Eye Disease-Focused Glaukos' 'Investor Interest Should Continue To Gain Momentum:' Analyst

Thursday, Glaukos Corporation GKOS reported a first-quarter adjusted EPS loss of $(0.70), up from $(0.59) a year ago, missing the consensus of $(0.57).

The company reported sales of $85.6 million, up 16% Y/Y, beating the consensus of $79.6 million.

Guidance: Glaukos expects 2024 sales of $357 million-$365 million, compared to the consensus of $357.934 million.

William Blair reports that iDose exceeded expectations during its initial quarter of launch, with the iStent franchise experiencing growth in the mid-teens, surpassing expectations as well. The growth was driven by the demand for the iStent infinite product, which not only contributed to market expansion but also captured market share in the core combo-cataract segment. 

“Clearly, the glaucoma business is firing on all cylinders, and with iDose access set to improve in the second quarter and beyond, the outlook remains quite positive,” William Blair analyst said.

Throughout the first half of 2024, Glaukos has achieved significant reimbursement and commercial milestones. 

With the full launch of iDose expected to commence, the company anticipates experiencing substantial growth in the latter half of the year. 

Analysts suggest that as Glaukos is likely to shift its focus from surgical MIGS to a broader range of ophthalmic solutions, establishing itself as a hybrid pharma/device powerhouse, “investor interest should continue to gain momentum,” the analyst writes.

William Blair rates the stock Outperform.

Other analyst reactions:

• BTIG maintains Buy on Glaukos, with a price target of $112, up from $107.
• JP Morgan maintains Glaukos with an Overweight rating and raises the price target from $108 to $110.
• Wells Fargo maintains Glaukos with an Overweight rating with a higher price target of $110, up from $103.
• Needham, too, maintains with a Buy and raises the price target from $108 to $113.
• Truist Securities reiterates Glaukos with a Buy and raises the price target from $120 to $125.

Price Action: GKOS shares are up 6.69% at $105.53 at last check Thursday.

Photo by Amanda Dalbjörn on Unsplash