Array Biopharma Inc (NASDAQ:ARRY) investors celebrated Monday’s positive COLUMBUS Phase 3 results for its BRAF-mutant melanoma cancer treating pipeline drug BRAFI encorafenib, an oral small molecule kinase inhibitor with potent and selective inhibitory activity, in combination with MEKI binimetinib proved to yield successful top-line data.

Upon hearing the news that ARRY reached a strong progression-free survival (PFS) endpoint with its pipeline drug combination, shares ascended over 80% Monday, which J.P. Morgan analyst Anupam Rama sees as a reflection of “the positive nature of the phase 3 dataset.”

In reaction, the analyst reiterates an Overweight rating on ARRY while raising the price target from $6.00 to $8.00, which represents a 21% increase from where the shares last closed.

Rama notes, “While we acknowledge there are some outstanding questions related secondary endpoints, what the full dataset looks like, and sequencing of agents in the treatment paradigm, based on the successful readout on the primary endpoint, we are increasingly confident on the likelihood of encorafenib/binimetinib approval for BRAF+ melanoma.”

“Further, we believe the reported PFS from the combination were ahead of expectation and bode well from a competitive / commercial dynamic standpoint (safety remains a potential upside differentiator when full results are released). Factoring both of these into our model (higher POS and longer PFS assumptions), we see a $325M+ opportunity in BRAF melanoma in the US alone,” Rama concludes.

BRAF melanoma global regulatory filings with ARRY’s encorafenib/binimetinib combination pipeline are expected in 2017, and the analyst anticipates approval is very much in the cards for the firm, even if the secondary endpoint miss detracts from the overall “slam dunk” of COLUMBUS Part 1 results.

According to TipRanks, which measures analysts’ and bloggers’ success rate based on how their calls perform, four-star analyst Anupam Rama is ranked #707 out of 4,185 analysts. Rama has a 64% success rate and garners 8.1% in his yearly returns. When recommending ARRY, Rama earns 0.0% in average profits on the stock.

TipRanks analytics demonstrate ARRY as a Strong Buy. Based on 6 analysts polled in the last 3 months, 100% rate a Buy on ARRY. The consensus price target stands at $8.67, marking a nearly 32% upside from where the stock is currently trading.