Cantor Fitzgerald Downgrades Avalon Pharmaceuticals (AVRX) to Hold
More News related to AVRX
- Avalon Pharmaceuticals (AVRX) Common Stock to be Suspended From Trading
- Clinical Data (CLDA) and Avalon Pharmaceuticals (AVRX) To Merge
- Cantor Fitzgerald Downgrades Avalon Pharmaceuticals (AVRX) to Hold
- Avalon Pharmaceuticals (AVRX) Reports Q1 Loss of $0.37, Misses By 7c
- Avalon Pharmaceuticals (AVRX) Receives Audit Committee Opinion Containing Going Concern Statement
Cantor Fitzgerald downgrades Avalon Pharmaceuticals (NASDAQ: AVRX) from Buy to Hold and lowers their price target from $5.50 to $1.50.
The firm highlighted that the company reported a net loss of $5.6 million or ($0.33) per share in 2Q:08, which was in-line with the firm's estimates of $5.4 million or ($0.32) per share. However, the company also announced it will be restructuring, which will reduce its work force by one-third.
Cantor Fitzgerald also highlighted that AVRX "is suspending all development programs except for its ongoing collaborations and AVN316 beta-catenin pathway inhibitor program. Ongoing clinical trials of AVN944 are continuing, but further clinical development will be limited." In addition, the firm estimates that Avalon’s reserves can fund about 6.5 months of operations, or until mid-January 2009.
Therefore, the firm said, "We continue to believe that Avalon's drug discovery platform will yield innovative and valuable new drugs, but its restructuring and limited resources has introduced considerable uncertainty."
Avalon Pharmaceuticals, Inc., a clinical stage biotechnology company, engages in the discovery and clinical development of small molecule, potential first-in-class drugs for the treatment of cancer.
Related Categories
DowngradesStocks Mentioned
+0.00Related Entities
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
