Shares of Neurocrine Biosciences, Inc. NBIX soared by more than 20 percent Wednesday after the U.S. Food and Drug Administration granted approval for the company's Ingrezza therapy.
Ingrezza is used by adults with tardive dyskinesia (TD) and has become the first treatment option approved by the FDA.
Jay Olson of Oppenheimer commented in a report that treatment for TD is a growing area and Ingrezzay is viewed as a best-in-class therapy given its efficacy profile, safety, once-daily dosing, data package with concomitatnt medication, and an absence of any black-box warning.
Olson also pointed out that while Ingrezza may cause somnolence or QT prolongation, the therapy's biggest competitors have a block-box warning for suicidality.
Pricing And Launch
Olson said that while pricing of Ingrezza will be communicated to the public in May, the company did reaffirm prior guidance for a range of $20,000 to $60,000 while both the 40mg and 80mg capsule will have a similar cost.
For comparison, Teva Pharmaceutical Industries Ltd (ADR) TEVA priced its Austedo in HC around $90,000 to $120,000 a year, which would translate to a range of $60,000 to $100,000 a year price in TD which is a "positive for Ingrezza."
Finally, the analyst noted Ingrezza will be distributed through a select pharmacy network and a patient support program (INBRACE) will help patients receive the therapy if prior authorization is required. Promotion to healthcare professions will start on May 1.
Bottom line, the analyst reitereated an Outperform rating on Neurocrine's stock with an unchanged $60 price target.
Wednesday's approval was previously forecasted by the analyst in a report on March 15 in which he argued that Neurocience's stock could gain $8 per share upon approval.
See Also:
Looking For The Positives In TherapeuticsMD's Recently Received FDA Letter
Do Any Signs Of Life Remain In OnceMed's Demcizumab Development?
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.