Market Overview

Strong Trial Results, Effective Distribution Could Put Regeneron's Praluent 'Back In The Competition'

Share:
Strong Trial Results, Effective Distribution Could Put Regeneron's Praluent 'Back In The Competition'
Related REGN
The Daily Biotech Pulse: EyePoint Licenses Eye Inflammation Drug, Insys Strategic Review Of Opioid Assets, Neos Offering
Earnings Scheduled For November 6, 2018
Roche Still Offers A Respectable Return As Bulls And Bears Slug It Out (Seeking Alpha)

Regeneron Pharmaceuticals Inc (NASDAQ: REGN)’s promising Praluent trial outcomes — and an effective marketing strategy to expand access to the drug — could give the company a strong competitive standing in the cardiovascular drug market, according to Bank of America Merrill Lynch.

The Analyst

BofA's Ying Huang maintained a Buy rating and $520 price target on Regeneron.

The Thesis

Top-line data from the Odyssey Outcomes Cardiovascular Outcomes trial demonstrated that treatment with Praluent offered a 15-percent reduction in heart attacks, ischemic strokes, hospitalization from angina and coronary heart disease death, Huang said in a Sunday note. 

The reduction in all-cause mortality is likely to “put Praluent back in the competition,” the analyst said.

“We believe both physicians and payers will take this mortality benefit in consideration.”

Regeneron announced a plan to reduce the net price of the cholesterol drug to payers willing to reduce access barriers to high-risk patients, which will likely expand the distribution of Praluent, Huang said. 

“While this may reduce the addressable patient population, we believe this strategy will make the drug ultimately more accessible.”

Price Action

At the time of publication, Regeneron Pharmaceuticals shares were trading up 0.57 percent at $343.64.

Related Links:

The Week Ahead In Biotech: Earnings, PDUFA Dates And More

7 Biotech Stocks With Clinical Trial Outcomes In March

Latest Ratings for REGN

DateFirmActionFromTo
Oct 2018Morgan StanleyMaintainsEqual-WeightEqual-Weight
Oct 2018Canaccord GenuityMaintainsHoldHold
Oct 2018Cantor FitzgeraldInitiates Coverage OnNeutral

View More Analyst Ratings for REGN
View the Latest Analyst Ratings

Posted-In: Bank of America Merrill LynchAnalyst Color Health Care Price Target Reiteration Top Stories Analyst Ratings General Best of Benzinga

 

Related Articles (REGN)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
MOSJP MorganDowngrades33.0
BACKeefe Bruyette & WoodsDowngrades29.0
AMTMorgan StanleyDowngrades170.0
EBAYMorgan StanleyDowngrades33.0
UNITMorgan StanleyDowngrades16.0
View the Latest Analytics Ratings
Don't Miss Out!
Join Our Newsletter
Subscribe to:
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
Your weekly roundup of hot topics in the exciting world of fintech.
Thank You
for registering for Benzinga’s newsletters and alerts.
• The Daily Analysts Ratings email will be received daily between 7am and 10am.
• The Market in 5 Minutes email will be received daily between 7am and 8am.
• The Fintech Focus email will be received every Friday between 2pm and 5pm.

3 Macro Events To Trade This Week

Citron's Andrew Left Thinks Netflix Got 'Ahead Of Itself,' Sees Stock Falling Below $300