UBS sees a rosy outlook ahead for Cryoport as the headwinds that the business and the stock have faced dissipate. The bank upgraded shares of the biopharma stock to a buy from neutral. Analyst Dan Leonard’s $10 price target is approximately 76% higher than Cryoport’s Friday closing price of $5.69. Shares of Cryoport have tumbled 68% over the past 12 months, losing 27% alone so far in 2025. CYRX 1Y mountain CYRX 1Y chart Cryoport offers temperature-controlled supply chain management for the gene therapy industry. The company is the world’s largest manufacturer of cryogenic storage systems, and provides specialty courier, biostorage and sample processing services. Going forward, Leonard believes Cryoport is in a good position to scale up its cell and gene therapy service offerings, eventually contributing to positive free cash flow and sales growth. “At an estimated ~60%-65% of Service revenues, CryoPort is among the most exposed to cell and gene therapy (CGT) in our coverage with both a market leading position in clinical trial logistics and exposure to fast growing commercially approved treatments,” Leonard wrote. “Overall, we expect CGT services to grow mid-teens+ in 2025 and beyond.” UBS says Cryoport’s recent pullback provides an attractive entry point for investors. Leonard attributed the sell-off to broader weakness in biopharma stocks, alongside headwinds at Cryoport subsidiary MVE Biological Solutions, but believes those obstacles are not getting any worse. “CryoPort’s 2023 and 2024 revenue decline was driven by MVE (i.e. macroeconomic headwinds, China) and slower non-CGT services growth,” Leonard said. “We believe these headwinds have stabilized as seen across our pharmaceutical supplier coverage, and, by virtue of having stabilized, will enable CGT services to return CryoPort to growth.” Growing CGT revenue plus Cryoport’s healthy balance sheet will support the company in eventually reaching positive free cash flow by 2027, Leonard said. “All in, we believe CryoPort’s balance sheet (~$262M cash, ~$200M debt) is capable of managing its 2026 debt expiry and bridging to positive free cash flow in 2027 following rapidly tapering burn in 2025 and 2026,” the analyst added.
