Maxim Maintains Buy on AEterna Zentaris Inc. (AEZS) as Saizen Promotion Begins
Maxim Group analyst Jason Kolbert weighed in today with his views on AEterna Zentaris Inc. (USA) (NASDAQ:AEZS), following the news that the company has commenced the promotion of EMD Serono’s Saizen, an injectable recombinant growth hormone for the treatment of growth hormone deficiency. The analyst rates AEZS a Buy with a $2.00 price target, which implies an upside of 962% from current levels.
In his research note, Kolbert noted, “Commencing the Saizen promotion is a positive for the company and should provide revenues that offset operating expenses from larger programs like Zoptarelin-Dox (AEZS-108), currently in a fully enrolled phase III study endometrial cancer. Importantly, promotion of Saizen in the GHD market is building marketing infrastructure for a potential launch of Macrilin (stimulated GH secretion) which is re-entering the clinic in a pivotal phase III study.”
“With each new patient representing $30K, we estimate that Aeterna can generate $16M in high-margin revenue. In a billion dollar market, this may even be an underestimate.”, the analyst concluded.
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Jason Kolbert has a total average return of -2.9% and a 35.8% success rate. Kolbert has a -60.4% average return when recommending AEZS, and is ranked #3519 out of 3712 analysts.
Out of the 4 analysts polled by TipRanks, 3 rate Aeterna Zentaris stock a Buy, while 1 rates the stock a Hold. With a return potential of 531%, the stock’s consensus target price stands at $1.19.