UBS Initiates Prothena With Buy Rating, $58 Price Target

In a report published Monday, UBS analyst Andrew Peters initiated coverage of

with a Buy rating and a price target of $58. Prothena is a clinical stage biotech company focused on the development of immune therapies in hematology and central nervous system disorders. The company's growth prospects are driven by its diversified pipeline with a late stage high value asset. The company's lead program NEOD001 is currently enrolling a phase 3 study evaluating NEOD001 in patients with AL amyloidosis while PRX002, a synuclein targeting antibody is being developed in partnership with

in Parkinson's Disease. Prothena's third program, PRX003, is still in preclinical development, but the TH17 targeting antibody holds potential across a wide range of therapeutic areas. "We believe the initial data from '001 suggests a reasonable basis to believe that the asset could prove to be the first approved therapy in AL Amyloidosis which, in our view, reflects not only a high unmet need, but an underappreciated market opportunity as well," analyst Andrew Peters mentioned. "With additional updates from the phase 1/2 trial expected over the next 12mos that should help confirm the promising initial results, we believe this program is meaningfully underappreciated by investors, and could grow to be a $2bn+ revenue opportunity with significant strategic value," Peters added.