Before the Bell: Cantor Reiterates Buy on Aerie Pharmaceuticals Inc Following Clinical Update
In a research report released Friday, Cantor analyst Caroline Corner reiterated a Buy rating on shares of Aerie Pharmaceuticals Inc (NASDAQ:AERI) with a price target of $40, after the biotech company provided rebuttal to the safety concerns of Rhopressa, in particular, in conjunctival hyperemia, hemorrhage, corneal deposits and vision acuity reduction.
Corner observed, “Shares of AERI have been on a downward trend since a summary of safety data was presented in a poster at the American Glaucoma Society meeting on March 3. While we do not think anything startling was in the poster, the listing of all adverse events (AEs) together has, we think, unnecessarily spooked some investors and resulted in share weakness. Today, management issued a press release and held a call to reassure investors and discuss some concerns that had been raised. We continue to think that fears are overblown and expect the company to apply for FDA approval of Rhopressa in 3Q:16 and to gain approval in late 2017.
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Caroline Corner has a total average return of -26.7% and a 23% success rate. Corner has a -48% average return when recommending AERI, and is ranked #3700 out of 3809 analysts.
Out of the 6 analysts polled by TipRanks, 5 rate Aerie Pharmaceuticals Inc stock a Buy, while 1 rates the stock a Hold. With a return potential of 309.4%, the stock’s consensus target price stands at $45.40.