Analyst Michael Schmidt from Leerink Swann shared his thoughts on Juno Therapeutics Inc (NASDAQ:JUNO), following its $10 million acquisition of RedoxTherapies. In addition to an upfront payment, RedoxTherapies will receive undisclosed payments “upon the achievement of clinical, regulatory, and commercial milestones.” Overall, Schmidt sees only advantages for investors of Juno; with clinical advancements clear ahead now that the company has officially added RedoxTherapies to its dominion.
This RedoxTherapies procurement matters for JUNO in light of the access to select rights to test A2a receptor antagonist vipadenant. The analyst just spoke with the company, who has specific long-term plans to assess this small molecule compounded with key chimeric antigen receptor-engineered T cell (CAR-T) blends. With 2018 flickering in the front-view mirror to be rife with important evaluations and discoveries, Schmidt maintains his long-term optimism for earnings to come. The analyst deems investors wise to wait out this biotech ride for shares to magnify later down the road, as JUNO continues to set everything into place.
In particular, Schmidt recognizes two opportune factors in JUNO’s corner. First, over time, not only will the chimeric antigen receptor (CAR) evolve, but in doing so, the success will further endorse its implications in the clinical treatment domain. Second, the analyst cites data as fundamental to sustaining “JUNO’s business strategy to develop differentiated, best in-class CAR-T products.”
The analyst reiterates his Outperform rating with a price target of $60, marking an increase of nearly 100% from current levels.
According to TipRanks, Michael Schmidt is ranked #543 out of 4,058 analysts. Schmidt sustains a 58% rate of success on his recommendations, realizing an annual return of 6.6%.
TipRanks analytics showcase JUNO as a Buy with 5 analysts issuing a Buy rating, while 3 maintain a hold rating for shares of JUNO. The consensus target price for JUNO is $54.33, marking an 86% upside from current prices.