Cowen analyst Boris Peaker was out pounding the table on Celldex Therapeutics, Inc. (NASDAQ:CLDX) Tuesday, reiterating an Outperform rating and price target of $28, which represents a potential upside of 80% from where the stock is currently trading.
Peaker noted, “CLDX is conducting a Phase III trial (ACT IV) of rindo (Rintega) in GBM (glioblastoma). Based on the FDA’s recent feedback to CLDX not to file for rindo approval based on Phase II ReACT study, we believe that investors wrote off rindo from their models/expectations.”
The analyst continued, “We analyzed the probability of the study stopping for efficacy at the second interim analysis, as well as the probability of overall success of hitting the primary endpoint if the trial does not stop at second interim. Our results suggest that stopping for efficacy at the first interim was unlikely, as it would require rindo to perform better (hazard ratio 0.55) than it had in prior studies when compared to historical controls (estimating hazard ratio of ~0.70). We estimate that if both arms of the ACT IV study behave consistently with historical controls, there is a ~65% chance of the trial stopping for efficacy at the 2nd interim.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Boris Peaker has a total average return of 27.7% and a 53.1% success rate. Peaker has a 0.6% average return when recommending CLDX, and is ranked #56 out of 3757 analysts.
All the 7 analysts polled by TipRanks rate Celldex Therapeutics stock a Buy. With a return potential of 129.1%, the stock’s consensus target price stands at $35.71.