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On Wednesday, Raymond (NSE:RYMD) James analyst Ryan Deschner updated the price target on shares of Liquidia Technologies (NASDAQ:LQDA), lifting it to $33.00 from the previous target of $29.00. The firm reaffirmed its Strong Buy rating for the company’s stock. According to InvestingPro data, analyst targets for LQDA range from $13 to $37, with the stock showing strong momentum, having gained over 34% in the past six months. Deschner’s decision is based on heightened confidence in Liquidia’s product, Yutrepia, and its potential to significantly enter the markets for pulmonary arterial hypertension (PAH) and interstitial lung disease (PH-ILD), especially following its concurrent FDA approval for both conditions. InvestingPro analysis reveals the company maintains a healthy liquidity position with a current ratio of 2.93, indicating strong ability to fund its commercialization efforts.
Deschner emphasized the company’s strategic focus on what they term the three Ds of product differentiation: Deep lung delivery, a low effort Device, and the ability to reach higher Dosing levels. Liquidia has set the price for Yutrepia on par with its competitor Tyvaso DPI, at a Wholesale Acquisition Cost (WAC) of $24,360 for a 28-day supply, which amounts to an annual cost of approximately $317,000.
The analyst noted that while management anticipates sales in the second quarter of 2025 will be negligible, they expect sales to pick up significantly thereafter. Management predicts a sharp increase in sales, resembling a hockey stick-like trajectory, which is anticipated to lead to profitability in the first half of 2026. This aligns with InvestingPro data showing significant projected revenue growth, though the company currently operates at an EBITDA of -$126.36M. Get access to 8 more exclusive InvestingPro Tips and comprehensive financial analysis through the Pro Research Report. Deschner also highlighted the rarity of a biotech firm having the opportunity to target two sizable markets at once.
Liquidia’s commercialization team is reportedly already in place and moving swiftly to advance pre-launch commercialization efforts. This proactive approach is seen as a positive move to establish the company’s presence in the market ahead of the anticipated sales growth and drive towards profitability.
In other recent news, Liquidia Technologies has received significant attention following the FDA approval of Yutrepia, a treatment for pulmonary arterial hypertension and pulmonary hypertension associated with interstitial lung disease. This approval has led to several analysts raising their price targets for the company. H.C. Wainwright increased its price target to $35, highlighting Yutrepia’s low-resistance inhalation and flexible dosing schedule. Scotiabank (TSX:BNS) also raised its target to $37, citing Liquidia’s competitive pricing and patient access programs. BTIG matched this $37 target, noting expectations for Yutrepia’s market traction and profitability within a few quarters.
Wells Fargo (NYSE:WFC) adjusted its target to $23, expressing confidence in Liquidia’s strategy and market positioning. Jefferies raised its target to $31, emphasizing Yutrepia’s comprehensive label and patient support services. Analysts have noted the company’s potential to capture new patient starts and transition patients from existing therapies. Despite ongoing litigation with United Therapeutics (NASDAQ:UTHR), analysts like those from Scotiabank and BTIG believe legal proceedings are unlikely to hinder Yutrepia’s commercial introduction. These developments underscore Liquidia’s strong positioning in the market for pulmonary hypertension treatments.
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