- Axogen reported disappointing fourth quarter results, with procedure volume down 8% on issues related to COVID-19 and hospital staffing.
- It's credible that the pandemic is impacting results, but Axogen clearly needs to show improved procedure volumes to drive revenue growth.
- The upcoming read-out of the RECON study is likely critical to sentiment, as the bull case will be difficult to sustain if Avance does not demonstrate superiority to artificial conduits.
- There is still a case for double-digit revenue growth, but execution has been lacking and has to improve for the shares to reach sustainably higher levels.
For further details see:
Axogen Needs RECON More Than Ever To Recharge The Bull Case