Cowen slashes PT on Medavail; sees long-term value on scalability prospects

Medavail Holdings

30/08/2021 12:56

** Cowen & Co cuts price target on health tech co Medavail
Holdings Inc  MDVL.O  to $9.50 from $20, after the brokerage
revises model assumptions on the stock
    ** However, broker keeps 'outperform' rating unchanged 
    ** Earlier this month, MDVL cut its 2021 revenue outlook,
which the brokerage describes as "disappointing"  urn:newsml:reuters.com:*:nBwbTJ9Ksa 
    ** Cowen says MDVL will be working through several headwinds
in the near-term, such as COVID-19 related delays in
deployments, revenue ramp-up and Pharmacy Board review delays 
    ** MDVL offers "highly capital, space efficient means" of
providing pharmacy related services which has a growing market
opportunity - Cowen
    ** Brokerage says still see value in MDVL's business model
as a "disruptive and scalable" pharmacy solution in the long
term
    ** Only two brokerages cover the stock and rate it "buy";
Cowen's PT represents a rich premium of nearly 3X stock's
current trading value 
    **MDVL down about 80% YTD as of Friday's close 

 (Reporting by Bhanvi Satija)
 ((Bhanvi.Satija@thomsonreuters.com;))