J.P. Morgan Reiterates Neutral Rating for Vertex Pharmaceuticals

In a report released earlier today, J.P. Morgan & Co. reiterated its Neutral rating for Vertex Pharmaceuticals Incorporated

, but did not name a price target. J.P. Morgan said in its report “Vertex announced interim results from part 2 of the phase 2 combination study of Kalydeco + VX809 in cystic fibrosis (CF). While we are impressed, that the interim analysis demonstrated a statistically significant improvements in lung function (p=0.002), we don't yet know the magnitude of the FEV-1 benefit for the full population and this will be focus in a phase 3 trial (likely need at least 5%). A FEV1 improvement of at least 5% was observed in 46% of patients and an improvement of at least 10% was observed in 30% of patients. Expectations were certainly not assuming an FEV-1 benefit, so obviously these subgroups performed well. Reductions in sweat chloride, the key objective of the study were not statistically significant. As such, we view the results as mixed with significant improvement in FEV1 for a subset of patients.” Vertex Pharmaceuticals Incorporated closed on Friday at $37.41.