Canaccord Reiterates Buy On Oncolytics On The Back Of FDA Orphan Designation
In a research report released today, Canaccord Genuity analyst Neil Maruoka reiterated a Buy rating on Oncolytics Biotech, Inc. (USA) (NASDAQ:ONCY) with a C$2.50 price target, following today’s news that the company’s lead drug Reolysin has been granted Orphan Drug designation in the treatment of pancreatic cancer.
Maruoka wrote, “Orphan Drug designation provides products that treat rare diseases with up to seven years of exclusivity in the US and, while this is certainly a positive development, we do not view it as a major catalyst as Reolysin still needs to go through the FDA approval process.”
The analyst continued, “We anticipate a number of data announcements in the near term, including randomized Phase II data in both ovarian and colorectal cancers. We believe that a signal of efficacy (a strong trend on a primary efficacy endpoint or a clear impact in a sub-patient analysis) could renew investor confidence and put the stock back on track.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Neil Maruoka has a total average return of 7.0% and a 75.0% success rate. Maruoka is ranked #1548 out of 3476 analysts.