Mizuho dismisses Axsome short report after management call

Mizuho analyst Graig Suvannavejh says Axsome Therapeutics shares fell yesterday following the release of a short report by Culper Research, which focused on the company’s lead product Auvelity. Axsome management stated that it found the report demonstrably false and meritless in its claims, the analyst tells investors in a research note after speaking to the company. The firm says Axsome has zero consignment sales and does not have any direct sales to pharmacies, as all sales go through distributors, of which 96% of sales come from the company’s three largest customers. Mizuho became comfortable dismissing the report’s claims after its interaction with management. It reiterates a Buy rating on the shares with a $106 price target.