H.C. Wainwright Reiterates Buy On Cesca Therapeutics Following Collaboration Agreement Extension
In a research report released yesterday, H.C. Wainwright analyst Reni Benjamin reiterated a Buy rating on Cesca Therapeutics (KOOL) with a $5 price target, following yesterday’s news that KOOL has expanded collaboration with Fortis Healthcare, a pan Asia-Pacific healthcare provider with 72 hospitals in India, Singapore, Dubai, Mauritius, and Sri Lanka, to exclusively provide regenerative medicines for a broad number of unmet need indications.
Benjamin wrote, “We view the announcement as excellent news for the company and shareholders alike as the company establishes a stronger foothold in Asia, the third largest and fastest growing pharmaceutical market region (IMS Health Market Prognosis). With a solid portfolio of diverse assets, and a cash position of $15.3 MM (pro forma), we believe Cesca represents an undervalued player with significant upside for the long-term investor”.
The analyst added, “By taking advantage of in-house, state-of-the-art facilities to streamline clinical trial design and execution, we believe the alliance has the potential to significantly increase physician and patient access, thereby leading to quicker enrollment and regulatory approval of new cell therapy treatments. Furthermore, the exclusivity inherent in the partnership should prevent other regenerative medicine companies from utilizing the Fortis network of hospitals for regenerative medicine clinical trials in India. As a reminder, Fortis Healthcare is one of the world’s largest multi-specialty hospital chains in India and contains a GMP-compliant clinical research facility for stem cell therapies”.
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Reni Benjamin has a -1.0% average return and a 40% success rate. Benjamin has a 0.4% average return when recommending KOOL, and is ranked #2562 out of 3205 analysts.
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