Stock market today: Stocks fall as investors rotate out of tech into Jackson Hole
Investing.com - Citizens JMP analyst raised the price target on Precigen Inc. (NASDAQ:PGEN) to $8.00 from $6.00 while maintaining a Market Outperform rating. The stock has shown remarkable momentum, with InvestingPro data showing a 169% return over the past year and a recent surge of 69% in just the last week.
The price target increase follows Precigen’s conference call discussing the approval of PAPZIMEOS for the treatment of RRP (Recurrent Respiratory Papillomatosis) and its launch plans.
A key factor in the revised target is PAPZIMEOS’s Wholesale Acquisition Cost (WAC) of $460,000 per patient, which significantly exceeds Citizens JMP’s previous assumption of $200,000 per patient.
The analyst increased sales projections for PAPZIMEOS to reflect the higher-than-expected price, partially offset by less frequent treatment assumptions due to the "prolonged durability of benefit" observed.
The firm also increased its U.S. probability of approval assessment for the treatment, contributing to the overall price target adjustment from $6 to $8 based on a "risk-adjusted, sum-of-the-parts derived" valuation.
In other recent news, Precigen Inc. announced that the U.S. Food and Drug Administration (FDA) has granted full approval for PAPZIMEOS, marking it as the first and only FDA-approved therapy for adults with recurrent respiratory papillomatosis (RRP). This approval is a significant milestone for the company, as it was achieved without the need for a confirmatory clinical trial, despite the initial submission under an accelerated approval pathway. The condition, RRP, affects an estimated 27,000 adults in the United States and is caused by chronic human papillomavirus types 6 or 11, leading to recurrent benign tumors in the respiratory tract.
In related developments, JMP Securities maintained its Market Outperform rating and $6 price target on Precigen Inc., following a patient advocacy event for RRP. The event, which was hosted by the Recurrent Respiratory Papillomatosis Foundation and Precigen, highlighted the substantial disease burden faced by RRP patients. Discussions at the event underscored the need for therapies that address the underlying cause of RRP rather than just managing symptoms. JMP Securities noted that Precigen’s PRGN-2012 therapy could be "transformational" for patients suffering from this condition.
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