Evercore Thinks This Healthcare Stock Could Double

Evercore ISI gave PTE an outperform rating and a $26 price target.

Evercore ISI just initiated coverage onPolarityTE Inc (NASDAQ:PTE) with an "outperform" rating and a $26 price target -- double the stock's current level. The analyst said that the company's SkinTE burn treatment "offers a differentiated therapy for the large wound and burn care market." Plus, the company just announced that it would be hosting a symposium at the American Burn Association (ABA) on April 3 -- an event that could spark even more upside for the security. PTE stock is soaring in response, up 12.8% at $13.63, at last check.

Evercore isn't the only analyst rooting for PTE. The equity holds three "buy" ratings, and one "strong buy." Plus, the hefty $43.75 consensus 12-month price target represents a more than 200% premium to current levels.

The stock has struggled to gain momentum since its late-August spike, and just bottomed out at a five-month low of $11.66 earlier this week, after news of an SEC probe. Today, the stock is threatening to break north of its 20-day moving average, which has served as a recent area of resistance.

In the options pits, it's business as usual, with puts crossing the tape at a slightly elevated pace. Drilling down, it looks like the August 12.50 put is the most active, with contracts being sold to open. This suggests that traders are expecting a floor at the $12.50 level through the contract's expiration on August 16.