UPDATE: Oppenheimer Initiates The Medicines Company at Outperform on Pipeline Value
Oppenheimer initiated coverage on The Medicines Company (NASDAQ: MDCO) with an Outperform rating and a $35 price target.
Oppenheimer said, "Our positive stance is based on our view that Angiomax, MDCO's key commercial asset, is worth ~$19/share alone, suggesting the market is attributing little/no value to MDCO's pipeline, which consists of two potentially promising Phase III assets. We look for Phase III data from antiplatelet-agent Cangrelor by YE12/early 2013, and data from two Phase III studies of antibiotic asset Oritavancin, being developed to treat ABSSSI, in 1H13, which we anticipate could serve as significant positive catalysts for the stock. Our $35 PT is based on the average of our sum-ofthe-parts and DCF analysis."
The Medicines Company closed at $20.36 on Monday.
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