Array Biopharma Inc (NASDAQ:ARRY) shares were soaring 17% yesterday on back of a second fiscal quarter update that has given investors signs of encouraging momentum. Cowen analyst Chris Shibutani commends better than anticipated timelines for oral-small molecule MEK inhibitor binimetinib as well as the firm’s BRAF inhibitor, both approved to treat BRAF-mutant metastatic melanoma.

Moreover, the analyst highlights, “Stronger than expected progress across a number of mid-stage assets ( ARRY 382, ARRY 797) strengthens the case to attribute value as upcoming data enriches the catalyst path and strategic options play out […]”

In reaction to the firm’s second fiscal quarter results and its ambitious clinical development strategy, the analyst reiterates an Outperform rating on ARRY while lifting the price target from $10 to $15, which represents a 19% increase from where the shares last closed.

“Array BioPharma’s F2Q17 quarterly update was notable for the preponderance of positive incremental updates – not only for their core late stage assets, but also for the unusually broad portfolio of mid-stage clinical assets. In general, important development and regulatory timelines were sharpened, favorable to our prior expectations. Further, both the positive tone and substance of updates relating to the company’s unusually broad ‘array’ of mid-stage clinical assets encourage us to acknowledge value contribution for shareholders. It is with increasing confidence that we believe that both data and decisions over the coming 12-18 months will strengthen both value and strategic optionality,” Shibutani contends.

Moving forward, the firm intends to file an NDA for BRAF by June or July of this year, which would suggest prospective revenue could commence by 2018.

As usual, we like to include the analyst’s track record when reporting on new analyst notes to give a perspective on the effect it has on stock performance. According to TipRanks, five-star analyst Chris Shibutani is ranked #149 out of 4,395 analysts. Shibutani has a 75% success rate and realizes 42.6% in average profits on the stock. When recommending ARRY, Shibutani yields 114.3% in average profits on the stock.

TipRanks analytics exhibit ARRY as a Strong Buy. Based on 4 analysts polled by TipRanks in the last 3 months, 3 rate a Buy on ARRY stock while 1 maintains a Hold. The 12-month average price target stands at $11.50, marking an 8% downside from where the stock is currently trading.