Retrophin (RTRX) Setup Into DUET Data Remains Favorable - BMO

August 5, 2016 9:23 AM EDT
Get Alerts RTRX Hot Sheet
Price: $19.91 -2.21%

Rating Summary:
    5 Buy, 0 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 17 | Down: 27 | New: 7
Trade RTRX Now!
Join SI Premium – FREE

Get instant alerts when news breaks on your stocks. Claim your 2-week free trial to StreetInsider Premium here.

BMO Capital analyst Do Kim reiterated an Outperform rating and raised his price target on Retrophin (NASDAQ: RTRX) to $28.00 (from $25.00), saying setup into DUET data remains favorable.

Kim commented, "We are raising our sales estimates for Retrophin’s commercial products, as 2Q16 revenues of $33.3mn were modestly ahead of our $32.8mn estimate. Based on management’s comments, we believe the slight beat was across all three marketed drugs, as each saw new patient growth in the quarter. Our price target increases to $28 from $25 due to higher sales projections and from pushing out our DCF valuation to mid-2017. Timing for the DUET Phase II data for Sparsentan has been narrowed down to early September. We are adjusting our scenario analysis to reflect our new target price, with upside to $53/share under the best case and strong downside support at $22/share for worst case, based on Retrophin’s stable commercial franchise, growing profitability, optionality from RE-024, and an estimated $290mn net cash balance at year-end. RTRX is our top small-cap biotech pick, and we recommend buying ahead of the September data, given the favorable risk/reward for RTRX shares."

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

Shares of Retrophin closed at $18.77 yesterday.

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change, FDA

Related Entities

BMO Capital

Add Your Comment