McNicoll, Lewis & Vlak Downgrades Transcept Pharmaceuticals, Lowers PT

McNicoll, Lewis & Vlak downgraded its Transcept Pharmaceuticals

rating from Buy to Hold and lowered its Transcept Pharmaceuticals price target from $15 to $5.50 in a research report published today. In the report, McNicoll, Lewis & Vlak states, "Due to the clear uncertainty on the key value driver of the company, we are lowering our rating on the shares of TSPT from BUY to HOLD. Furthermore, we have increased the discount rate on future expected sales revenues of Intermezzo from 20% to 35% to reflect an above average relative risk of approval. As such, we are also lowering our Target Price from $15 to $5.50. To the extent that clarity is offered after the FDA meeting, relative risk will be reduced correspondingly." Shares of Transcept Pharmaceuticals were trading at $2.76 at the time of posting, up 0.73% from Thursday's market close.