Piper Sandler has upgraded Myriad Genetics MYGN, a molecular diagnostic testing and precision medicine company.

Analyst David Westenberg says Myriad Genetics’ management team set an overly aggressive LRP. Since then, two events—the loss of a private payer’s reimbursement on Genesight and an NCCN guideline language change—have led to an over 50% decline in the stock in the last six months.

Westenberg writes that Myriad Genetics risks missing this year’s guidance and might need to set 2026 expectations below the LRP.

“We think Myriad’s biggest remaining potential downside is expectations set by a previous CEO, and we believe the stock will find a bottom around this ~1x revenue range,” Piper Sandler writes.

Also Read: Myriad Genetics Faces Cost Restructuring As UnitedHealthcare Ends GeneSight Coverage, Appoints New CEO

BMO Capital writes Myriad Genetics has faced challenges in the urology and prostate testing market, losing some ground to Deciphera Pharmaceuticals and Veracyte VCYT in recent years.

However, the company has taken steps to stand out, including a new partnership with PATHOMIQ to integrate AI with molecular testing. Myriad Genetics plans to launch a test for patients after radical prostatectomy and radiation treatment later this year or early next year. This test will be offered alongside Prolaris as a combined option.

Piper Sandler writes that the stock has stabilized, allowing new CEO Sam Raha to reshape the business, set clear strategies and align expectations. The analyst has upgraded the stock from Neutral to Overweight, with a price target of $12.50, up from $11.50.

Price Action: MYGN stock is up 2.44% at $10.50 at the last check Wednesday.

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