Piper Sandler Downgrades Intra-Cellular Therapies (ITCI) to Neutral

Piper Sandler analyst David Amsellem downgraded Intra-Cellular Therapies (NASDAQ: ITCI) from Overweight to Neutral with a price target of $132.00 (from $107.00).

The analyst comments: "With Intra-Cellular announcing that it is being acquired by Johnson & Johnson, we are downgrading ITCI to Neutral from Overweight, and raising our PT to $132 from $107, reflecting the proposed acquisition price. The recent settlement with Sandoz (SDZ; not covered) allowing for the entry of a generic version of Caplyta (lumateperone) by July 1, 2040 (refer to our note on 1/10/25 for more details) in our view cleared the deck for the transaction, particularly in light of the aggregate opportunity for the product in major depressive disorder (MDD) and bipolar depression (i.e., we had cited peak overall sales potential of well in excess of $4B). We would not expect a higher bid given our view that the ~39% premium to ITCI's closing price on 1/10/25 more than adequately reflects not only the top-line potential of Caplyta but also what are likely to be massive cost synergies."

For an analyst ratings summary and ratings history on Intra-Cellular Therapies click here. For more ratings news on Intra-Cellular Therapies click here.

Shares of Intra-Cellular Therapies closed at $94.87 yesterday.

You May Also Be Interested In

• Bernstein SocGen Group Starts Terawulf Inc. (WULF) at Outperform
• JPMorgan Downgrades Daiichi Sankyo Company, Limited (4568:JP) (DSNKY) to Neutral
• BeWhere acquires SecureQuip Systems for $789,000 in cash