Bob Karr
2 min read
In This Article:
Adaptive Biotechnologies Corporation (NASDAQ:ADPT) is one of the 10 Worst Aggressive Growth Stocks to Buy According to Short Sellers. On June 18, Craig-Hallum began coverage of Adaptive Biotechnologies Corporation (NASDAQ:ADPT)’s stock with a “Buy” rating and a price objective of $15, as reported by The Fly.
A doctor presenting a new diagnostic test to a patient in an exam room.
The research firm believes that the company is an unequivocal leader in testing to measure minimal residual disease (MRD) in patients with hematologic malignancies. The firm opines that Adaptive Biotechnologies Corporation (NASDAQ:ADPT) is essentially the only player in the $1.8 billion heme MRD market, which has potential for sustainable 20%+ growth, and several near-term growth drivers. It also has the potential to turn EBITDA break-even in core business, a track record of exceeding the estimates, and an expectation for robust margin expansion.
The firm highlighted that clonoSEQ test is capable of detecting very small quantities of cancer cells, which may remain during or after treatment. As per the research note, the ability of the test to monitor MRD status supports physicians in determining treatment efficacy and making therapy adjustments as required. The firm also highlighted that MRD testing can identify cancer recurrence earlier than alternative diagnostic methods, offering an advantage for patient care.
Craig-Hallum mentioned certain near-term catalysts for Adaptive Biotechnologies Corporation (NASDAQ:ADPT), such as increased coverage and payor reimbursement rates, EMR integrations, adoption of MRD in clinical trials, and a strategic partnership with NeoGenomics (NEO). Furthermore, a transition to a new test platform is expected to fuel gross margins.
Adaptive Biotechnologies Corporation (NASDAQ:ADPT) is a commercial-stage biotechnology company that is focused on harnessing the inherent biology of the adaptive immune system to transform the diagnosis and treatment of disease.
While we acknowledge the potential of ADPT to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ADPT and that has 100x upside potential, check out our report about this cheapest AI stock.
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Disclosure: None.
