BioDelivery Sciences Investors Have Been Burned, But Inflection Point Could Be Coming
- The share price of BioDelivery Sciences International, Inc. (NASDAQ: BDSI) has increased 15.01 percent over the last five trading days.
- Roth Capital’s Scott R. Henry has maintained a Buy rating on the company, with a price target of $14.
- Henry believes that an inflection point could be imminent, following the recent signing of a two-year contract with Tennessee Medicaid, which makes Bunavail the preferred treatment for opioid dependence.
Analyst Scott Henry explained that “Bunavail (buprenorphine/naloxone) is a buccal film for the treatment of opioid addiction. It has potential benefits over comparable treatments, including a lower rate of constipation side effects.”
Tennessee is the largest Medicaid state for buprenorphine/naloxone treatment of opioid dependence. The recently signed contract between Tennessee Medicaid and BioDelivery Sciences came into effect on October 1, making Bunavail “the only preferred buprenorphine/ naloxone treatment for opioid dependence on the preferred drug list.”
With regard to the weekly data on the drug’s performance, the number of total prescriptions fell to 1,415 in the week of September 28, as compared to 1,477 total prescriptions for the previous week.
Bunavail’s market share declined marginally from 1.01 percent in the week of September 21 to 0.97 percent in the week of September 28. However, Henry views the weekly results as neutral, given the “currently modest expectations.”
The drug is expected to garner one percent market share by January 2016, increasing to 2 percent by November 2016.
Latest Ratings for BDSI
|Sep 2016||Janney Capital||Upgrades||Neutral||Buy|
|May 2016||Cantor Fitzgerald||Downgrades||Buy||Hold|
|Mar 2016||Roth Capital||Maintains||Buy|
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.