H.C. Wainwright analyst Swayampakula Ramakanth was out pounding the table on AEterna Zentaris Inc. (USA) (NASDAQ:AEZS) Monday, reiterating a Buy rating and price target of $12, which represents a potential upside of 258% from where the stock is currently trading.
The analyst highlighted two major catalysts in the near term: (1) ZoptEC study expected to complete in 3Q16. (2) Macrilen Phase 3 results also coming in 3Q16.
Ramakanth wrote, “We expect the pivotal Phase 3 study of Aeterna Zentaris’ Zoptrex to complete this quarter and report topline results before the end of 2016 […] we believe that the ZoptEC study is likely to be successful and that positive results would be a significant catalyst for the stock.”
Furthermore, “We expect Aeterna to report topline results from the pivotal Phase 3 study of Macrilen, the company’s product candidate for the diagnosis of Adult Growth Hormone Deficiency (AGHD), in 3Q16 […] Currently, we expect Macrilen to launch in 2018 and achieve risk-adjusted revenues of $50M by 2025.”
As usual, we recommend taking analyst notes with a grain of salt. According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Swayampakula Ramakanth has a yearly average return of -16.5% and a 26.9% success rate. Ramakanth has a -60.4% average return when recommending AEZS, and is ranked #3911 out of 4035 analysts.
All the 3 analysts polled by TipRanks rate Aeterna Zentaris stock a Buy. With a return potential of 218.4%, the stock’s consensus target price stands at $10.67.