Roth Capital Doubles Sucampo Price Target On Updated Amitiza Revenue Build
In a report sent to investors today, analyst Ed Arce of Roth Capital maintained a Buy rating on Sucampo (NASDAQ:SCMP) and raised his price target to $18 (from $9), ahead of the company’s third quarter results.
Arce said, “We believe the transformation of the new Sucampo, under the strategic plan outlined on August 5, is off to a strong start. We are impressed that, by our projections, the combined effect of the recent Par patent settlement and the Takeda collaboration extension nearly doubles Amitiza’s NPV. Takeda is also now the exclusive worldwide commercial partner for Amitiza, excluding Japan and China. We include our detailed Amitiza revenue model in this report and raise our price target to $18.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Ed Arce has a total average return of 19.8% and a 52.8% success rate. Arce has a 8.8% average return when recommending SCMP, and is ranked #223 out of 3337 analysts.