Wedbush analyst Liana Moussatos was out pounding the table on Lexicon Pharmaceuticals, Inc. (NYSE:LXRX) Thursday, reiterating an Outperform rating and price target of $19, which represents a potential upside of 72% from where the stock is currently trading.
Moussatos wrote, “In our view, management appears to be strategically well-prepared for launch of Telotristat etiprate shortly after likely approval in late 2016. During a lengthy Q&A with investors, Lexicon’s management team demonstrated a deep knowledge of carcinoid syndrome treatment and reimbursement in our view. The company indicated that, if approved, they will pursue second line treatment for Telotristat etiprate in the approximately 6,000 somatostatin analog (SSA)-underserved carcinoid syndrome patients in the U.S.” The analyst added, “With the recent positive Phase 3 results for Telotristat etiprate in carcinoid syndrome and its oral delivery, we anticipate pent-up demand could lead to a successful launch.”
“If granted priority review, we anticipate telotristat etiprate could be launched in late 2015/early 2016. We estimate worldwide peak sales for telotristat etiprate could reach over $550MM.”, the analyst added.
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Liana Moussatos has a total average return of 22.4% and a 44.4% success rate. Moussatos has a 27.0% average return when recommending LXRX, and is ranked #78 out of 3734 analysts.
Out of the 3 analysts polled by TipRanks, 2 rate Lexicon Pharmaceuticals stock a Buy, while 1 rates the stock a Hold. With a return potential of 72.3%, the stock’s consensus target price stands at $19.