MLV Raises Cerus Price Target As It’s Gaining Traction With FDA And Blood Centers Ahead Of U.S. Approval
In a research note released today, MLV analyst George Zavoico reiterated a Buy rating on Cerus Corp. (NASDAQ:CERS) and raised his price target to $7.00 (from $6.00), based on encouraging progress of INTERCEPT Plasma and Platelets through the regulatory review process in the U.S. and on signs of recovering INTERCEPT sales in existing markets.
Zavoico noted, “We are raising our price target to $7.00 from $6.00 and maintaining our BUY recommendation based on (1) recent FDA approval of two Investigational Device Exemption (IDE) applications for INTERCEPT Platelets and Plasma; (2) what we believe is an increased likelihood of U.S. FDA approval of Cerus’ PreMarket Approval (PMA) applications in early 2015; (3) a positive 3Q:14 earnings report showing a return to robust growth in sales revenue; (4) expanded adoption in Belgium and a new distribution agreement in Italy; (5) a possibility of regulatory approval and/or launch of INTERCEPT Platelets and/or Plasma in other countries. Based on our updated and revised model, we project that Cerus’ first profitable quarter will be 2Q or 3Q:16.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst George Zavoico has a total average return of 6.4% and a 45.5% success rate. Zavoico has a 17.2% average return when recommending CERS, and is ranked #1079 out of 3408 analysts.