AngioDynamics rises as Freedom Broker raises stock price target to $17

Freedom Broker analysts have raised the price target for minimally invasive surgery device maker AngioDynamics (ANGO) to $17. The NanoKnife platform remains the key driver of the investment case, becoming a structural source of revenue growth as insurance coverage expands and disposable utilization increases.

What we know about AngioDynamics and NanoKnife

AngioDynamics is a U.S. medical company that develops and sells devices for minimally invasive treatment of vascular diseases and oncology. One of the company’s best-known products is NanoKnife, an irreversible electroporation system. NanoKnife is used to destroy tumors using short electrical pulses. Unlike traditional radiofrequency ablation or cryoablation, the technology does not burn or freeze tissue.

In analysts’ view, the key driver of the company’s further development remains the NanoKnife platform, which is becoming a structural source of revenue growth thanks to expanded insurance coverage and increased use of disposables. In the fourth quarter, segment revenue grew 64.5% year over year to $11.8 mln. Sales of single-use probes rose 47%, while equipment sales jumped 132.5%.

Valuation uplift tied to an improved financial profile

Freedom Broker analysts raised AngioDynamics’ (ANGO) price target from $16 to $17 and maintained a “Buy” rating following the company’s record financial results. At the current share price of $14,47, the new target implies upside of about 17.5%.

The company increased revenue in the fourth quarter by 8% year over year to $86,6 mln, beating analysts’ expectations. For the full 2026 fiscal year, revenue reached $320,2 mln versus $292,7 mln a year earlier. Adjusted EBITDA rose to $13,2 mln from $7,6 mln a year earlier, while adjusted loss per share was $0,24 versus $0,25 a year earlier.

Freedom Broker notes that the valuation revision is driven not so much by sales growth as by greater clarity on the cost structure. Analysts raised their 2027 fiscal-year adjusted EBITDA forecast by 29% to $15,2 mln, expecting normalization of commercial expenses and R&D spending to remain around 10% of revenue.

New clinical data expands the technology’s market

AngioDynamics has received authorization from the U.S. Food and Drug Administration (FDA) for a study that will assess NanoKnife’s impact on the treatment of benign prostatic hyperplasia (BPH).

According to the company, the condition affects millions of men in the U.S., and existing treatment methods are often associated with a risk of ухудшения мочеполовой функции. The opportunity looks promising; however, they are not yet factoring a potential contribution from the new indication into the financial model until clearer data emerge on clinical effectiveness and reimbursement mechanisms.

Additional support for the investment story comes from the published two-year results of the PRESERVE study, which confirmed the durable effectiveness of NanoKnife in treating prostate cancer.

Additional catalysts for growth

In addition to NanoKnife, analysts highlight two more fast-growing platforms at the company. The Auryon laser atherectomy system, used to treat peripheral artery disease, increased revenue by 14.4% year over year in the fourth quarter and has been posting double-digit growth for nearly five years in a row. International expansion could be an additional driver following European certification: markets outside the U.S. currently account for less than 10% of the platform’s revenue, but management expects a significant expansion of its presence in Europe.

In the mechanical thrombectomy segment, the AlphaVac platform for clot removal is showing the strongest momentum. Its fourth-quarter sales rose 38.4% year over year, and for the full fiscal year, they increased 44.1%. Freedom Broker analysts believe AlphaVac remains the main driver of the segment.

Strong balance sheet supports investment in growth

Management forecasts 2027 fiscal-year revenue in the range of $336–341 mln, which corresponds to 5–6.5% growth. At fiscal year-end, AngioDynamics had $53,9 mln in cash and no debt. Operating cash flow for the year remained positive at $3,1 mln.

Not an individual investment recommendation.