MLV & Co Has Positive Outlook On Galectin Therapeutics Inc

In a report published Tuesday, MLV & Co analyst Vernon T. Bernardino reiterated a Buy rating and $16.00 price target on Galectin Therapeutics Inc (NASDAQ: GALT).In the report, MLV & Co noted, “Galectin Therapeutics (GALT) earlier today announced issuance of a US patent for composition and method of use of GR-MD-02 (GR02) as a treatment for patients with diabetic nephropathy (DN). As DN (est. 40% of diabetics in the US) is not in our models, we believe the news points to a nascent opportunity that is upside to GR02's market potential. As GR02 clinical data so far has been generated using the IV form, we look next for GALT's optimization of the oral formulation, which recently showed activity in preclinical models of fatty liver disease (FLD). We believe investors overly discount risk in results expected from cohort 3 Ph 1 testing of GR02 in non-alcoholic steatohepatitis patients with advanced fibrosis ($14/sh value), as GALT stock is still down 59% YTD. However, we were encouraged by results from cohort 1 and 2, and look for a positive cohort 3 readout (est. early 4Q14). Therefore, we believe current prices attractive for starting new positions, and reiterate our BUY recommendation and $16 PT.”Galectin Therapeutics closed on Monday at $5.93.