Wednesday, April 5, 2017

Exact Sciences Leveraging Coverage Wins And Volume Growth

Small-cap diagnostics company Exact Sciences (NASDAQ:EXAS) has had quite the run since I last wrote up the company. While I thought the Street was too negative on the prospects for insurance coverage and uptake/usage of the company's Cologuard colon cancer test, I didn't expect the shares to shoot up over 350% in only about a year.

Exact Sciences remains a controversial name, and with a short interest close to 34%, I expect the debates about the company and the shares to remain heated. Nevertheless, the company's direct-to-consumer TV campaign has stimulated volume, and the company's now up to about 80% of eligible/targeted lives covered by insurance. Ongoing uncertainty about health insurance laws in the U.S., usage trends, and cost-benefit analyses will keep the volatility simmering, but the company does now at least have a credible pipeline beyond Cologuard to debate.

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Exact Sciences Leveraging Coverage Wins And Volume Growth

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