Oppenheimer Upgrading Biogen Idec

Oppenheimer & Co. is out with a research report on Biogen Idec Inc. BIIB and is upgrading shares to Outperform and it has a $109 price target on shares. In a note to clients, Oppenheimer & Co. writes, "BIIB has declined significantly on recent market weakness, despite no change in the company's fundamentals. We believe BG-12 will become a blockbuster oral MS therapy, based our analysis of recent data and physician feedback. We believe the drug will substantially elevate BIIB's MS franchise sales growth, despite our expectation for additional Avonex erosion. Importantly, we expect the ph.III CONFIRM results to solidify BG-12's competitive profile and drive significant 2H11 upside in BIIB. Additionally, we believe BIIB's hemophilia franchise has substantial longer-term promise. We believe BIIB is undervalued on BG-12's potential and the overall strength of the pipeline. Upgrading to Outperform from Perform, and establishing $109 PT." Shares of BIIB closed at $90.03 yesterday.