Skip to main content

Market Overview

Goldman Sachs Sees 100% Upside In This Biopharma Company

Share:
Goldman Sachs Sees 100% Upside In This Biopharma Company

Revance Therapeutics Inc (NASDAQ: RVNC) has dropped 9 percent since the start of the year, but it's begun a path to redemption through a new, respected advocate.

The Rating

Goldman Sachs analysts Dana Flanders and Christopher Staral initiated coverage on Revance with a Buy rating and a $60 price target.

The Thesis

Revance’s injectable DaxibotulinumtoxinA will soon penetrate and rise in a $3 billion global neuromodulator market expected to post 11-percent compound annual growth through 2023.

Goldman Sachs foresees long-term opportunity in the treatment of glabellar lines, cervical dystonia and plantar fasciitis — expectations supported by physician surveys indicating a potential premium to Botox pricing and few challenges from Allergan plc Ordinary Shares (NYSE: AGN)’s cosmetic portfolio.

The analysts forecast peak sales north of $1.1 billion, which may secure Revance looks from outside parties.

“Given the attractiveness of the global neuromodulator market […] and growth potential from label expansion opportunities for Daxi, we also see high likelihood of M&A interest in RVNC over time,” Flanders and Staral wrote in a note.

Risks to their thesis include slow commercial uptake, competition and regulatory roadblocks.

Price Action

Shares spiked 5.4 percent on the coverage initiation. At time of publication, Revance's stock traded up 1.9 percent off Monday's open at $31.90.

Related Links:

Botox Competition Spurs Argus To Downgrade Allergan

The Companies That Led 2017's Biotech Rally

Latest Ratings for RVNC

DateFirmActionFromTo
Feb 2021HC Wainwright & Co.MaintainsBuy
Jan 2021NeedhamMaintainsBuy
Oct 2020NeedhamMaintainsBuy

View More Analyst Ratings for RVNC
View the Latest Analyst Ratings

 

Related Articles (RVNC)

View Comments and Join the Discussion!

Posted-In: Christopher Staral Dana Flanders DaxibotulinumtoxinAAnalyst Color Price Target Initiation Top Stories Analyst Ratings Best of Benzinga

Latest Ratings

StockFirmActionPT
PPDBairdDowngrades48.0
OSPNSidoti & Co.Upgrades39.0
PLTSidoti & Co.Upgrades48.0
LRCXArgus ResearchMaintains725.0
ROSTLoop CapitalMaintains145.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com