H.C. Wainwright Reiterates Buy On La Jolla As ASN Abstract Highlights Efficacy In Diabetics
In a research report issued today, H.C. Wainwright analyst Reni Benjamin reiterated a Buy rating on La Jolla Pharmaceutical (NASDAQ:LJPC) with a $20 share price target, as an abstract showcasing the final results from the company’s randomized, placebo-controlled Phase 2 ‘4002’ trial was released for presentation at the American Society of Nephrology (ASN) meeting next month.
Benjamin said, “In March, the company reported top-line results demonstrating a statistically significant improvement in estimated glomerular filtration rate (eGFR) in patients receiving 1.5 mg/m2 GCS-100 relative to placebo. The ASN abstract also reported a subset analysis, revealing that diabetic CKD patients (approximately 26 per arm) had an enhanced eGFR response relative to the placebo arm (2.33±1.33 vs. -0.53±0.56, p=0.028). In our opinion, the subset analysis is excellent news for investors as it highlights a large patient demographic that could be a focus of future GCS-100 trials. Based on the clinical profile to date, the portfolio of diverse assets, the potential to secure an ex-US partnership, and a cash position of $54.7 MM (pro forma), we believe La Jolla Pharmaceutical represents an undervalued player with significant upside for the long-term investor.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Reni Benjamin has a total average return of -4.5% and a 34.5% success rate. Benjamin has a 4.5% average return when recommending LJPC, and is ranked #3112 out of 3343 analysts.