Acadia Pharmaceuticals upgraded to Overweight from Neutral at JPMorgan

JPMorgan upgraded Acadia Pharmaceuticals to Overweight from Neutral with a price target of $32, up from $29. The shares have underperformed the broader biotech markets over the recent months and is down 35% from its summer highs due to concerns related to Nuplazid’s composition of matter patents, the analyst tells investors in a research note. Even in a worst-case scenario, Acadia confirmed that the loss of exclusivity would only ever be pulled forward to early-2028 for Nuplazid, says the firm. In that case, its discounted cash flow model would only decrease by $6 per share and still reflect some upside to the current valuation. In time, and perhaps as soon as the coming weeks, the focus of the stock to return to launch execution, particularly around Daybue’s Q3 print, contends JPMorgan.