In a research report released Friday, Chardan analyst Gbola Amusa reiterated a Sell rating on shares of Esperion Therapeutics Inc (NASDAQ:ESPR) and raised the price target from $40 to $45, after attending the company’s analyst and investor day in New York yesterday.
Amusa wrote, “ESPR will test ETC-1002 with all doses of statins in phase III trials, introducing uncertainty that was not in the phase II program (e.g., PCSK9s were tested with both lowand high-dose statins in phase II trials).” Furthemore, “As a positive, with better disclosure, there was not a greater rate of SAEs on ETC-1002 as prior disclosure suggested; however, as a negative, an ETC-1002 patient did have “sudden death”.”
The analyst continued, “We asked a question about why ETC-1002 has not been tested head-to-head against statins. Eventually management acknowledged that the comparison had only been done in vitro and that the company did not present the in vitro data. Our concern is that labeled indications require proof, and consensus estimates assume use of ETC-1002 broadly for statin intolerant patients when: (1) ETC-1002 to us has not shown differential effects on muscle AEs relative to statins, (2) per FDA, the statin intolerant market is only perhaps 8% of what companies say, and (3) FDA did not give Praluent a statin intolerant label even though Regeneron (Buy, PT$565) ran a statin intolerant trial (ODYSSEY ALTERNATIVE)”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Gbola Amusa has a total average return of 18.9% and a 67.4% success rate. Amusa has a 26.9% average return when recommending ESPR, and is ranked #326 out of 3755 analysts.
Out of the 8 analysts polled by TipRanks, 7 rate Esperion Therapeutics stock a Buy, while 1 rates the stock a Sell. With a return potential of 81.5%, the stock’s consensus target price stands at $117.75.