BMO maintains stock price target on Biogen amid positive test data Via Investing.com
On Monday, BMO Capital Markets maintained its positive stance on shares of Biogen (NASDAQ: ), with an Outperform rating and a $230.00 target price on the company’s stock. The focus is on encouraging long-term data from a Phase 2 study of felzartamab in the treatment of IgA nephropathy (IgAN), a kidney disease.
Biogen recently presented detailed results from the study, showing the sustained efficacy and potential durability of felzartamab. Antibody-treated patients showed a sustained decrease in urinary protein-creatinine ratio (UPCR) of approximately 50% two years from the start of treatment and 18 months following its completion.
In addition, the treatment was associated with reduced levels of IgA, a protein linked to the disease, while allowing IgM and IgG levels to return to normal. This balance is important to maintain normal body function in patients.
A BMO Capital analyst noted that while these results are not expected to significantly affect Biogen’s stock price, they are indicative of the drug’s promise for future development. The findings also add value to Biogen’s partnership with Hi-Bio, where felzartamab is being developed.
InvestingPro Insights
As Biogen continues to make progress in its drug development efforts, particularly with felzartamab, it’s worth checking out key financial metrics and insights provided by InvestingPro. Despite the good news about the clinic, Biogen stock is currently trading near its 52-week low, with a year-to-date total price gain of -29.79% as of the latest data. This presents a potential opportunity for investors, especially given that analysts are predicting that the company will remain profitable this year.
InvestingPro Tips highlights that Biogen is a dominant player in the Biotechnology industry and has been profitable over the past twelve months. The company’s P/E ratio (adjusted) stands at 15.12, which is lower than its unadjusted P/E of 22.93, which may indicate a stock that is undervalued relative to its earnings. In addition, Biogen’s liquid assets exceed its short-term liabilities, suggesting a strong financial position to support ongoing research and development efforts such as the felzartamab trial.
For investors looking for a comprehensive analysis, InvestingPro offers additional tips and insights that can provide a deeper understanding of Biogen’s market situation and future prospects.
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