William Blair: Bluebird Bio Could See Another 'Blue Ribbon Year' In 2018
Shares of bluebird bio Inc (NASDAQ: BLUE) gained more than 200 percent in value last year and investors can expect 2018 to be another "blue-ribbon year" for the stock, according to William Blair.
The Analyst
Willaim Blair's Raju Prasad initiated coverage of bluebird bio's stock with an Outperform rating and a fair-value estimate of $242.
The Thesis
The bullish case for owning bluebird bio's stock is based on the belief that its late-stage clinical products, including bb2121/bb21217, LentiGlobin, and Lenti-D, will be able to displace the majority of existing allogeneic and most autologous hematopoietic stem cell transplantations, Prasad said in a note. The company's management team has proven to be a best-in-class in their ability to target identification, product development, and process improvement. As such, there is sufficient conviction in its ability to proceed in its preclinical programs and identify new growth opportunities.
In the near-term there are multiple catalysts ahead that are likely to "enhance the company's status as a leading innovator," Prasad said. These include Northstar-2 data at the European Hematology Association annual meeting, bb2121 Phase I update at the 2018 American Society of Clinical Oncology, and Northstar-3 data at the 2018 American Society of Hematology.
Price Action
Shares of bluebird were trading more than 4 percent higher Monday at $215.05.
Related Links:
Leerink: Bluebird Bio's Catalysts Are Priced In
Pharma M&A Picks Up Momentum
See more from Benzinga
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
