Piper Sandler initiates Shoulder Innovations stock with Overweight rating

Published 25/08/2025, 08:08
Piper Sandler initiates Shoulder Innovations stock with Overweight rating

Investing.com - Piper Sandler initiated coverage on Shoulder Innovations (NYSE:SI) with an Overweight rating and a price target of $18.00 on Monday, representing significant upside from the current price of $12.71. According to InvestingPro data, the stock has taken a hit recently, declining over 11% in the past week.

The research firm highlighted SI’s position in the approximately $2 billion shoulder replacement market, noting the company provides unique anatomic and reverse total shoulder arthroplasty implants that deliver better clinical outcomes for patients. The company, currently valued at $281 million, maintains an impressive gross profit margin of 77%.

Piper Sandler pointed to SI’s less capital-intensive business model compared to competitors, suggesting this differentiated approach could drive above-market revenue growth and enable the company to achieve profitability sooner than many other orthopedic players.

The firm expects SI to use proceeds from its IPO to expand its sales force, potentially doubling it over the next few years, which could further drive surgeon adoption and fuel top-line growth.

Piper Sandler projects that Shoulder Innovations will grow at a rate exceeding 30% in the coming years due to its unique product profile, which the firm believes could push share prices higher.

In other recent news, Shoulder Innovations has received positive attention from two major financial firms. Jefferies initiated coverage on the company with a Buy rating and set a price target of $19.00. According to Jefferies, this target is based on the company’s estimated sales for 2026. Goldman Sachs also began coverage of Shoulder Innovations, giving it a Buy rating and setting a slightly higher price target of $20.00. The firm highlighted the company’s revenue growth trajectory and the attractiveness of its end-market. Both firms see potential upside in the company’s current valuation, making these developments noteworthy for investors. These updates suggest a growing interest in Shoulder Innovations from major investment banks.

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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