Analysts at Bell Potter have responded positively to the company's update. They said:

TLX has provided a Q2 2024 revenue and business highlights statement and guidance upgrade. Revenues for the quarter were $189m representing an 8% increase over the prior quarter and in line with our expectation. 1H24 revenues of ~$364m increased by 65% vs pcp. FY24 revenue guidance was upgraded to the new range of $745m- $776m representing a 10% increase in the midpoint compared to previous guidance. Guidance for a 40-50% increase in FY24 R&D expense was re-affirmed.

In light of the above, the broker reaffirmed its buy rating and lifted its price target to $22.60 (from $19.00). Based on the current Telix share price of $19.47, this implies potential upside of 16% for the ASX healthcare stock.

Its analysts believe that a potential regulatory approval could be the catalyst to driving its shares higher. The broker concludes:

Earnings adjustments in FY24 are not material. FY25/26 EPS increased by 17% and 21% respectively. Following these adjustments price target is raised to $22.60 from $19.00. In the current environment where the appetite for growth assets is back in favour, we believe the likely approval for Zircaix in early CY25 will become the major catalyst to propel the stock towards our revised target price.