Exact Sciences: Assuming Coverage With $78 Fair Value Estimate, as Robust Pipeline Not Yet Derisked

We are transferring coverage of Exact Sciences, keeping our moat rating at none and raising our fair value estimate to $78 per share from $68 previously. This is driven by a more optimistic view of Cologuard's revenue and the addition of molecular residual disease, or MRD, testing and single cancer screening revenue, and partially tempered by a more conservative view of its multicancer early detection, or MCED, test.