Rodman & Renshaw Maintains Outperform, $57 PT on Onyx

Rodman & Renshaw reiterates its Outperform rating and $57 target price on Onyx (NASDAQ: ONXX) as modest Regorafenib trial data does not change outlook on the company.

Rodman & Renshaw says, "we continue to believe regorafenib is approvable and has the potential to be blockbuster drug for Bayer and ONXX multiple times over. An indication in later-line mCRC was always meant to be an avenue towards approval, not an end in itself. Rather, the results of the CORRECT study will likely permit regorafenib to reach the market faster than thought prior to the early unblinding of results. Additionally, this will allow Bayer and ONXX to explore use in earlier lines of mCRC. While the results are more modest than we anticipated, we view the CORRECT study as the beginning of the story for regorafenib, rather than the end of it."

ONXX closed at $43.86 per share on Tuesday.