Analysts’ Top Healthcare Picks: Amarin (AMRN), Aptinyx Inc (APTX)


There’s a lot to be optimistic about in the Healthcare sector as 2 analysts just weighed in on Amarin (AMRN) and Aptinyx Inc (APTX) with bullish sentiments.

Amarin (AMRN)

In a report released today, Derek Archila from Stifel Nicolaus initiated coverage with a Buy rating on Amarin and a price target of $27. The company’s shares opened today at $19.

Archila said:

“We believe Vascepa’s REDUCE-IT study results are impressive and based on our physician survey, will most certainly lead to robust growth, likely above management’s 2019 guidance. With that said, our call here does run counter to the prevailing sentiment that AMRN will be acquired in the near term and believe the outcome of an advisory committee discussing the REDUCE-IT results and controversies around them will be needed before a takeout can occur. Our diligence with regulatory experts get us comfortable with an FDA approval for a Vascepa label expansion to include reduction in CV risk based on the REDUCE-IT results in early 2020, which should effectively increase its addressable market size by a factor of 20. From a valuation perspective, we use a blended methodology given the takeout premium in the stock and arrive at a $27 target price.”

According to TipRanks.com, Archila ‘s ranking currently consits of no stars on a 0-5 ranking scale, with an average return of -6.7% and a 34.8% success rate. Archila covers the Healthcare sector, focusing on stocks such as DBV Technologies SA – American, Pacira Pharmaceuticals, and Selecta Biosciences.

Currently, the analyst consensus on Amarin is a Strong Buy with an average price target of $32.75, a 72.4% upside from current levels. In a report issued on March 8, Cantor Fitzgerald also maintained a Buy rating on the stock with a $35 price target.

See today’s analyst top recommended stocks >>

Aptinyx Inc (APTX)

In a report released today, Charles Duncan from Cantor Fitzgerald reiterated a Buy rating on Aptinyx Inc, with a price target of $12. The company’s shares opened today at $4.11, close to its 52-week low of $3.70.

Duncan said:

“. We reiterate our Overweight rating and reduce our PT to $12 from $18 PT on APTX following the company’s 4Q18 earnings release and updates to our model. Aptinyx reported net loss of $0.42 for the quarter and $2.64 for the year, and cash of and equivalents of $150.6M. Our model projects this cash position to fund operations through ongoing trials and into 2021. The reduction in our PT is due to the overhang created by the DPN P2 readout, expectations of modest benefit in the fibromyalgia trial reading out in 1H19, and recent rapastinel (AGN, N, covered by L. Chen) trial outcome in depression that raise concern with Aptinyx’s platform more broadly.”

According to TipRanks.com, Duncan is a 4-star analyst with an average return of 5.0% and a 51.5% success rate. Duncan covers the Healthcare sector, focusing on stocks such as Biohaven Pharmaceutical Holding Co Ltd, Crinetics Pharmaceuticals Inc, and KalVista Pharmaceuticals Inc.

Aptinyx Inc has an analyst consensus of Strong Buy, with a price target consensus of $16.50.

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