Wall Street analysts start bullish on Omada Health on chronic care market growth
Barclays began at 'overweight' with a $21 price target, arguing Omada's new GLP‑1 weight‑loss programme should speed adoption of its digital coaching platform.
Goldman Sachs started at 'buy' and set the Street‑high target of $29, saying a focus on measured clinical outcomes can help the company outgrow peers.
JP Morgan initiated at 'overweight' with a $19 target and projected roughly 24% compound annual revenue growth through 2027 as Omada expands its corporate client base.
Morgan Stanley also rated the stock 'overweight' and set a $25 target, citing scope for margin gains as artificial‑intelligence tools automate parts of the service.
The brokerages see Omada tapping a U.S. population in which more than 150 million people live with at least one chronic condition. Several analysts said last year's introduction of an integrated care track for users of GLP‑1 weight‑loss drugs, and recent partnerships with pharmacy‑benefit giants CVS Caremark and Express Scripts, should widen the company's reach.
San Francisco‑based Omada raised $158 million in its Nasdaq debut on June 6, pricing shares at $19. The stock has since traded below that level but is up roughly 20% from its low.
Analysts said Omada's move toward break‑even, targeted for the second half of 2026 or 2027 depending on the forecast, gives management flexibility to invest in new products while trimming debt. The company was valued at about $1.4 billion, or just under three times projected 2026 revenue, a discount to digital‑health peers, the broker notes said.
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