MRK) are poised for further upside, according to an analyst at SVB Leerink.
Daina Graybosch maintained an Outperform rating on Merck and increased the price target from $95 to $100.” data-reactid=”20″>The Merck Analyst: Daina Graybosch maintained an Outperform rating on Merck and increased the price target from $95 to $100.
here.)” data-reactid=”21″>The Merck Thesis: Merck shares are likely to move in the near-term, as results from a pair of Phase 2 trials of the MK-4482 antiviral in patients with COVID-19 is scheduled to be released in the coming weeks, Graybosch said in a Tuesday note. (See her track record here.)
convalescent plasma, the analyst said.” data-reactid=”22″>MK-4482, which was acquired from Ridgeback Therapeutics in July, could become the third therapy approved for emergency use after Gilead Sciences, Inc.’s (NASDAQ: GILD) remdesivir and convalescent plasma, the analyst said.
MK-4482 has the potential for positive differentiation in stage of use and route of administration, as well as broader antiviral activity, she said.
Although MK-4482 is likely to have only a small impact on Merck’s valuation — potentially around $3-$4 per share — positive news could bring more attention and investors to Merck’s story, Graybosch said.
RHHBY) unit Genentech’s tiragolumab + Tecentriq combination, the analyst said.
“This is another good example of life-cycle management possible with next-generation combination on top of Keytruda that could protect the franchise from biosimilar risk post-2028.”
SVB Leerink’s price target increase reflects the updated potential for vibostolimab and the continued competitiveness of Keytruda, especially in NSCLC, in the face of new entrants, Graybosch said.
Factoring in a less-than-feared impact of COVID-19 on Merck’s operations, SVB Leerink increased its estimates for several other product lines, including Bridion and the vaccine business.
Latest Ratings for MRK
|Aug 2020||SVB Leerink||Maintains||Outperform|
|Aug 2020||Goldman Sachs||Upgrades||Neutral||Buy|
|Jun 2020||Wolfe Research||Downgrades||Outperform||Peer Perform|
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