Piper Jaffray Resumes Coverage on Alexion (ALXN) with a Buy; Warrants Premium to Peer Group

June 11, 2009 3:55 PM EDT

Piper Jaffray & Co. resumes coverage on Alexion (Nasdaq: ALXN) with a Buy rating. Price target $47.

Piper analyst says, "Mid-Cap is Where It's At. Our investment thesis for this early recovery is that profitable, mid-cap biotech names with strong balance sheets and earnings growth should deliver superior returns. Alexion fits all of these characteristics...We look for steady Soliris growth in PNH to drive earnings over the next several years. We see limited competition and several years of orphan drug and patent protection remaining for Soliris. With a superior earnings growth rate of ~55% over the next 3 years, we argue Alexion warrants a premium to the group supporting our assigned 30x multiple."

To see more analyst ratings on ALXN Click Here.

Alexion Pharmaceuticals, Inc. (Alexion) is a biopharmaceutical company engaged in the discovery, development and delivery of biologic therapeutic products for the treatment disease, including hematologic and neurologic diseases, cancer and autoimmune disorders. The Company has one marketed product, Soliris (eculizumab), which is a therapy approved for the treatment of patients with paroxysmal nocturnal hemoglobinuria (PNH).

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