Halozyme Therapeutics, Inc. (NASDAQ:HALO) investors are heading for the hills after the drug maker announced that AbbVie has discontinued a development program using the Halozyme ENHANZE™ platform technology and the tumor necrosis factor alpha (TNF-alpha) target following completion of a phase 1 study in which the target results were not achieved. Halozyme and AbbVie will continue to work collaboratively to identify additional targets for co-development under their 2015 Global Collaboration and Licensing agreement. TNF-alpha was the first nominated target of nine included as part of the agreement. (Original Source)
In the wake of the announcement, Halozyme shares are falling nearly 10% to $11.50 in pre-market trading. HALO has a 1-year high of $18.39 and a 1-year low of $6.96. The stock’s 50-day moving average is $11.11 and its 200-day moving average is $9.94.
On the ratings front, Halozyme has been the subject of a number of recent research reports. In a report issued on November 8, JMP analyst Jason Butler reiterated a Buy rating on HALO. Separately, on the same day, Barclays’ Douglas Tsao reiterated a Buy rating on the stock and has a price target of $16.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Jason Butler and Douglas Tsao have a yearly average return of 7.6% and 8.8% respectively. Butler has a success rate of 53% and is ranked #680 out of 4227 analysts, while Tsao has a success rate of 55% and is ranked #544.
Overall, one research analyst has rated the stock with a Sell rating, 6 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $11.38 which is -11.3% under where the stock closed last Friday.
Halozyme Therapeutics, Inc. is a biopharmaceutical company, which focuses on developing and commercializing novel oncology therapies that target the tumor microenvironment. Its investigational drug PEGPH20, applies a unique approach to targeting solid tumors, allowing increased access of co-administered cancer drug therapies to the tumor. PEGPH20 is currently in development for metastatic pancreatic cancer and non-small cell lung cancer and has potential across additional cancers in combination with different types of cancer therapies.