H.C. Wainwright Pounds the Table on Synergy Pharmaceuticals Inc (SGYP)
H.C. Wainwright analyst Ram Selvaraju was out pounding the table on shares of Synergy Pharmaceuticals Inc (NASDAQ:SGYP) Wednesday, reiterating a Buy rating and price target of $8, which implies an upside of 173% from current levels. (To watch Selvaraju’s track record, click here)
Yesterday, Synergy indicated that new findings from an online questionnaire highlighting the frustration of patients suffering from constipation-predominant irritable bowel syndrome (IBS-C) and the perceptions of healthcare providers (HCPs) who treat these patients had been presented at the World Congress of Gastroenterology Meeting in Orlando, FL.
Selvaraju commented, “We believe that these results emphasize the degree to which IBS-C is a highly impactful health issue among sufferers and could point to the potential importance of a drug like Synergy’s Trulance™ in this condition. We remind investors that the approval decision date for the Trulance supplemental New Drug Application (sNDA) in treatment of IBS-C is January 24, 2018.”
Last week, Ardelyx (NASDAQ:ARDX) reported results from T3MPO-2, its second Phase 3 study of tenapanor for IBS-C. However, the data didn’t measure up so well against Synergy’s Trulance.
Selvaraju noted, “As we have previously indicated, the sodium-proton exchanger NHE3 inhibitor tenapanor—being developed by Ardelyx—does not appear to have a competitive safety profile vs. guanylyl cyclase C (GC-C) receptor agonists like Trulance or Linzess® (linaclotide). The Phase 3 trial of tenapanor in IBS-C revealed 14.6% of treated patients had diarrhea vs. only 1.7% of placebo subjects, while 5.9% discontinued due to diarrhea in the treatment arm vs. only 0.6% in the placebo group. We also note that the most recent pivotal trial data reported for tenapanor were in the end-stage renal disease (ESRD)-related hyperphosphatemia setting; accordingly, we view these data as having less relevance for tenapanor’s potential utility in IBS-C.”
Where does the rest of the Street side on this biotech player? It appears mostly bullish, as TipRanks analytics demonstrate SGYP as a Buy. Out of 6 analysts polled by TipRanks in the last 3 months, 5 are bullish on Synergy stock while 1 is bearish. With a return potential of nearly 195%, the stock’s consensus target price stands at $8.59.