What Analysts Have To Say On Acadia's Narrower Nuplazid Label Expansion Bid

RBC Capital raised the price target on Acadia Pharmaceuticals Inc ACAD to $34 from $32 and kept an Outperform rating on the shares. 

• Analyst Gregory Renza cites the Company's confirmed intentions to resubmit the sNDA filing of pimavanserin in Alzheimer's Disease Psychosis, with a "narrower though still robust opportunity" as the largest subtype of DRP. 
• Renza adds that the development makes for a "catalyst-rich year" for Acadia.
• Related: Acadia Slims Nuplazid Label Expansion Application For Alzheimer's Disease Psychosis.
• Stifel analyst Paul Matteis noted that the FDA has reiterated their previous advice that conducting an additional study would provide the most robust submission package. 
• Based on the context and the data Acadia is filing on, Stifel analyst Paul Matteis sees the odds of success being "materially below 50%," Matteis tells investors. 
• While acknowledging that approval in ADP for pimavanserin in 2022 would imply "very significant upside to the stock," Matteis keeps a Hold rating and $20 price target on Acadia shares given what he sees as its clinical, regulatory, and commercial risks.
• Mizuho raised the price target on Acadia to $33 from $26 and kept a Neutral rating. 
• It seems management is comfortable enough with the FDA conversations to resubmit the Nuplazid dementia-related psychosis application explicitly focused on Alzheimer's disease psychosis.
• Analyst Vamil Divan, however, remains skeptical that a resubmission based on new analyses from existing trial data will be sufficient to obtain approval.
• Price Action: ACAD shares are down 21.50% at $21.27 during the market session on the last check Tuesday.