Analyst Bullish On Cell Therapy Player Mesoblast, But Cuts Price Target
Portfolio Pulse from Vandana Singh
Mesoblast Ltd reported FY23 revenues of $7.5 million, missing the consensus of $7.97 million. The company reported a narrower EPS loss of $(0.11), beating the consensus of $(0.57). Cantor Fitzgerald reiterated the Overweight rating but lowered the price target from $23 to $17 due to a lower probability of success assumptions for MESO's pipeline assets. The analysts see a path forward for remestemcel-L, and Mesoblast's late-stage pipeline of cellular drugs for inflammatory diseases is underappreciated.

August 31, 2023 | 5:49 pm
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Mesoblast's FY23 revenues missed the consensus, but the EPS loss was narrower than expected. Cantor Fitzgerald lowered the price target due to lower success assumptions for pipeline assets.
The company's revenues missed the consensus, which could negatively impact the stock. However, the narrower EPS loss and the positive outlook from analysts could balance this out. The lowered price target reflects a cautious outlook, but the stock is still rated Overweight.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100