Adaptive Biotechnologies Corp. | North America: Q2 results: Adapting Adeptly

Research evidence excerpt

Adaptive Biotechnologies Corp. | North America: Q2 results: Adapting Adeptly

IdeaM

RiskRisk RewardReward– Adaptive- AdaptiveBiotechnologiesBiotechnologiesCorp. (ADPT.O) Corp. (ADPT.O)

Disruptive Platform But Well-Understood Set of Catalysts Keeps Us on Sidelines

PRICE TARGET $22.00 EQUAL-WEIGHT THESIS

Our price target is based on a ~9.5x EV / '27e Sales multiple, approx. in line with precision We remain believers in the LT open-ended

oncology peers driven by ADPT's market-leading clonoSEQ partly offset by risk from more value proposition embedded in ADPT’s

scaled MRD competitors, supported by DCF analysis. platform, and are encouraged by the

Company’s progress in streamlining

$21.50 execution and managing costs. That said,

Consensus Price Target Distribution $20.00 $25.00 with the stock up substantially YTD, we

MS PT view the meaningful progress towards

Source: Refinitiv, Morgan Stanley Research Mean Morgan Stanley Estimates profitability reflected at current levels with

key to further upside hinging on stringing

together a series of ever-larger beats and

RISK REWARD CHART raises, driven by sustained execution on the

top-line, including robust adoption of

clonoSEQ despite increasingly challenging

USD $27.00$27.00(+19.68%)$27.00(+19.68%)(+19.68%) y/y comps, and tangible progress in Immune

Medicine, while streamlining operations,

cutting costs, and reducing burn.

$22.56$22.56$22.56 $22.00$22.00(-2.48%)$22.00(-2.48%)(-2.48%)

Consensus Rating Distribution

88% Overweight

13% Equal-weight

12 0% Underweight

$12.00$12.00(-46.81%)$12.00(-46.81%)(-46.81%) MS Rating

6 Source: Refinitiv, Morgan Stanley Research

0 Risk Reward Themes

JUL '25 JAN '26 JUL '26 JUL '27 Disruption: Positive

Key: Historical Stock Performance Current Stock Price Price Target Secular Growth: Positive