Collins Stewart Starts Dendreon (DNDN) at Buy; Diligence Suggests Robust Demand and Positive NCD for Provenge
Tweet
Share
E-mail
Get Alerts DNDN Hot Sheet
Price: $0.13 --0%
Rating Summary:
2 Buy, 15 Hold, 9 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 9 | New: 24
Rating Summary:
2 Buy, 15 Hold, 9 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 9 | New: 24
Join SI Premium – FREE
Collins Stewart initiates coverage on Dendreon (NASDAQ: DNDN) with a Buy. PT $55.
Collins analyst says, "We believe DNDN is emerging as a leading mid-cap biotech company given the blockbuster potential of its first-in-class immunotherapy, Provenge, for the treatment of castrate-resistant prostate cancer (CRPC). Based on feedback from CMS consultants, we believe draft guidance for the Provenge CMS NCD on March 30 should fall in-line with the label and remove a near-term overhang. In addition, DNDN should increase Provenge manufacturing capacity 10-fold in 2011 to offset robust patient/physician demand (at least 1-2 patients/month conservatively per our diligence, which is in-line with guidance). As a result, we estimate Provenge FY11 revenue of $371.4M (vs. Street consensus of ~$370.5M and DNDN guidance of $350M-$400M), with possible upside."
"Given E.U. approval is likely in mid-2013, we believe Provenge WW peak sales of Provenge could be $3.1B+ in 2020, with Provenge approval in castrate-sensitive prostrate cancer and the remainder of the pipeline representing a free-call option."
For more ratings news on Dendreon click here and for the rating history of Dendreon click here.
Shares of Dendreon closed at $32.95 yesterday.
Collins analyst says, "We believe DNDN is emerging as a leading mid-cap biotech company given the blockbuster potential of its first-in-class immunotherapy, Provenge, for the treatment of castrate-resistant prostate cancer (CRPC). Based on feedback from CMS consultants, we believe draft guidance for the Provenge CMS NCD on March 30 should fall in-line with the label and remove a near-term overhang. In addition, DNDN should increase Provenge manufacturing capacity 10-fold in 2011 to offset robust patient/physician demand (at least 1-2 patients/month conservatively per our diligence, which is in-line with guidance). As a result, we estimate Provenge FY11 revenue of $371.4M (vs. Street consensus of ~$370.5M and DNDN guidance of $350M-$400M), with possible upside."
"Given E.U. approval is likely in mid-2013, we believe Provenge WW peak sales of Provenge could be $3.1B+ in 2020, with Provenge approval in castrate-sensitive prostrate cancer and the remainder of the pipeline representing a free-call option."
For more ratings news on Dendreon click here and for the rating history of Dendreon click here.
Shares of Dendreon closed at $32.95 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Rosenblatt Starts Alphabet (GOOGL) at Buy
- Sunshine Biopharma gets Canadian approval for generic Enalapril
- FDA accepts Teva's drug application for Tourette syndrome therapy in children
Create E-mail Alert Related Categories
FDA, New CoverageRelated Entities
Collins StewartSign 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!
