UBS upgrades Cryoport shares, predicts significant growth

UBS has upgraded its outlook for Cryoport, a leading manufacturer of cryogenic storage systems. The bank moved the stock rating from neutral to buy, expecting significant growth in the coming years. Analyst Dan Leonard set a price target of $10, which is about 76% higher than Cryoport's closing price of $5.69 last Friday. Cryoport's shares have faced challenges recently, dropping 68% over the past year and 27% in 2025 alone. The company specializes in temperature-controlled supply chain management for the gene therapy industry. It also provides services like specialty courier, biostorage, and sample processing. Leonard believes Cryoport is well-positioned to expand its cell and gene therapy services. He anticipates that this growth will help the company achieve positive free cash flow by 2027. He estimates that around 60% to 65% of Cryoport's service revenues come from cell and gene therapy, which is growing rapidly. The analyst noted that the recent decline in Cryoport's stock was mainly due to broader challenges in the biopharma sector and some specific issues within a subsidiary. However, he thinks these challenges have stabilized, opening the door for a return to revenue growth. With a solid balance sheet—reporting about $262 million in cash against $200 million in debt—Cryoport is in a good position to manage its finances and work towards profitability. Leonard is optimistic that the company's improving situation will lead to a rebound.