In a research report published Wednesday, Canaccord analyst John Newman reiterated a Buy rating on shares of Medivation Inc (NASDAQ:MDVN) with a price target of $70, after the drug maker reported mixed second quarter results and affirmed its guidance, sending shares slightly up Wednesday.
Newman noted, “On its call, Medivation announced Xtandi sales of ~$330M (missing $338M consensus slightly), but more important for the long-term growth story of the drug was the record mean usage duration reached during Q2, now up to 9 months. Xtandi market share also continues to beat out its main competitor abiraterone, with Xtandi market share currently at 51%. We believe these two points indicate a positive quarter for Xtandi.”
As usual, we recommend taking analyst notes with a grain of salt. They are often successful in moving the stock price, but you always need to take things into perspective. According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst John Newman has a yearly average return of -13.0% and a 34% success rate. Newman has a -21.8% average return when recommending MDVN, and is ranked #4012 out of 4110 analysts.
Out of the 19 analysts polled by TipRanks, 11 rate Medivation stock a Buy, while 8 rate the stock a Hold. With a downside potential of 0.2%, the stock’s consensus target price stands at $63.47.