What Happened?

Shares of biotech company 10x Genomics (NASDAQ: TXG) jumped 6% in the morning session after BofA Securities maintained its "Buy" rating on the stock, even while lowering its price target. 

The firm adjusted its price target on 10x Genomics to $13.00 from $15.00. While a price target reduction can sometimes signal concern, investors appeared to focus on the reaffirmed positive rating. This suggested continued confidence from the analyst firm in the stock's potential.

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What Is The Market Telling Us

10x Genomics’s shares are extremely volatile and have had 44 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 5 days ago when the stock gained 1.5% on the news that it announced a strategic partnership with SPT Labtech, a laboratory automation company, to provide automated workflows for single-cell research. The collaboration allowed scientists to more easily scale experiments on 10x's Chromium Single Cell platform by using SPT Labtech's firefly® liquid handling system. This integration provided researchers with optimized, ready-to-run methods developed by both companies. The new protocols were designed to streamline research workflows, improving efficiency, consistency, and the ability to conduct larger-scale studies. The companies also noted plans for future expansion to include 10x's Visium Spatial platform. This partnership built on 10x's previous acquisition of Scale Biosciences, which already had a partnership with SPT Labtech.

10x Genomics is down 12% since the beginning of the year, and at $12.49 per share, it is trading 28% below its 52-week high of $17.34 from November 2024. Investors who bought $1,000 worth of 10x Genomics’s shares 5 years ago would now be looking at an investment worth $81.66.

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