Market Overview

Jefferies Projects $573M Peak Sales For Cara Therapeutics' Lead Candidate

Share:
Jefferies Projects $573M Peak Sales For Cara Therapeutics' Lead Candidate

Cara Therapeutics Inc (NASDAQ: CARA), a biotech company developing non-opioid pain relief drugs, has earned a bullish review from Jefferies. 

The Analyst

Analyst Matthew Andrews initiated coverage of Cara with a Buy rating and $30 price target.

The Thesis

Cara's lead program is intravenous Korsuva, which is being tested in chronic kidney disease on hemodialysis-associated pruritis, or CKD-HD-aP, Andrews said in the initiation note. (See his track record here.)

The drug has a promising opportunity given that 180,000 patients in the U.S. suffer from the disease and there is no FDA-approved drug, the analyst said. 

Jefferies estimates peak penetration for Korsuva at 27 percent and peak-adjusted U.S. sales of $573 million.

The CR845 Phase 2/3 study for Korsuva met its primary endpoint by reducing the Worst Itch-Numeric Rating Scale, or WI-NRS, by 3.8 points at Week 8 from the baseline relative to a placebo, Andrew said. 

Based on the data, the candidate was granted breakthrough therapy designation.

Andrews forecast a high likelihood of success in two similar Phase 3 U.S. and global studies initiated in January and December.

The top-line data from the Phase 3 studies, due in mid-2019, is likely to be Cara's next key catalyst, the analyst said. 

A Phase 2/3 study of IV CR845 showed statistically significant pain relief with reduced opioid-related side-effects in post-operative acute pain, according to Jefferies. 

The Price Action

Cara shares have jumped about 70 percent year-to-date.

The shares were rallying 2.19 percent to $21.31 at the time of publication Thursday.

Related Links:

4 Cannabis Stocks In Uptrends This Week

The Daily Biotech Pulse: Progenics Posts Mixed Trial Results, Antitrust Nod For Galapagos-MorphoSys Collaboration, New CEO For Biopharmx

Latest Ratings for CARA

DateFirmActionFromTo
May 2020Cantor FitzgeraldReiteratesOverweight
Apr 2020WedbushMaintainsOutperform
Apr 2020Cantor FitzgeraldReiteratesOverweight

View More Analyst Ratings for CARA
View the Latest Analyst Ratings

 

Related Articles (CARA)

View Comments and Join the Discussion!

Posted-In: Jefferies Matthew AndrewsAnalyst Color Price Target Initiation Analyst Ratings Best of Benzinga

Latest Ratings

StockFirmActionPT
PSXPRBC CapitalMaintains40.0
PBFRBC CapitalMaintains9.0
OHIRaymond JamesDowngrades34.0
CTRERaymond JamesUpgrades21.0
LYBRBC CapitalMaintains66.0
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.
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