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Leerink Swann Downgrades Array Biopharma (ARRY) to Market Perform; Phase II trial of ARRY-162 Results Poor

September 4, 2009 8:41 AM EDT
ARRY Hot Sheet
Rating Summary:
    1 Buy, 1 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
Leerink Swann downgrades Array Biopharma (Nasdaq: ARRY) from Outperform to Market Perform. Price target slashed from $6 to $2.

Leerink analyst says, "Bottom Line: Last night, at the end of management's projected time window, ARRY announced data from a randomized Phase II trial of ARRY-162 ('162, MEK inhibitor) for rheumatoid arthritis (RA) that we view to be poor. With '162 RA data out of the way and without its potential to generate a large upside, we do not see another compound in ARRY's remaining pipeline to generate excitement in the near term. The company does have a broad pipeline but in the new funding environment, its breadth may be difficult to sustain in our view. Including the $120M loan from Deerfield, ARRY's valuation is not compelling to us."

To see more analyst ratings on ARRY Click Here.

Array BioPharma Inc., a biopharmaceutical company, focuses on the discovery, development, and commercialization of small molecule drugs to treat patients with cancer, inflammatory, and metabolic diseases in North America, Europe, and Asia Pacific.

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