Insmed's “Underperform” Rating Reaffirmed at Wedbush ...
Wedbush Downgrades Insmed (INSM) to Underperform, PT Slashed to $7
Wedbush downgraded Insmed (NASDAQ: INSM) from Outperform to Underperform with a price target of $7.00 (from $18.00). Analyst Gregory R. Wade adjusted his model to reflect the timing associated with a U.S. Phase III for NTM approval.
At $19 per share, we believe INSM’s stock has significant expectations baked in for an FDA-approvable result from the Phase II Nontuberculous Mycobacteria (NTM) lung infection study. Our review of the study design suggests to us that there will be insufficient data for the FDA to approve in this setting, and we are therefore modifying our model to incorporate a subsequent Phase III study with our new launch timing pegged at mid:18 vs. our previous early:16 estimate. With the changes to our model (including a future financing), and revised 2018 valuation year, our price target goes to $7 from $18," said Wade.
CYTK tanked more than 60% today. Just 3 days ago, 3 analysts, including our very own Piper Jaffray recommended that CYTK should be bough ahead of FDA decision. Curiously, the very same Piper is recommending the same for INSM.
I think the same happens here.
Nope. Insmed didn't say (since no one explicitly asked) so we can only guess. Approval could come quicker than 60 days though .. unlikely I guess).
According to Fierce Biotech (regarding FDA's denial to Ariad) "companies are not required to announce the FDA's decisions on their applications for breakthrough status."
I'd say the FDA's response (yes or no) is a material event which could have an impact on the stock price... so, let's see how insmed plays it
This is true right?
Headline : !another setback as lead therapy flunks PhII lung study
Insmed is once again hustling to put the best spin possible on a clinical study of its only therapy
Years till we have any revenues so I think we should start that iplex factory up! We still own it