UPDATE: BMO Capital Markets Reiterates Outperform Rating, Raises PT on Receptos Following Solid 3Q13 Operating Results

In a report published Thursday, BMO Capital Markets analyst Jim Birchenough reiterated an Outperform rating on Receptos (NASDAQ: RCPT), and raised the price target from $40.00 to $41.00.In the report, BMO Capital Markets noted, “Receptos reported 3Q13 operating results late yesterday and provided an update on key pipeline programs. Net loss per share of $0.88 was in line with our expectations, and the company ended 3Q13 with $80.8M in cash. With primary focus on selective S1P1 modulator RPC1063, recent completion of enrollment to the phase 2 portion of the phase 2/3 RADIANCE trial in relapsing MS (RMS) keeps both the 4Q13 interim analysis and mid-14 complete analysis on track. Following a positive interim analysis, RCPT will amend RADIANCE into a head-to-head two-year trial against Avonex. RCPT also noted that the 1063 phase 2 TOUCHSTONE trial in ulcerative colitis (UC) remains on track for data read out also in mid-2014 Broader pipeline progress is expected in 2014 with IND filing and phase 2 initiation expected for RPC4046 in eosinophilic esophagitis (EoE) and with completion of IND-enabling studies in the oral GLP-1 receptor modulator program as well.”Receptos closed on Wednesday at $28.04.