UPDATE: Janney Capital Markets Initiates Coverage on Durata Therapeutics with Buy Rating, $19 PT on Fundamentally Changing Antibiotic Treatment

In a report published Wednesday, Janney Capital Markets analyst Jim Molloy initiated coverage on

with a Buy rating and $19.00 price target. In the report, Janney Capital Markets noted, “We are initiating coverage of Durata Therapeutics (DRTX) with a Buy rating and a $19 fair value estimate. DRTX is a pharmaceutical company focused on the development and commercialization of novel therapeutics for patients with infections and acute illnesses. DRTX is currently targeting bacterial infections that lead to acute bacterial skin and skin structure infections (abSSSI). The lead candidate is dalbavancin which is a second generation semi-synthetic lipoglycopeptide that allows for once-weekly dosing against Gram-positive bacteria, including Methicillian-Resistant S. aureus or MRSA. DRTX has completed 2 global Phase 3 trials investigating abSSSI with data in 1Q13. DRTX filed the dalbavancin New Drug Application (NDA) in September 2013, and if accepted, we anticipate a May/June 2014 PDUFA (FDA action) date.” Durata Therapeutics closed on Tuesday at $9.99.