Update shared on18 Oct 2025
Fair value Increased 7.69%Analysts have raised their price target for Adaptive Biotechnologies from $14.86 to $16.00. They cite the company’s strong positioning in cancer testing and sustained revenue growth potential.
Analyst Commentary
Bullish Takeaways- Bullish analysts highlight Adaptive Biotechnologies' leadership role in minimal residual disease (MRD) blood cancer testing. This positions the company favorably for continued growth as this market expands.
- Forecasts point to sustained revenue growth potential, driven by market conversion, entrance into additional cancer indications, and price optimization strategies.
- Acceleration in MRD business volume and successful integration with electronic medical records are seen as major catalysts for achieving or exceeding a 30 percent revenue growth rate over multiple quarters.
- Shares are viewed as trading at a notable discount compared to other leading specialty lab peers, suggesting room for multiple expansion as execution continues.
- Some cautious analysts note that realizing top-quartile revenue growth rates may rely on the successful execution of new market penetrations and maintaining pricing power.
- There is potential risk surrounding the pace and scale of adopting the company's testing platforms into broader clinical workflows, particularly in competitive oncology segments.
- Valuation upside could remain limited if integration challenges or slower than expected growth in key indicators like EMR traction persist.
What's in the News
- The strategic collaboration and license agreement with Genentech, established in 2018, will be terminated effective February 9, 2026. Adaptive Biotechnologies will be released from exclusivity obligations for oncology cell therapies and expects to recognize $33.7 million in non-cash revenue during the second half of 2025 as a result. (Key Developments)
- The company maintains financial goals focused on advancing digital TCR-antigen prediction models, pursuing new immune medicine partnerships, progressing a lead T-cell depletion program in autoimmunity, and achieving a 2025 cash burn target of $25 to $30 million. (Key Developments)
- Adaptive Biotechnologies raised its full-year 2025 revenue guidance for the MRD business to a range between $190 million and $200 million, up from the prior forecast of $180 million to $190 million. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target has risen from $14.86 to $16.00, reflecting increased confidence in the company’s outlook.
- Discount Rate has fallen slightly from 7.46 percent to 7.43 percent, indicating a marginal decrease in perceived risk.
- Revenue Growth projection has increased marginally from 20.31 percent to 20.35 percent.
- Net Profit Margin has improved slightly from 12.73 percent to 12.76 percent.
- Future P/E is up notably from 67.65x to 72.56x, which suggests higher anticipated growth or valuation expectations.
Disclaimer
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