Despite Price Cut, HC Wainwright Keeps Buy Rating On TG Therapeutics - Read Why - TG Therapeutics (NASDAQ:TGTX)

TG Therapeutics Inc's TGTX shares are plunging after new data showed that ublituximab /Ukoniq showed an elevated risk of death in the phase 3 Unity combo trial for chronic lymphocytic leukemia (CLL) and small lymphocytic lymphoma (SLL)
HC Wainwright has slashed the price target from $68 to $19, with the Buy rating unchanged.
Analyst Edward White writes that with TG stepping back from its oncology franchise and performing a full portfolio review, all focus is now on approval and launch in relapsing forms of multiple sclerosis for ublituximab.
The analysts noted previously announced ublituximab data that exhibited an Annualized Relapse Rate (ARR) of 0.076 compared to 0.188 for Aubagio in the ULTIMATE I study, representing a relative reduction of approximately 60%.
In ULTIMATE II, ublituximab resulted in an ARR of 0.091 compared to 0.178 for Aubagio, representing a relative reduction of approximately 50%.
The FDA accepted the BLA for ublituximab for multiple sclerosis (MS), with a PDUFA date of September 28.
White believes that a faster infusion time could enable ublituximab to quickly gain share and acknowledge that the company might use price to facilitate patient access.
He estimates sales of $5.6 million in 2022 for ublituximab in MS, growing to $559 million in 2028.
Price Action: TGTX shares are down 23.7% at $6.76 during the market session on the last check Monday.

Despite Price Cut, HC Wainwright Keeps Buy Rating On TG Therapeutics - Read Why