UPDATE: Oppenheimer Raises Gilead PT to $50 on Promising Oncology Pipeline

Oppenheimer analyst David Ferreiro published a report Wednesday, maintaining his Outperform rating on Gilead Sciences

and increasing its price target from $45 to $50. Ferreiro wrote, "We reviewed GILD's oncology pipeline, focusing on lead candidates idelalisib (PI3K inhibitor) for NHL/CLL and CYT387 (JAK inhibitor) for myelofibrosis. Based on their MoAs and favorable ph.I/II datasets, we see a high probability of ph.III success for these compounds. Although both face significant competition, we believe little to no value is priced into shares for these compounds. We are now including very conservative base-case estimates for idelalisib/CYT387, with room for upside potential. Although ph.III readouts will not occur until 2014-2016, we believe value for these candidates and the overall oncology pipeline will begin to creep into shares toward year-end. We are increasing our PT to $50, from $45, with the addition of idelalisib/CYT387 estimates." Gilead closed Wednesday at $45.90.