Cantor Still Recommending A Buy For T2 BioSystems

Cantor Fitzgerald maintained its Buy rating on T2 Biosystems Inc TTOO following the American Society for Microbiology (ASM) Microbe 2016 Conference.

Moreover, the company reports that the T2Bacteria trial remains on track, which the brokerage believes may support T2Dx adoption in the second half of 2016, ahead of the anticipated T2Bacteria FDA clearance in early-2017.

T2 provides Magnetic Resonance platform that enables detection of pathogens, biomarkers, and other abnormalities in various unpurified patient sample types, including whole blood, plasma, and serum.

The company also offers T2Dx, a bench-top instrument for sepsis, Lyme disease, and other applications, as well as T2Candida panel for the detection of candida species in human whole blood specimens.

Analyst Bryan Brokmeier noted that the company remains confident of its "robust" pipeline, including continued interest from mainstream hospitals, as well as European hospitals. Notably, many customers have been looking for customer references, which are now available and are further supported by last week's poster presentations.

In addition, the company expects reps to become productive six months after joining. In the second half of last year, the company grew its sales force to 15 reps, from 9, and several of those new reps should be productive in the current quarter.

At time of writing, shares of T2 Biosystems rose 2.22 percent to $8.75. The analyst has a price target of $15.