In a research report issued today, Roth Capital analyst Scott Henry reiterated a Buy rating on RedHill Biopharma (NASDAQ:RDHL) and raised his price target to $27.50 (from $25.00), which represents a potential upside of 150% from where the stock is currently trading.
Henry noted, “We highlight RDHL as a company to watch in 2015. Specifically, the company has three late stage GI compounds that have multiple clinical catalysts. We further believe that RHB-105 could emerge onto the scene in a big way with pivotal clinical data in 2Q15. The driver to the increased price target is RHB-105.”
The analyst added, “We value shares of RedHill Biopharma based on a sum-of-the-parts analysis. Key drivers include RHB-104 ($15.00/share), RHB-105 ($5.50/share), RHB-102 ($3.50/share), RHB-103 ($1.50/share), and the remaining pipeline ($2.00/share).”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Scott Henry has a total average return of 7.4% and a 39.5% success rate. Henry has a 3.3% average return when recommending RDHL, and is ranked #671 out of 3412 analysts.