J.P. Morgan analyst Anupam Rama initiated coverage on Idera Pharmaceuticals Inc (NASDAQ:IDRA) after finding potential value in the company’s lead product, IMO-8400, in Waldenstrom’s macroglobulinemia and diffuse large B-cell lymphoma. The analyst initiated an Overweight rating on the stock with a price target of $6. Shares of IDRA are currently trading at $3.79, up $0.22, or 6.16%.

Rama commented, “We believe new management is proven, with a track record of execution, and has prudently re-focused the company’s strategic priorities, which include IMO-8400 in hematologic malignancies and rare diseases, immune oncology assets, and a pan-indication gene silencing oligonucleotide (GSO) platform. We are expecting greater clarity on go-forward plans for the broader pipeline in 2H15. In our view, IDRA shares currently reflect an attractive reward / risk scenario, given our outlook on IMO-8400 in oncology, plenty of pipeline optionality, and a strong management team.”

Furthermore, “Given the phase 1/2 IMO-8400 study is a dose escalation trial, physician feedback suggests lower initial activity of 25-30% ORR would be enough to warrant further development and any CRs could be game changing. Of note, we view the WM and DLBCL programs independently. While initial DLBCL data are not expected until 2016, we would note future development could include Rituxan, given prior strong pre-clinical data.”

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Anupam Rama has a total average return of 104.9% and a 66.7% success rate. Rama is ranked #332 out of 3624 analysts.

All the 3 analysts polled by TipRanks rate AMZN stock a Buy. With a return potential of 60.00%, the stock’s consensus target price stands at $6.00.