Barclays Lowers Outlook on Idenix Pharmaceuticals (IDIX); Clarity on FDA Clinical Hold (BMY, VRTX, GILD)
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Price: $24.50 --0%
Rating Summary:
1 Buy, 14 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 10 | Down: 9 | New: 13
Rating Summary:
1 Buy, 14 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 10 | Down: 9 | New: 13
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Barclays maintains an 'Equalweight' on Idenix Pharmaceuticals Inc. (NASDAQ: IDIX) price target of $7.00 (from $10.00).
Analyst, Ying Huang, commented on the recent receipt of a clinical hold placed the Idenix's IDX184 by the FDA. Huang said that a clinical doesn't automatically equal a death sentence, but it is a major setback. The FDA placed a hold, citing serious cardiac-related adverse event encountered with a competitor's (Bristol-Myers Squibb's (NYSE: BMY) BMS-094) nucleotide polymerase inhibitor for the treatment of HCV. Cardiac signals were sees with early animal models of BMS-094.
Huang said the outlook for BMY's BMS-094 is very vague at this point and even in a best case scenario, there will be a substantial delay. He also notes that there is little known info regarding Vertex's (Nasdaq: VRTX) Alios nucs, but the structures seem different.
Back to IDIX, Huang noted that the company did not report any clinical findings of cardiac toxicity in preclinical studies, but to be prudent, the FDA may request additional cardiac surveillance in future studies, which will slow down the development timeline for IDX184. He lowers IDIX's price target from $10 to $7, citing higher risk of the IDX184 development program as well as lower likelihood of potential partnership in the near future. FY12 EPS estimate lowered from (0.18) to (0.58), FY13 tweaked from (0.92) to (0.90).
Separately, Huang said Gilead (Nasdaq: GILD) is safe for now, getting comments from a company representative who confirmed no requests have been made from the FDA to this point.
For an analyst ratings summary and ratings history on Idenix Pharmaceuticals Inc. click here. For more ratings news on Idenix Pharmaceuticals Inc. click here.
Shares of Idenix Pharmaceuticals Inc. closed at $5.84 yesterday.
Analyst, Ying Huang, commented on the recent receipt of a clinical hold placed the Idenix's IDX184 by the FDA. Huang said that a clinical doesn't automatically equal a death sentence, but it is a major setback. The FDA placed a hold, citing serious cardiac-related adverse event encountered with a competitor's (Bristol-Myers Squibb's (NYSE: BMY) BMS-094) nucleotide polymerase inhibitor for the treatment of HCV. Cardiac signals were sees with early animal models of BMS-094.
Huang said the outlook for BMY's BMS-094 is very vague at this point and even in a best case scenario, there will be a substantial delay. He also notes that there is little known info regarding Vertex's (Nasdaq: VRTX) Alios nucs, but the structures seem different.
Back to IDIX, Huang noted that the company did not report any clinical findings of cardiac toxicity in preclinical studies, but to be prudent, the FDA may request additional cardiac surveillance in future studies, which will slow down the development timeline for IDX184. He lowers IDIX's price target from $10 to $7, citing higher risk of the IDX184 development program as well as lower likelihood of potential partnership in the near future. FY12 EPS estimate lowered from (0.18) to (0.58), FY13 tweaked from (0.92) to (0.90).
Separately, Huang said Gilead (Nasdaq: GILD) is safe for now, getting comments from a company representative who confirmed no requests have been made from the FDA to this point.
For an analyst ratings summary and ratings history on Idenix Pharmaceuticals Inc. click here. For more ratings news on Idenix Pharmaceuticals Inc. click here.
Shares of Idenix Pharmaceuticals Inc. closed at $5.84 yesterday.
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