OnTrak (OTRK) PT Raised to $50 at Benchmark on New CEO
- Wall Street closes lower as virus spike hits travel stocks
- Netflix (NFLX) Tops Q1 EPS by 78c, Subs Miss
- Kansas City Southern (KSU) Soars as Bidding War Brews After Canadian National Railway (CNI) Makes a $33.7 Billion Offer
- Analysts Positive, Raise PTs as IBM (IBM) Tops Market Estimates and Reaffirms Guidance
- Boeing (BA) Down 3% After CFO - Aged 54 - Retires, Seen as an 'Odd' Move
Get inside Wall Street with StreetInsider Premium. Claim your 1-week free trial here.
Benchmark analyst Bill Sutherland raised the price target on OnTrak (NASDAQ: OTRK) to $50.00 while maintaining a Buy rating after the company announced the appointment of CVS Health EVP and Chief Transformation Officer Jonathan Mayhew as CEO effective April 12.
The analyst commented, "Yesterday, Ontrak announced the appointment of CVS Health (CVS – NR) EVP and Chief Transformation Officer Jonathan Mayhew as CEO effective April 12. Terren Peizen, Ontrak’s founder and current Chairman and CEO, was named Executive Chairman. With this step, Ontrak has further strengthened its senior management leadership. that began with the hiring in late 2019 of Optum alum Curt Medeiros as President. Further, Mr. Mayhew’s relationships across the CVS/Aetna platform certainly improves OTRK’s chances of eventually re-establishing a contract with that client. As we wrote last week, based on a high level of late-stage new business opportunities, we think the $11M of “go get” revenue to achieve the 2021 revised revenue target of $100M is reasonable, and we consider our initial view of 2022 as having a conservative bias. We also expect some positive news (release of 3 rd party validated study, M&A, new business) to be hitting the tape during the next 1-2 months that should lead to improving investor sentiment. Our price target goes to $50 based on 2021 valuation still a discount to peers."
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- UPDATE: UBS Downgrades Southern Copper (SCCO) to Sell
- Dundee Precious Metals (DPM:CN) (DPMLF) PT Raised to Cdn$13.25 at Stifel Canada
- Hangzhou Hikvision Digital Technology Co (002415:CH) PT Raised to RMB70.81 at Macquarie
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst PT Change
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!