Jun. 4 at 4:24 PM
$RADX This is precisely why many investors greet their price targets with caution:
HC Wainwright follows numerous companies, some of which it also helps to finance.
The published targets are often very ambitious.
The market generally awaits validation through clinical data rather than a simple analyst report.
Regarding RADX:
This is exactly what today's session seems to show.
If tomorrow morning:
HC Wainwright announces a target of
$16 ➜ little reaction.
In other words, for me:
HC Wainwright has technical credibility in biotech.
Their analysts often know the companies very well.
But their price targets alone are generally not enough to trigger a massive influx of buyers. Moreover, RADX's reaction today is quite revealing: if the market had immediately believed in the probability of a
$16 price, the stock probably wouldn't be languishing around
$4.45. The market is essentially saying, "Show me the clinical data, and then maybe I'll revise my valuation."
