned to exceed expectations this year and deliver growth beyond consensus estimates of approximately 11% in 2026 and 7% in 2027.

While acknowledging potential investor skepticism regarding the capital-intensive MVE segment, which represents about one-third of sales, Leerink noted recent stabilization in this business unit. The firm believes consensus mid-single-digit percentage growth projections for 2026-2027 are achievable.

Leerink also pointed to CryoPort’s recent sale of CryoPDP to DHL as a positive development that removes cash runway concerns. Following this transaction, CryoPort now has $426 million in cash and is on track to reach EBITDA profitability by year-end.

The upgraded price target of $16 is based on a 3x EV/Sales multiple on Leerink’s 2026 sales estimate of $189 million, compared to the peer group average of approximately 4x. The firm noted limited downside risk with shares trading at approximately 0.5x 2026 EV/Sales as of Monday’s close.

In other recent news, CryoPort reported its second-quarter 2025 earnings, revealing a notable revenue performance that surpassed expectations. The company posted earnings per share of $2.05, significantly outperforming the forecast of -$0.27. Revenue for the quarter reached $45.5 million, exceeding the anticipated $41.74 million by 9.01%. Jefferies responded by raising its price target for CryoPort to $8.00 from $6.50, maintaining a Hold rating due to the impressive second-quarter results. KeyBanc also upgraded CryoPort’s stock rating to Overweight, citing strong momentum in commercial cell and gene therapies, which saw a 33% revenue growth. The BioStorage business and Life Sciences Services also reported growth of 28% and 21%, respectively. Despite these positive developments, CryoPort’s stock experienced a decline in aftermarket trading. Analysts from Jefferies and KeyBanc have highlighted the company’s strong performance and growth prospects as reasons for their revised ratings. These recent developments underscore the company’s robust financial health and strategic positioning in its industry.

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