Canaccord Genuity Downgrades ConforMIS (CFMS) to Hold

Canaccord Genuity downgraded ConforMIS (NASDAQ: CFMS) from Buy to Hold with a price target of $7.00 (from $12.00).

Analyst Kyle Rose comments "While we expected a conservative tone from new CEO Mark Augusti, commentary about 2017 being a transition year with expectations for investments and changes in both structure and focus of the commercial organization being necessary to re-accelerate growth in the core business moves us to the sidelines. Lastly, from a trading perspective we note the stock is indicating down as much as 40% after hours. While we expect shares are likely to rebound modestly in the near term, we believe investors are best positioned on the sidelines for the ensuing 6-9 months. Net, net we remain positive on the longer-term opportunity afforded by the large addressable market and differentiated product position, and we look for signs of a re-acceleration in the core US business and execution against gross margin targets before becoming meaningfully positive in the near term."

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

Shares of ConforMIS closed at $8.55 yesterday.

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