Shares of the digital healthcare company are flirting with record highs
The shares of digital healthcare company iRhythm Technologies Inc (NASDAQ:IRTC) are higher in afternoon trading, courtesy of an optimistic analyst note. Specifically, Canaccord said Apple's (AAPL) newly unveiled Apple Watch, which now features heart-monitoring capabilities, could popularize prophylactic monitoring -- and be a boon for iRhythm's Zio heart rate detector. Against this backdrop, the analysts upped their price target on IRTC stock to $100 from $93, and the shares are flirting with all-time highs as a result.
iRhythm stock was last seen 6.8% higher at $95.65, and earlier touched a record high of $98.37. The security has now more than doubled since its Nov. 9 low of $46.95, and is on pace for its best day since Aug. 2.
Additional price-target hikes could be on the horizon for IRTC, too. Currently, the consensus 12-month price target stands at $93, representing a discount to current trading levels. Should more analysts lift their targets, additional buyers could flock to the shares.
Plus, a continued short squeeze could add fuel to iRhythm's fire. Short interest fell 21.1% in the past two reporting periods, but still represents a healthy 7% of IRTC's total available float. At the stock's average pace of trading, it would take about seven sessions to buy back these remaining bearish bets.