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Threshold Pharmaceuticals, Inc. Shares Jump Amid H.C. Wainwright Initiation

In a note released Friday morning, H.C. Wainwright analyst Andrew Fein initiated coverage of Threshold Pharmaceuticals, Inc. (NASDAQ: THLD) with a Buy rating and a $12 price target.

Fein's optimistic view for the stock is based on the company's "value driver" TH-302 being in two key phase-3 studies for treatment of soft tissue sarcoma and pancreatic cancer.

Additionally, Threshold's co-development agreement with Merck KGaA has provided validity to TH-302 in the area of oncology and has enabled expansion into more clinical studies.

As a short-term catalyst, Fein believes TH-302 will be given the "green light" to continue its soft tissues sarcoma study to completion in mid-September. The study is expected to be completed in mid 2015.

Amid Friday's initiation, shares of Threshold shot up over four percent, but sharply fell after the opening bell.

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