Alnylam Pharmaceuticals, Inc. (ALNY) Picks Up a Price Target Boost from Cowen Following Stellar Phase III Top-Line Data in FAP

Analyst praises Alnylam's patisiran as best-in-class, even more confident in its safety and tolerability profile.


Alnylam Pharmaceuticals, Inc. (NASDAQ:ALNY) shares rocketed almost 52% yesterday after the drug maker outclassed already lofty consensus expectations for its pivotal Phase III APOLLO study of patisiran in transthyretin-mediated familial amyloidotic polyneuropathy (FAP TTR), which causes nerve disease in patients with the debilitating disease.

Cowen analyst Ritu Baral deems the top-line data read out “remarkably strong” and notes that even the clean safety profile topped investors’ towering expectations.

In reaction, the analyst joins the bullish party on the Street, reiterating an Outperform rating on ALNY stock while boosting the price target from $93 to $117, which implies a just under 3% increase from where the shares last closed. (To watch Baral’s track record, click here)

“ALNY released positive top-line data from the pivotal Ph3 APOLLO trial of patisiran in FAP with strong statistical significance: a best-case scenario in our view given high expectations for APOLLO. All efficacy measures were consistent and strong with no safety signals and we see patisiran as best-in-class,” notes Baral.

The drug’s encouraging safety profile is no strong feat, especially considering it appears there was no imbalance in cardiac subgroup deaths, something which the analyst acknowledges had been “a point of investor focus.” Baral asserts: “Importantly, safety appeared benign with no deaths related to study drug and similar rates of AEs, SAEs and study deaths vs. placebo. Numerically most safety metrics favored patisiran […] Based on our discussions with KOLs and today’s data, we think the steroid prophylaxis regimen was very well tolerated and caused no secondary safety issues […] ALNY believes the high rollover onto OLE is indicative of patisiran’s favorable tolerability profile. While detail will be key, we have even more conviction now that patisiran’s commercial efficacy/safety and tolerability profile will prove to be superior to that of IONS’ inotersen.”

Glancing ahead, the analyst is enthusiastic for a full data release come November second and an NDA filing by the close of 2017, angling for a probable mid-2018 launch for the FAP drug.

TipRanks analytics exhibit ALNY as a Buy. Out of 15 analysts polled by TipRanks in the last 3 months, 11 are bullish on Alnylam stock, 3 remain sidelined, and 1 is bearish on the stock. With a loss potential of nearly 10%, the stock’s consensus target price stands at $102.69.