Tuesday: Biotech Analyst Rundown

Includes: Applied Genetic Technologies Corporation (AGTC), HROW, MDCO, MGTX


I hope all had a relaxing and long Labor Day weekend, outside those in Florida and the Southeast that have been rightly fixated on the evolving path of Dorian.  In other news, new tariffs went into affect on September 1st.  This is one reason futures are modestly down before we start a new trading week this Tuesday.


In the meantime, here are four biotech stocks analysts like this morning.

B Riley FBR maintains their Buy rating and $13 price target on Harrow Health (HROW) with the following commentary.

Last week, we hosted an NDR for Harrow Health in the company’s HROW filed an 8-K, announcing it had ceased operations of Park Compounding, its non-ophthalmology-focused 503A pharmacy in California, and terminated its asset purchase agreement with Noice Rx. Recall: In July, HROW agreed to sell substantially all of Park’s non-ophthalmology pharmaceutical compounding business’ assets to Noice. As we mentioned in our last update (see note dated 8/15/19), we did not update our estimates, post HROW’s 2Q19 print: We were waiting for the divestiture of Park Compounding to be finalized. As a result, we are updating our 3Q19 to 2021 estimates to account for HROW’s 2Q19 results/conference call, NDR, and update on Park Compounding.”

After additional late stage trial data just came out, Citigroup is maintainingits Buy rating on The Medicines Company (MDCO) but lifting its price target seven bucks a share.  Citi's analyst states 'The results suggest that inclisran is comparable on safety and efficacy to the approved PCSK9 antibody agents.  The analyst's new price target assumes a 100% probability of success for the drug'

Tim Plaehn of The Dividend Hunter recently published a new free report covering three cheap dividend stocks he likes right now and that should be long term holdings in 401Ks and retirement accounts. The new research can be downloaded free HERE.

MeiraGTx Holdings (MGTX) initiated as a new Overweight with a $40 price target at Piper Jaffray this morning.  Piper's analyst states 'The company's pipeline is "broad and balanced" and each of its franchises, inherited retinal diseases, Parkinson's, and salivary gland, represent $1B-plus peak sales opportunities, and calls MeiraGTx one of the few vertically-integrated gene therapy companies.'


Finally, Chardan Capital upgrades Applied Genetic Techologies (AGTC) to a Buy with a $7.50 price target.  Here is their updated view on the company..

We now upgrade AGTC to the opportunity represented by a company: (1) now trading at 64% of 30 March 2019 cash, and (2) with important phase I/II data through 1H20 on 3 different programs (ACHM-A3, ACHM-B3, XLRP). We continue to flag the delays AGTC has had over the years in reporting datasets in achromatopsia A3 (ACHM-A3), achromatopsia X- linked retinitis pigmentosa (XLRP). The delays occurred as innovative companies like MeiraGTx (Buy, a Therapeutics (acquired by unrated Biogen) made progress with competing inherited retinal disease franchises (see research below). Despite the AGTC delays, we note that good science sometimes takes time to develop; and, industry participants recognize the soundness of AGTC’s science and broader capabilities, even if execution has been slow.”

And those are four small cap concerns getting analyst 'shout outs' as we are about to start a new trading week.


Thank You & Happy Hunting,


Bret Jensen

Founder, The Biotech Forum|Busted IPO Forum | Insiders Forum


Supernus: Too Cheap To Stay At These Levels


This week's option play of the week is around a small biopharma stock called. Supernus Pharmaceuticals (SUPN). The stock is off some 30% from 52-week highs but has some potential upcoming catalysts on the horizon. The shares have also seen their first insider buying since 2013 and the stock is very cheap at current levels.  We quickly revisit Supernus and set up the option play in this Free Report -- just log-in and download. This will also give you access to previous Free Reports.



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