Jefferies Has Hold On Genomic Health (GHDX)

Jefferies & Co. has a Hold rating and a $29 price target on shares of Genomic Health GHDX following earnings. In a note to clients, Jefferies writes, "Shares of GHDX may consolidate recent gains (+28% YTD vs 8% for S&P 500 and 9% for its clinical IVD peers) on the absence of incremental upside to its formal 2011 revenue and profitability outlook. While GHDX's healthy 1Q11 volume experience is encouraging, we must gain greater conviction in a continuation of its Oncotype DX volume trends, near-term profit margin leverage, and incremental progress on its new product pipeline opportunities before revisiting our neutral investment disposition." Shares of GHDX closed at $27.42 yesterday.