Piper Jaffray Initiates Coverage On Corcept Theraputics
November 17, 2010 11:14 AM
Piper Jaffray is initiating coverage of Corcept Therapeutics NASDAQ: CORT) with an Overweight rating and a 12-month price target of $7 per share.
Corcept represents one of the higher risk/highest reward recommendations in our small cap universe, with a near term resolution as Phase III CORLUX data in Cushing's syndrome (CS) will be released in late December. Our Overweight rating on CORT is based on its expectation for positive Phase III data to support regulatory approval and launch in 2012.
Piper expects CORLUX to be the first oral drug approved for the treatment of the roughly 4,000-8,000 CS subjects that are refractory or ineligible for currently approved drugs. We project peak sales >$500mn to be driven by second line use in this Orphan disease, with upside dependent on off-label use in patients undergoing surgery, which we believe is likely, and positive Phase III data in patients with major psychotic depression (2012).
CORT is trading higher at $3.46
