- Maggio 11, 2022
- Posted by: Oliver
- Categoria: Economics, Finance & accounting
Last but not least is DermTech, a leader in the field of molecular dermatology. Specifically, DermTech is developing and commercializing new diagnostic technologies for the early detection of melanoma. This is a common skin cancer, dangerous in itself and made more so by its propensity to metastasize into other areas of the body. Early detection of the disease is the key to successful treatment, and this is where DermTech is stepping in.
The company has developed an adhesive patch melanoma test, which can take a non-invasive skin biopsy for medical testing. The company operates its own genetic testing lab where skin samples can be examined. And best of all, the DermTech test can be done by the patient, at home, rather than in a physician’s office.
Like the other stocks here, DermTech shows a combination of sound revenues and falling share price. In its 1Q22 report, the company announced a quarterly top line of $3.7 million, up 47% year-over-year. The gain was driven by a 61% increase in assay revenue, which in its own turn was boosted by a 53% y/y increase in billable sample volume, to 14,730 for the quarter. The company did see a quarterly net loss of $1.01 per share – although it ended the quarter with a positive cash holding of $202.1 million. The stock has fallen, however, by 51% so far this year.
Analyst Sung Ji Nam, of investment firm BTIG, sees the fall in share price as an opportunity to get in on this stock.
“DMTK remains well-positioned to more than double its revenues in 2022, barring additional significant COVID-related healthcare disruptions in the U.S. for the remainder of the year. Key growth drivers for 2022 and 2023 include the meaningful sales force expansion in 2021 that is expected to drive test volume growth, and DMTK’s focus on test ASP improvement through further Medicare segment penetration, appeals management and further expansion of third party payor coverage,” Ji Nam noted.
In line with these bullish comments, Ji Nam sets a Buy rating on the stock and her $38 price target indicates potential for robust growth of ~393% ahead.
Overall, this small-cap stock has only 4 recent analyst reviews – but they are unanimously bullish, for a Strong Buy consensus rating. The shares are priced at $7.71 and have an average price target of $30.33, suggesting a 293% one-year upside potential.
