If it doesn't right now, looks like it will next patch, from PTS Notes 8.0.0:
"Reverse Slice (morph): This morph no longer deals damage based on its initial hit and instead deals damage to all targets around the initial.
Developer Comment:
This will allow the Area of Effect damage to be increased and decreased by bonuses, and to be calculated separately per target. It will also fix the issue where the damage continuously became weaker as it cascaded outwards, being diminished by each target’s defenses."
Xbox NA AD / Day 1 ScrubDK / Wood Orc Cuisine Enthusiast