'Lumpy' ViewRay capital sales present buying opportunity, says Piper
Piper Sandler analyst Matt O'Brien maintained an Overweight rating and $6 price target on ViewRay after the company reported preliminary Q4 system installs in line with expectations. O'Brien noted that a weaker-than-expected new order number has led to share pressure during the session. He said he believes this shortfall is likely the reflection of "nothing more than standard lumpiness" in capital equipment sales, which he expects to turn around in quarters going forward. The analyst added that he continues to be "highly confident" in the utility of MRIdian as the best cancer treatment for patients in this space, and thus believes that ViewRay management will be able to execute on its plan to shorten install times and improve visibility into the orderbook. O'Brien added that he does see some volatility on a quarterly basis, but would be looking at these events as potential buying opportunities into this quality and highly differentiated franchise.