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Chardan's Top Pick For 2018: Gene Therapy Firm Uniqure

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Chardan's Top Pick For 2018: Gene Therapy Firm Uniqure
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Uniqure NV (NASDAQ: QURE) struck all-time highs last week and continued to linger near its peak value. One analyst projects 61-percent upside and considers the equity a top pick in 2018. 

The Rating

Chardan analyst Gbola Amusa maintained a Buy rating on uniQure and increased the price target from $37.50 to $50.

The Thesis

Amusa considers the year’s second half “ideal” for uniQure for 10 reasons.

  • Upcoming catalysts include second-half data from AMT-126 in a congestive heart failure study and submission of an investigational new drug application for AMT-130 in Huntington’s. Results on AMT-061 for hemophilia B are expected by the end of the year.
  • Post-proof-of-concept AAV-based gene therapy companies generally boast market caps between $1 billion and $8.4 billion, and uniQure’s $1.1-billion market cap is at the low end of the range.
  • Amusa predicted BioMarin Pharmaceutical Inc. (NASDAQ: BMRN) will bid to acquire or partner with uniQure this year.
  • Bristol-Myers Squibb Co (NYSE: BMY) could deepen its partnership, increase its stake in uniQure and provide long-term upside from progress in AMT-126.
  • Amusa expects uniQure, with a scaled manufacturing process, to beat Spark Therapeutics Inc (NASDAQ: ONCE) to market with its AAV-based hemophilia B gene therapy.
  • Hemophilia B presents a market opportunity north of $15 billion, and Amusa anticipates a path to reimbursement for AMT-061.
  • AMT-061 is seen to address patients with AAV5 antibodies, which would support best-in-class rankings.
  • AMT-061 has FDA breakthrough and EMA PRIME designations that expedite development.
  • The firm’s AAV-based Huntington’s product may prove superior to antisense oligonucleotides.
  • Management could monetize its intellectual property in manufacturing and generate royalties from peers.
  • The firm can stunt competitors with intellectual property in FIX-Padua.

Price Action

At the time of publication Monday, uniQure shares were trading down 0.13 percent at $31.03. 

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Latest Ratings for QURE

DateFirmActionFromTo
Jul 2018Cantor FitzgeraldInitiates Coverage OnOverweight
Jun 2018B. Riley FBRInitiates Coverage OnBuy
May 2018SunTrust Robinson HumphreyInitiates Coverage OnBuy

View More Analyst Ratings for QURE
View the Latest Analyst Ratings

Posted-In: Chardan Gbola AmusaAnalyst Color Biotech Price Target Reiteration Analyst Ratings General Best of Benzinga

 

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