Stifel initiates coverage on Heartflow stock with Buy rating, $35 target

Investing.com - Stifel initiated coverage on Heartflow Inc (NASDAQ:HTFL), currently valued at $2.64 billion, with a Buy rating and a $35.00 price target, representing potential upside based on the firm’s 2026 revenue projections. InvestingPro data shows the company maintains strong gross margins of 76% despite not yet achieving profitability.

The price target reflects a 14.0x multiple on Stifel’s 2026 revenue projection of $207.6 million for the coronary artery disease (CAD) technology company. According to InvestingPro analysis, the stock is currently trading above its Fair Value, with the company’s last twelve months revenue standing at $136.17 million.

Stifel’s analysis included physician due diligence with fifty doctors surveyed and ten individual conversations, which indicated Heartflow’s FFR CT and Plaque Analysis technology provides value across stakeholders including patients, physicians, and hospitals.

The research highlighted that Heartflow’s technology offers physicians critical decision-making insights that improve procedure efficiency and deliver economic benefits, with physicians viewing CT imaging and Heartflow’s CAD analysis software as establishing a new standard-of-care.

Looking ahead, Stifel noted a major reimbursement milestone for Heartflow’s plaque analysis technology is expected in January, which could enhance growth and potentially position the plaque analysis software as an additional growth driver for 2026 and beyond.

In other recent news, Heartflow, Inc. has successfully completed its initial public offering, raising approximately $364.2 million in gross proceeds. The company sold a total of 19,166,667 shares of common stock at a price of $19 per share. This offering included an additional 2,500,000 shares issued after underwriters fully exercised their option to purchase extra shares. The IPO was upsized, with the company initially expecting to raise around $316.7 million by offering 16,666,667 shares. These developments mark a significant financial milestone for Heartflow. The funds raised are before deducting underwriting discounts, commissions, and other offering expenses. The company’s shares are now publicly traded on the NASDAQ under the symbol HTFL.

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