Skin Grafts Disruption: Avita Medical's Regenerative Medicine System Poised to Disrupt Traditional Skin Grafts, Says Analyst
Portfolio Pulse from Vandana Singh
Cantor Fitzgerald has initiated coverage on Avita Medical Inc (NASDAQ:RCEL) with an Overweight rating and a price target of $23. The analyst believes that Avita's RECELL system will disrupt traditional skin grafts, requiring significantly less donor skin. The system also reduces the number of autograft procedures and hospital stay length. The company can tap into an additional 10,000 annual burn procedures and approximately 110,000 acute wound procedures, suggesting a total addressable market (TAM) of $1.0 billion. Furthermore, an estimated 1.3 million stable vitiligo procedures in the U.S. indicate a potential TAM of $5.2 billion.
June 27, 2023 | 5:51 pm
News sentiment analysis
Sort by:
Ascending
POSITIVE IMPACT
Avita Medical's RECELL system is expected to disrupt the traditional skin graft market, potentially tapping into a $1.0 billion TAM. Cantor Fitzgerald has initiated coverage on the company with an Overweight rating and a $23 price target.
The positive coverage from Cantor Fitzgerald, along with the potential of the RECELL system to disrupt the traditional skin graft market, could lead to increased investor interest in Avita Medical. This could potentially drive the stock price up in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100