BFLY: TD Cowen Remains Buy Rating with $5 Price Target, Analyst Consensus of Strong Buy

TD Cowen analyst Josh Jennings reiterated a Buy rating on Butterfly Network with a $5.00 price target. Jennings has a 4-star rating and a 52.72% success rate. The company has a Strong Buy consensus and a $4.50 price target consensus. However, corporate insider sentiment is negative, with 33 insiders selling shares over the past quarter.

TD Cowen analyst Josh Jennings has reiterated a Buy rating on Butterfly Network (BFLY) with a price target of $5.00 [1]. Jennings, who has a 4-star rating and a 52.72% success rate, believes the company's Strong Buy consensus and $4.50 price target consensus are well-founded. However, corporate insider sentiment remains negative, with 33 insiders selling shares over the past quarter [2].

Butterfly Network develops, manufactures, and commercializes ultrasound imaging solutions. Its products include the Butterfly iQ, iQ+, and iQ3 systems, which offer whole-body imaging capabilities. The company also provides software solutions, educational programs, and professional services for large-scale deployments [3].

Jennings' optimism is based on the company's impressive sales growth and strong growth trajectory. Butterfly Network's earnings for the second quarter of 2024 were ($0.05) per share, beating analysts' consensus estimates of ($0.10) by $0.05. Revenue for the quarter was $21.49 million, exceeding expectations of $20.06 million [4].

However, the company's negative earnings per share and a negative P/E ratio of -1.65 raise concerns. This suggests that Butterfly Network is currently unprofitable and may face challenges in the near term. Additionally, the company's short interest ratio of 8 indicates that a significant portion of its shares are sold short, which could lead to increased volatility [5].

Butterfly Network's stock has decreased by 11.6% year-to-date, trading at $0.9550 as of June 10, 2025. The company's market cap has dropped by $25 million over the past week, with individual investors and institutions taking a hit [6].

In conclusion, while TD Cowen's Buy rating on Butterfly Network is supported by the company's strong sales growth and consensus ratings, the negative insider sentiment and unprofitable earnings pose risks. Investors should closely monitor the company's financial performance and market conditions before making investment decisions.

References:
[1] https://www.marketbeat.com/stocks/NYSE/BFLY/
[2] https://www.marketbeat.com/stocks/NYSE/BFLY/
[3] https://www.marketbeat.com/stocks/NYSE/BFLY/
[4] https://www.marketbeat.com/stocks/NYSE/BFLY/
[5] https://www.marketbeat.com/stocks/NYSE/BFLY/
[6] https://www.marketbeat.com/stocks/NYSE/BFLY/