In a report released today, Edward White from H.C. Wainwright maintained a Hold rating on OncoMed Pharma (NASDAQ: OMED), with a price target of $2. The company’s shares opened today at $2.33, close to its 52-week low of $1.74.
White observed:
“We value OncoMed solely on the overall amended Celgene deal and give the company credit for its strong cash position. Our $2 price target is based on probability-adjusted revenue forecasts for potential option exercises, development and commercial payments from Celgene. We use the net present value of our revenue forecast through 2026, apply a 10% probability of success (POS) for the commercial payments from Celgene, a 2x price/sales multiple, and our estimated YE18 fully diluted net cash of $1.61/share to arrive at our $2 price target.”
According to TipRanks.com, White is a 5-star analyst with an average return of 24.5% and a 53.7% success rate. White covers the Healthcare sector, focusing on stocks such as Syndax Pharmaceuticals Inc, Spectrum Pharmaceuticals, and Synthetic Biologics Inc.
Currently, the analyst consensus on OncoMed Pharma is a Hold with an average price target of $2.
See today’s analyst top recommended stocks >>
Based on OncoMed Pharma’s latest earnings release for the quarter ending June 30, the company reported a quarterly GAAP net loss of $3.98 million. In comparison, last year the company had a GAAP net loss of $15.23 million.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
OncoMed Pharmaceuticals, Inc. operates as a clinical stage biopharmaceutical company, which focuses on discovering and developing novel therapeutics for cancer’s growth, resistance, recurrence and metastasis. The company was founded by Michael F. Clarke and Max Wicha in August 2004 and is headquartered in Redwood City, CA.
