UPDATE: Piper Jaffray Downgrades Corcept Therapeutics to Underweight on Competitive Concerns

Piper Jaffray reduced its rating on Corcept Therapeutics

from Neutral to Underweight and lowered its price target from $3 to $1.10. Piper Jaffray commented, "We are downgrading Corcept to Underweight from Neutral and cutting our price target from $3 to $1.10 following a positive FDA panel vote for Novartis's Signifor (pasireotide) a direct competitor to Korlym. As a reminder, we downgraded shares from Overweight to Neutral on September 13 based on physician feedback indicating that Korlym's launch would likely disappoint. We believe Signifor represents a viable alternative to Korlym, and believe the expected launch of a once monthly formulation could lead to further reduction of peak sales estimates." Corcept Therapeutics closed at $1.60 on Wednesday.