Analyst Marc Goodman from Leerink Partners maintained a Buy rating on Axsome Therapeutics (AXSM – Research Report) and increased the price target to $150.00 from $110.00.
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Marc Goodman has given his Buy rating due to a combination of factors, primarily revolving around a significant settlement with Teva Pharmaceuticals. This settlement is crucial as Teva was the first to file an Abbreviated New Drug Application (ANDA) and holds the First to File (FTF) status, making it a key player in the generic market space. The agreement with Teva serves as a substantial deterrent for other generic companies, given the costs associated with challenging Axsome’s extensive patent portfolio listed in the Orange Book.
Furthermore, this development addresses investor concerns regarding intellectual property, which has been a consistent barrier for potential investors and a reason for skepticism about Axsome’s viability as an acquisition target. As a result of this positive news, Goodman has adjusted the sales model for Auvelity, extending projections to 2039, and subsequently raised the price target from $110 to $150, reflecting increased confidence in the company’s future performance.
Goodman covers the Healthcare sector, focusing on stocks such as Axsome Therapeutics, Biohaven Ltd., and Avadel Pharmaceuticals. According to TipRanks, Goodman has an average return of 6.1% and a 46.67% success rate on recommended stocks.
In another report released today, Needham also maintained a Buy rating on the stock with a $133.00 price target.