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Brean Murray Carret Raises Price Target on Achillion Pharmaceuticals (ACHN) Due to ACH-1625 Clinical Profile

January 10, 2012 2:57 PM EST
ACHN Hot Sheet
Rating Summary:
    10 Buy, 2 Hold, 1 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 19 | Down: 16 | New: 82
Brean Murray Carret & Co. is reiterating its Buy rating on sharers of Achillion Pharmaceuticals (NASDAQ: ACHN) while raising its price target from $9 to $20 following an update of the company's pipeline.

The company announced a few clinical data sets from the company's pipeline. The firm believes ACHN is strongly positioned compared to its peers given the company's high EVR rate, excellent resistance profile, and genotype 3 activity.

An analyst at the firm comments, "We see this data as being indicative of a breakdown in the classical mechanistic paradigm associated with protease inhibitors (good potency, poor resistance, and genotypic coverage), just as Pharmasset's (Nasdaq: VRUS) data last demonstrated that nucleotides could also be potent."

Brean Murray Carret notes the price target increase is based on a "substantially" stronger than previously expected clinical profile for ACH-1625.

For FY12 and FY13, the firm is forecasting EPS of ($0.62) and ($0.65), slightly better than the Street's consensus of ($0.64) and ($0.68).

For an analyst ratings summary and ratings history on Achillion Pharmaceuticals click here. For more ratings news on Achillion Pharmaceuticals click here.

Shares of Achillion Pharmaceuticals closed at $9.72 yesterday, with a 52 week range of $3.81-$9.86.


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