Guardant Health (GH) named top pick at UBS

UBS analyst Dan Leonard reiterated a Buy rating and $40.00 price target on Guardant Health (NASDAQ: GH) and named it its top pick in the Life Sciences & Diagnostic Tools group, saying the company has an underappreciated catalyst path, highlighted by ramp of its Shield test in CRC screening.

The analyst commented, "Guardant will start disclosing its Shield CRC screening volumes beginning with Q4 results, and our recent CRC screening survey supports a greater commercial opportunity for this test than we expected. Physicians in the survey (n = 50) predicted ~10% share for blood-based CRC screening tests in the next 1-2 years, a higher than expected result that we believe is >2x Street forecasts. Several additional Shield catalysts could be favorable (e.g., pricing upside, medical society guidelines), while we believe perceived risks associated with Exact Sciences' blood-based CRC screening data readout (Q2?) are overblown. Further, we expect expanded Medicare reimbursement for its Reveal minimal residual disease (MRD) test in 1H 2025."

For an analyst ratings summary and ratings history on Guardant Health click here. For more ratings news on Guardant Health click here.

Shares of Guardant Health closed at $36.59 yesterday.

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