Goldman Believes TherapeuticsMD Is 'Revitalizing Women's Health,' Initiates With Buy
TherapeuticsMD Inc (NYSE: TXMD), a small-cap women's healthcare product company might be “revitalizing women’s health.” At least, this is what analysts at Goldman Sachs believe. The firm initiated coverage of the stock with a Buy rating and 12-month price target of $10.00, which implied an upside of more than 50 percent from Friday’s closing price.
While the SPDR S&P Biotech (ETF) (NYSE: XBI) has lost about 30 percent since December 29, TherapeuticsMD has tumbled about 40 percent, even though no significant news transcended. The experts think the company “has been unfairly classified as a biopharma whereas it faces a more consumer-like market opportunity.”
Related Link: Jefferies' Best Biotech Ideas For 2016 (And Beyond)
They see the stock returning to prior levels on the back of:
1) An emphasis on well developed markets with elevated unmet needs
2) A product portfolio centered on women’s health, which is a core competency
3) “A late stage differentiated pipeline.”
These elements support the analysts’ optimistic outlook for EPS growth, which suggests TherapeuticsMD is both under-valued and under-appreciated.
Shares of TherapeuticsMD were trading up more than 10 percent on Monday afternoon.
Disclosure: Javier Hasse holds no positions in any of the securities mentioned above.
Latest Ratings for TXMD
|Apr 2016||Goldman Sachs||Initiates Coverage on||Buy|
|Jun 2015||Guggenheim||Initiates Coverage on||Buy|
|Jul 2014||FBR Capital||Initiates Coverage on||Outperform|
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