Rodman & Renshaw Maintains Outperform, $57 PT on ONYX Pharmaceuticals

Rodman & Renshaw reiterates its Outperform rating and $57 target price on ONYX Pharmaceuticals

as story remains intact following mixed results at ASCO. Rodman & Renshaw says, "As we indicated in our ASCO GI preview, we awaited the full data set from the study before revisiting our model and assumptions. We view the regorafenib story as very much intact coming out of ASCO GI and continue to believe regorafenib will be a blockbuster (~$2.4bil by 2020) for ONXX and Bayer. We assume Bayer will file regorafenib for approval in mid-2012, and the drug will approved in the US in 2013. Additionally, we view proven efficacy in mCRC (an indication in which sorafenib failed to prove effective) as a key data point in differentiating the two molecules." ONXX closed at 41.71 a share on Friday.