Lucid Diagnostics Inc. LUCD, a commercial-stage, cancer prevention medical diagnostics company and subsidiary of PAVmed Inc. PAVM, recently entered into a strategic partnership with VITALExam LLC. The agreement is aimed at enhancing access to Lucid's EsoGuard Esophageal DNA Test for firefighters at risk for esophageal precancer. 

Lucid and VITALExam introduced the partnership with a fully contracted CheckYourFoodTube Precancer testing event at Tuscaloosa Fire Rescue in Tuscaloosa, AL.

LUCD’s Likely Stock Trend Following the News

Since the announcement on Dec. 19, Lucid’s shares dipped 2.5% to 77 cents last Thursday. The company is gaining synergies from its expanded direct contracting initiative to drive near-term EsoGuard revenues. The latest collaboration with VITALExam should enable Lucid to generate contractually guaranteed revenues through fully contracted CheckYourFoodTube Precancer testing events.  Accordingly, we expect the newest agreement to boost the market sentiment toward LUCD stock in the upcoming days. 

Lucid has a market capitalization of $45.4 million. The Zacks Consensus Estimate for the company’s fiscal 2024 earnings indicates an 18.5% year-over-year increase on a 5.5% revenue improvement. 

More On Lucid’s Latest Partnership

The collaboration aligns Lucid with a like-minded organization, strengthening its ability to prevent esophageal cancer deaths in at-risk patients. According to the Firefighter Cancer Support Group, firefighters have a 62% increased risk of developing esophageal cancer, and a 39% increased risk of dying from the same. The partnership enables the companies to offer cutting-edge precancer screening to the brave individuals who put their lives on the line daily. Under the agreement, Lucid’s EsoGuard testing will be part of VITALExam’s annual wellness program for Tuscaloosa Fire Rescue. With this, these exams are becoming more comprehensive and impactful. 

Industry Prospects Favor Lucid

Per a report by Data Bridge Market Research, the global esophageal cancer market size was valued at $1.34 billion in 2023 and is projected to reach $2.57 billion by 2031, a compound annual growth rate (CAGR) of  8.50% during the period. The esophageal cancer market is experiencing significant growth, driven by increasing incidence rates, advancements in treatment options and rising awareness of early detection. The market is bolstered by a robust pipeline of innovative therapies, including targeted therapies and immunotherapies. 

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Another Development by Lucid

Earlier this month, Lucid’s manuscript for its CLinical Utility of EsoGuard (CLUE) study was accepted for publication in the peer-reviewed journal named Medicina. This is the fourth peer-reviewed publication presenting outstanding clinical utility data for the EsoGuard Esophageal DNA Test. Additionally, the study documented an exceptionally high 85% patient compliance with referral to confirmatory upper endoscopy (EGD) following EsoGuard esophageal precancer testing in a real-world clinical setting.

LUCD Stock Price Performance

In the past year, LUCD’s shares have declined 47% compared with the industry’s 4.7% growth. 

LUCD’s Zacks Rank and Key Picks

Lucid currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader medical space are Penumbra PEN, Haemonetics HAE and ResMed RMD, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Penumbra’s shares have risen 10.5% in the past year. Estimates for the company’s 2024 earnings per share (EPS) have jumped 0.7% to $2.81 in the past 30 days. PEN’s earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 10.54%. In the last reported quarter, it posted an earnings surprise of 23.19%.

Estimates for Haemonetics’ fiscal 2025 EPS have remained constant at $4.59 in the past 30 days. Shares of the company have lost 3.6% in the past year against the industry’s growth of 17.3%. HAE’s earnings surpassed estimates in three of the trailing four quarters and missed in one, the average surprise being 2.82%. In the last reported quarter, it delivered an earnings surprise of 2.75%.

Estimates for ResMed’s fiscal 2025 EPS have increased 0.7% to $9.35 in the past 30 days. Shares of the company have surged 59.4% in the past year compared with the industry’s 17.3% growth. RMD’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 6.41%. In the last reported quarter, it delivered an earnings surprise of 8.37%.

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