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Arrowhead Pharmaceuticals, Inc. - Common Stock

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Analyst ratings are quantitative and qualitative analysis of a stock by Wall Street stock rating analysts. Stock ratings consist of expected future growth, current stock valuation and macroeconomic trends.

Y Katherine Xu's

Pepsi Bets $1.95 Billion On ‘Shark Tank’-Born Soda Brand

Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades, downgrades and initiations, please see our <a href="https://www.benzinga.com/analyst-stock-ratings">analyst ratings page</a>.



<ul>
<li>Barclays analyst Lauren Lieberman downgraded the rating for PepsiCo, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PEP#NASDAQ">PEP</a>) from Overweight to Equal-Weight and lowered the price target from $168 to $156. PepsiCo shares closed at $151.34 on Monday. <a href="https://www.benzinga.com/quote/pep/analyst-ratings">See how other analysts view this stock</a>.</li>



<li>Guggenheim analyst Michael Schmidt downgraded Incyte Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) from Buy to Neutral and maintained the price target of $92. Incyte shares closed at $62.01 on Monday. <a href="https://www.benzinga.com/quote/INCY/analyst-ratings">See how other analysts view this stock</a>.</li>



<li>Jefferies analyst Julien Dumoulin-Smith downgraded TPI Composites, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TPIC#NASDAQ">TPIC</a>) from Hold to Underperform and lowered the price target from $2.3 to $0.5. TPI Composites shares closed at $1.20 on Monday. <a href="https://www.benzinga.com/quote/TPIC/analyst-ratings">See how other analysts view this stock</a>.</li>



<li>UBS analyst Steven Fisher downgraded PACCAR Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PCAR#NASDAQ">PCAR</a>) from Buy to Neutral and announced a $108 price target. PACCAR shares closed at $101.17 on Monday. <a href="https://www.benzinga.com/quote/PCAR/analyst-ratings">See how other analysts view this stock</a>.</li>



<li>William Blair analyst Y Katherine Xu downgraded the rating for Incyte (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INCY#NASDAQ">INCY</a>) from Outperform to Market Perform. Incyte shares closed at $62.01 on Monday.  <a href="https://www.benzinga.com/quote/ONCY/analyst-ratings">See how other analysts view this stock.</a></li>
</ul>



Considering buying PEP stock? Here&#8217;s what analysts think: 



<figure class="wp-block-image size-large is-resized"><img loading="lazy" decoding="async" width="1024" height="571" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/18120202/image-151-1024x571.png" alt="" class="wp-image-829930" style="width:592px;height:auto" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/18120202/image-151-1024x571.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/18120202/image-151-300x167.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/18120202/image-151-768x428.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/18120202/image-151.png 1135w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



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This PepsiCo Analyst Is No Longer Bullish; Here Are Top 5 Downgrades For Tuesday

Vital Therapies, Inc. (NASDAQ:<a class="ticker" href="/stock/VTL#NASDAQ">VTL</a>) has announced the release of&nbsp;data for its liver failure treatment candidate.&nbsp;

<h3>The Analysts</h3>

William Blair analyst <a href="https://www.tipranks.com/analysts/y-katherine-xu">Y. Katherine Xu</a> upgraded <a href="https://www.benzinga.com/stock/vtl">Vital Therapies</a> from Market Perform to Outperform and raised the price target from <a href="https://www.benzinga.com/analyst-ratings/price-target/18/08/12146126/10-biggest-price-target-changes-for-monday">$10 to $35</a>.

<h3>The Thesis</h3>

Top-line data from Vital Therapies&rsquo; study on the treatment of liver failure is expected to be released in September, Xu said in a Monday note. (See the analyst&#39;s track record <a href="https://www.tipranks.com/analysts/y-katherine-xu">here</a>.)&nbsp;

The data on an extracorporeal liver-assist device, or ELAD,&nbsp;versus the standard of care in severe acute alcoholic hepatitis is a key event for Vital, and William Blair raised its estimates accordingly, the analyst said.&nbsp;

&ldquo;We note that there are 60,000 sAAH patients annually in the United States and EU, who are associated with about 50-percent&nbsp;mortality. About 60 percent of sAAH patients are younger patients without renal failure or severe coagulopathy, which are part of the main inclusion criteria for VTL-308. Currently, there are no treatment options that provide a survival benefit in this indication, and there is no competition in the clinic addressing this population.&quot;&nbsp;

Xu notes that should this study be successful, ELAD will likely become the standard of care, increasing the peak sales estimate from $850 million to $1.5 billion.

William Blair raised its projection for the treatment&#39;s probability of success from 55 percent to 70 percent.

<h3>Price Action</h3>

Vital Therapies shares were rallying 9.26 percent to $8.85 at the time of publication Monday.&nbsp;

Related Links:

<a href="https://www.benzinga.com/general/biotech/18/07/11996897/benzingas-daily-biotech-pulse-acceleron-on-fast-lane-oncocytes-accura">Benzinga&#39;s Daily Biotech Pulse: Acceleron On Fast Lane, OncoCyte&#39;s Accurate Diagnosis, Inspire Medical Gets Aetna Coverage</a>

<a href="https://www.benzinga.com/general/biotech/18/08/12132694/the-week-ahead-in-biotech-conferences-pdufa-dates-and-ipos">The Week Ahead In Biotech: Conferences, PDUFA Dates And IPOs</a>

Biotech

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General

William Blair Upgrades Vital Therapies Ahead Of September Liver Failure Data

By Gal Goldring 
Analysts weighed in on biopharmaceutical stocks Horizon Pharma PLC (NASDAQ:<a href="http://www.tipranks.com/stocks/HZNP?ref=sa-stock">HZNP</a>) and Ariad Pharmaceuticals, Inc. (NASDAQ:<a href="http://www.tipranks.com/stocks/ARIA?ref=sa-stock">ARIA</a>). While Horizon recently acquired additional rights to one of its leading drugs, Ariad caught a sneak peak of the anticipated ASCO meeting, which released data on its brigatinib medicine. See how analysts rated these sought-after stocks.
Horizon Pharma PLC
Dublin-based pharmaceutical company Horizon Pharma's key drug, Actimmune, is aimed at treating Friedreich's ataxia (FA), a degenerative neuro-muscular disorder. While the pharmaceutical company already has rights to Actimmune in the US, Canada, and Japan, Horizon just recently formed a new deal that may drive company success to new heights.
In light of recent progressions for Horizon, UBS analyst <a href="https://www.tipranks.com/analysts/marc-goodman?ref=SA-EXPERT">Marc Goodman</a> reiterated a Buy rating on the company with a 12-month price target of $24.00.
Goodman noted, "Management is clearly excited about the FA indication, and it looks like it would like to lock up particularly Europe, a potentially large market for FA, and mgt believes it would get a better deal before the STEADFAST trial readouts."
Further, the analyst explains that if FA works, the European market can surpass $200 million, which Goodman comments "would make the BI deal very cheap."
Additionally, the deal would allow management to gain control of manufacturing for Actimmune, which Goodman mentions is "something that it wanted for a while, to modernize it and improve efficiencies moving forward as well as scale up for a global supply in FA."
According to <a style="font-weight: bold; color: blue;" href="http://www.tipranks.com?ref=sa-tr" target="_blank" rel="nofollow">TipRanks.com</a>, which measures analysts' and bloggers' success rate based on how their calls perform, analyst Marc Goodman has a yearly average return of 1.9% and a 56.4% success rate. Goodman has a -14.2% average return when recommending HZNP, and is ranked #1249 out of 3929 analysts.<a href="http://www.tipranks.com/stocks/HZNP?ref=sa-stock"><img class=" wp-image-256956 aligncenter" src="http://www.smarteranalyst.com/wp-content/uploads/2016/05/img_57436d71ce466.png" alt="" width="602" height="258" /></a>
Horizon has an analyst consensus rating of Strong Buy, with a whopping 89% of analysts bullish and 11% neutral. All recommendations amounted to a 12-month average price target of $30.43, marking a 100% upside from where shares last closed.
Ariad Pharmaceuticals, Inc.
On May 18, 2016, The American Society of Clinical Oncology (ASCO) released abstracts from its annual meeting, set to take place June 3-7. The abstracts included the first data release from the ALTA trial of Ariad's brigatinib medicine in refractory ALK and non–small-cell lung cancer (NSCLC).
In light of this, William Blair analyst <a href="https://www.tipranks.com/analysts/y-katherine-xu?ref=SA-EXPERT (">Y. Katherine Xu</a> reiterated an Outperform rating on ARIA with a price target of $10.00. Xu explains, "The data supports a competitive profile of brigatinib, potentially differentiating the compound in depth of response as well as duration of response, and activity in the central nervous system (CNS)."
The analyst explains two different doses were tested during the ALTA study. Of the two, researchers used objective response rate (ORR) and progression free survival (PFS) to find the higher dose demonstrated better efficacy. The drug's ORR and complete response (CR) rates in patients appear to have tested better than competitor drug Alecensa, and was on par with competitor drug Zykadia. Xu explains, "The ALTA data so far demonstrate brigatinib's ORR at 54% with CR at 5%. Although a drop from the 72% ORR observed in the Phase I/II study (exhibit 1), it is on par with Zykadia, which at ASCO 2015 showed an ORR of 55% and CR of 4% (on its label, Zykadia's CR is listed at 1%). Alecensa's labeled ORR and CR remain below the competition at 44% and 0%, respectively."
Additional ORR and PSF data, as well as more data in CNS metastases will be presented at the upcoming ASCO meeting. In regards to this, Xu takes on an optimistic outlook and believes the results may "further set brigatinib apart from the competition."
According to <a href="https://www.tipranks.com/analysts/y-katherine-xu?ref=SA-EXPERT">TipRanks.com</a>, Xu's prediction succeeded 44% of the time, ultimately delivering a one-year average return per recommendation of 2.7%.
ARIA has an analyst consensus rating of Moderate Buy, with 60% of analysts bullish, 20% neutral, and 20% bearish on the stock. All recommendations amounted to a 12-month average price target of $9.60, marking a 23.87% upside from where shares last closed.<a href="https://www.tipranks.com/stocks/aria?ref=sa-stock"><img class=" wp-image-256846 aligncenter" src="http://www.smarteranalyst.com/wp-content/uploads/2016/05/img_5742e8ccd073f.png" alt="" width="644" height="129" /></a>

Healthcare Analysts Provide Bullish Outlooks on Horizon Pharma PLC (HZNP) and Ariad Pharmaceuticals, Inc. (ARIA)

In light of an upcoming earnings results and a disappointing data readout, analysts weigh in on Valeant Pharmaceuticals Intl Inc (NYSE:<a href="https://www.tipranks.com/stocks/vrx?ref=sa-stock">VRX</a>) and Chimerix Inc (NASDAQ:<a href="https://www.tipranks.com/stocks/cmrx?ref=sa-stock">CMRX</a>). Both analysts remain neutral on the stocks, though analysts at large might not necessarily agree.
Valeant Pharmaceuticals Intl Inc
There hasn't been a dull moment for Valeant in the last few months between fraud allegations, drug pricing scrutiny, and a CEO on medical leave. Ahead of Valeant's Q4 earnings, scheduled to be released around February 29, analyst <a href="https://www.tipranks.com/analysts/alex-arfaei?ref=SA-EXPERT">Alex Arfaei</a> of BMO Capital is weighing in on the pharmaceutical company. The analyst does not think there will be many surprises in the company's earnings since it reaffirmed previous guidance.
Arfaei expects the company to post revenue "on the lower half" of the recent estimate range of $2.7 billion to $2.8 billion due to his "more conservative expectations for Salix; a pharmaceutical company acquired by Valeant in April for nearly $11 billion. He states, "Although we are at the lower half of revenue guidance, we forecast that Valeant will finish 4Q15 at the top end of its EPS guidance, or exceed it."
The analyst forecasts a ~3% same-store organic decline for the quarter due to lower U.S. sales of the company's dermatology products as a result of its falling out with Philidor. "However," he continues, "we expect FY2015 organic growth of ~10%; both in line with recent guidance." Going forward, the analyst's is "on the bottom end of 1Q16 revenue guidance, and below the company's FY2016 revenue guidance because of [his] uncertainty regarding the Walgreens arrangement and headwinds in emerging markets, including FX."
Due to his lackluster predictions, the analyst reiterated a Market Perform rating on Valeant with a $133 price target, marking a 60% potential upside from current levels. According to <a href="https://www.tipranks.com/stocks/vrx?ref=sa-stock">TipRanks</a>, most analysts are bullish on Valeant. Out of the 17 analysts polled in the last 3 months, 10 are bullish; 1 is bearish; and 6 are neutral.
<a href="https://www.tipranks.com/analysts/alex-arfaei?ref=SA-EXPERT" rel="attachment wp-att-248249"><img class="aligncenter wp-image-248249 size-full" src="http://www.smarteranalyst.com/wp-content/uploads/2016/02/Arfaei-stat.jpg" sizes="(max-width: 664px) 100vw, 664px" srcset="http://www.smarteranalyst.com/wp-content/uploads/2016/02/Arfaei-stat-300x97.jpg 300w, http://www.smarteranalyst.com/wp-content/uploads/2016/02/Arfaei-stat-600x193.jpg 600w, http://www.smarteranalyst.com/wp-content/uploads/2016/02/Arfaei-stat.jpg 664w" alt="Arfaei stat" width="664" height="214" /></a>
Chimerix Inc
Chimerix has been disappointing investors for some time as it has lost over 90% of its value in the last 6 months. The company already announced in December that SUPPRESS, a study on pipeline drug brincidofovir to prevent cytomegalovirus (CMV) in patients undergoing hematopoietic cell transplantation (HCT), had failed to meet its endpoint. Yesterday,  <a href="https://www.tipranks.com/analysts/y-katherine-xu?ref=SA-EXPERT">Y. Katherine Xu</a> of William Blair weighed in on the company as it discussed its plans to move forward.
Xu explains, "The failure of SUPPRESS appears to have been driven by high steroid use in the brincidofovir arm to treat presumptive GvHD (graft versus host disease). In our opinion, the oral formulation of brincidofovir is no longer viable in this indication." The analyst explains that diarrhea is the main side effect of this drug due to its toxicity, but experts could not distinguish if this or GvHD was the main cause of the diarrhea. Regardless, the majority of doctors decided to treat the diarrhea with steroids, "despite the SMMP (safety monitoring and management plan) Chimerix put into place that instructed interruption of dosing first before treating with steroids."
The analyst highlights two strategy changes outlined by the company: "Push the IV formulation into the clinic in second half 2016 to abrogate the diarrhea side effect and thereby any confusion with GvHD." If this study goes well, the IV form will have several advantages to be competitive in the marketplace. Second, Yu explains, "Closing the Phase III SURPASS and SUSTAIN studies in the kidney transplant setting due to lack of impact on BK virus observed in SUPPRESS, and start Phase II studies to better characterize activity against BK."
Yu has maintained her Market Perform rating but lowered her price target from $12 to $8. She explains, "Based on the strategic decision of terminating SURPASS and SUSTAIN, we have removed brincidofovir for the prevention of CMV in the solid organ transplant setting from our model, which is the biggest commercial opportunity."
According to <a href="https://www.tipranks.com/stocks/cmrx?ref=sa-stock">TipRanks</a>, 2 analysts are bullish on the stock, 1 is bearish, and 8 remain on the sidelines. The average 12-month price target between these 11 analysts is $16, marking a 247% potential upside from current levels.
<a href="https://www.tipranks.com/stocks/cmrx?ref=sa-stock"><img class="aligncenter" src="http://www.smarteranalyst.com/wp-content/uploads/2016/02/img_56cc7cd6d3a4b.png" alt="" width="598" height="95" /> 
</a>

Analysts Stay on the Sidelines of Valeant Pharmaceuticals Intl Inc (VRX) and Chimerix Inc (CMRX); Here&#39;s Why

By Sarah Roden 

There's never a dull moment in the biotechnology sector as analysts weigh in on Valeant Pharmaceuticals Intl Inc (NYSE:<a href="https://www.tipranks.com/stocks/vrx">VRX</a>) in light of a congressional memo exploring pricing practices and Synthetic Biologics Inc (NYSEMKT:<a href="https://www.tipranks.com/stocks/syn">SYN</a>) after the company announced the termination of a drug license.
Valeant Pharmaceuticals Intl Inc
<a href="https://www.tipranks.com/analysts/irina-rivkind-koffler">Irina Rivkind Koffler</a> of Mizuho weighed in on Valeant after the House Oversight Committee released a memo yesterday explaining Valeant's drug pricing strategy. The company came under scrutiny in October for its drug pricing practices after the company acquired two heart drugs, Isuprel and Nitropress, and hiked up the prices.
The analyst believes Congresses' memo "paints a damning picture of an organization whose unified goal was to generate profit, rather focus on patients." She continues, "Furthermore, the memo alleges that the company was keenly aware of its actions and tried to obfuscate its pricing actions via PR initiatives." As a result, the analyst expects VRX shares to remain "highly volatile" this week.
Koffler also explains that CEO <a href="https://www.tipranks.com/insiders/michael-pearson">Mike Pearson</a> is unlikely to return to the company. Pearson has been out on medical leave with pneumonia complications since December. However, Congresses' memo alleges that CFO Howard Schiller and Pearson were aware of the pricing discrepancies due to information exchanged in a conference call last year. Koffler explains, "We think that the company may need to clarify these discrepancies and believe that investors and large shareholders could be unforgiving if management's credibility is in question." Due to the disclosures in the report, Koffler finds it unlikely that Pearson will return to his position.
Ultimately, Koffler reiterates a Neutral rating on Valeant with an unchanged price target of $112 in light of future uncertainty and stock volatility surrounding Congresses' memo on the company's drug pricing practices.
Koffler has a 59% success rate recommending stocks with a 34.8% average return per rating. According to <a href="https://www.tipranks.com/stocks/vrx">TipRanks</a>, 9 analysts are currently bullish on the stock while 8 remain on the sidelines. The average 12-month price target between these 17 analysts is $156.64, marking a 71% potential upside from current levels.
<a href="https://www.tipranks.com/analysts/irina-rivkind-koffler" rel="attachment wp-att-246164"><img class=" wp-image-246164 aligncenter" src="http://www.smarteranalyst.com/wp-content/uploads/2016/02/Koffler-stat.jpg" alt="Koffler stat" width="591" height="189" /></a>
<h4></h4>
Synthetic Biologics Inc
Following Synthetic Biologics' announcement yesterday to terminate its license for Trimesta, analyst <a href="https://www.tipranks.com/analysts/y-katherine-xu">Y. Katherine Xu</a> of William Blair maintains her Outperform rating on the company but lowers her price target from $11 to $10.
Xu explains, "Synthetic Biologics reported that the third-party reviews of the Phase II trial evaluating Trimesta as a treatment for relapsing-remitting multiple sclerosis (RRMS) failed to demonstrate a significant treatment effect for Trimesta + Copaxone versus placebo + Copaxone at 12 or 24 months. The company decided to terminate the license agreement on Trimesta."
Despite this termination, the analyst does not believe this decision will "fundamentally affect the valuation of the company." On the contrary, she recommends buying on the weakness. She explains that Trimesta was not a priority for the company and its real value lies in SYN-010 for irritable bowel syndrome and SYN-004 for preventing C. difficile infections. New data on both these programs will become available later in the year.
According to <a href="https://www.tipranks.com/stocks/syn">TipRanks</a>, two analysts are currently bullish on the company with an average price target of $9.50, marking over a 600% upside from current levels.
<a href="https://www.tipranks.com/stocks/syn"><img class=" wp-image-246163 aligncenter" src="http://www.smarteranalyst.com/wp-content/uploads/2016/02/img_56b1ef9d108f4.png" alt="" width="384" height="143" /></a>

Analysts Review Valeant Pharmaceuticals Intl Inc (VRX) and Synthetic Biologics Inc (SYN) Following Recent Developments

William Blair analysts <a href="https://www.tipranks.com/analysts/john-sonnier">John Sonnier</a> and <a href="https://www.tipranks.com/analysts/y-katherine-xu">Y Katherine Xu</a> issued a note to investors on August 26 highlighting their best investment ideas in light of recent market weakness. 

The analysts note, &quot;While the major biotechnology indices are off 19% for both the Nasdaq Biotechnology Index and the NYSE Arco Biotechnology Index, we believe the fundamentals of the sector are largely disassociated from the root causes of the market turbulence over the past two weeks.&quot; The two analysts&#39; best ideas include Celgene Corporation (NASDAQ:<a href="https://www.tipranks.com/stocks/celg">CELG</a>), Exelixis Inc. (NASDAQ:<a href="https://www.tipranks.com/stocks/exel">EXEL</a>), and Dynavax Technologies Corporation (NASDAQ:<a href="https://www.tipranks.com/stocks/dvax">DVAX</a>).

	Celgene Corporation 

	Celgene develops and manufactures treatments for hematology, oncology, and autoimmune diseases. The company&#39;s flagship product is called Revlimid, used as a therapy for multiple myeloma.

	John Sonnier sees &quot;Celgene as the name that has the clearest financial visibility.&quot; The analyst currently has an Outperform rating on the stock, noting, &quot;The company continues to grow its flagship product, Revlimid, while continuing to establish external collaborations and internally develop pipeline compounds.&quot;

	Despite the recent market volatility, Sonnier lists several reasons for his bullish rating on Celgene. For one, the analyst notes that &quot;Celgene continues to execute well operationally&quot; and projects a &quot;top-line growth rate of 18% and a bottom line growth rate of 24% though 2020.&quot;

	Sonnier believes Revlimid is &quot;well positioned to continue growing globally&quot; and sees &quot;potential for three additional drugs to enter the elite ranks of $1 billion in sales by 2017, including Abraxane in various solid cancers, Pomalyst/Imnovid in relapsed/refractory multiple myeloma, and Otezla in psoriatic arthritis and plaque psoriasis.&quot;

	On a strategic level, Sonnier believes &quot;that Celgene is among the best-positioned companies in the industry for long-term growth.&quot; Additionally, the analyst believes Celgene&#39;s &quot;robust pipeline with over 17 Phase III or registrational-enabling studies out of 28 clinical trials&hellip;will hold potential to exceed [his] immediate-and long-term growth expectations.&quot;

	Out of 14 analysts polled by <a href="https://www.tipranks.com/stocks/celg">TipRanks </a>within the past three months, 11 analysts are bullish on Celgene, and three are neutral. The average 12-month price target for the company is $157.23, marking a 31.87% potential upside from where the stock last closed. On average, the all-analyst consensus for Celgene is Moderate Buy.

	Exelixis Inc. 

	Exelexis discovers and develops genomics-based drugs. The company recently released positive Phase III trial results for its pipeline therapy, Cabozantinib, for the treatment of kidney cancer. While the trial met its primary end point, data was cut off before the second endpoint could be reached.

	Sonnier believes &quot;Exelixis has undergone a significant risk-debulking event&hellip;with positive Phase III readout with cabozantinib in renal cell carcinoma (RCC).&quot; As such, he currently has an Outperform rating on the stock.

	Sonnier sees &quot;significant opportunity [for Exelixis] in the RCC space&quot; as it&#39;s worth &quot;about $1 billion in size.&quot; The analyst believes &quot;cabozantinib could penetrate and prolong treatment duration in the disease setting and thereby expand the market.&quot; The analyst estimates that &quot;peak annual sales for cabozantinib could be [between] $450 million- $500 million.&quot;

	Additionally, Sonnier believes Exelixis is &quot;entering a formative period with multiple stock moving catalysts,&quot; including &quot;the full Phase III METEOR data presentation on September 26 at the European Cancer Congress&quot; and the potential for &quot;a global collaboration deal with potential partners, which could lead to a significant nondilutive cash infusion.&quot;

	Out of two analysts polled by <a href="https://www.tipranks.com/stocks/exel">TipRanks </a>within the past three months, one is bullish and one is neutral. The average 12-month price target for the company is $6.00, marking a 6.38% potential upside from where the stock last closed. On average, the all-analyst consensus for Exelixis is Hold.

	Dynavax Technologies Corporation 

	Dynavax develops novel vaccines and therapeutics for infectious and inflammatory diseases and oncology by using TLR biology. The company is currently in Phase III testing for HEPLISAV, a pipeline vaccine for adults with hepatitis B.

	Y Katherine Xu believes &quot;Dynavax shares are significantly undervalued at the current price&quot; given the company&#39;s &quot;de-risked, late stage asset in Heplisav is poised to become a best-in-class hepatitis B vaccine, in addition to a propitious immunotherapy pipeline.&quot;&nbsp; The analyst currently has an Outperform rating on the stock.

	The analyst notes, &quot;Heplisav recently passed its third and final Data Safety Monitoring Board review, removing the former safety overhang and taking Heplisav one step closer to becoming a best-in-class hepatitis B vaccine.&quot; She expects top-line data from the trial by the end of 2015 with the potential to be approved by the FDA in the third quarter of 2016.

	Xu also notes that Dynavax&#39;s pipeline &quot;contains SD-101, a promising immunotherapy indicated for different types of cancers. SD-101 is being examined in five clinical studies, including two trials in collaboration with Merck.&quot;

	Y Katherine Xu is the only analyst polled by <a href="https://www.tipranks.com/stocks/dvax">TipRanks </a>who has rated Dynavax within the past three months. Her price target on the company is $42, marking a 55.21% potential upside from where the stock last closed.

	On average, John Sonnier has a 64% success rate recommending stocks and a +26.5% average return per recommendation when measured over a one-year horizon and no benchmark. Additionally, Y Katherine Xu has a 50% success rate recommending stocks and a +10.5% average return per recommendation when measured over a one-year horizon and no benchmark.

Analyst Color

Long Ideas

CELG

DVAX

EXEL

William Blair&#39;s Best Ideas In A Volatile Market

In a report published Tuesday, William Blair analyst Y. Katherine Xu maintained an Outperform rating on OncoGenex Pharmaceuticals Inc (NASDAQ: <a class="ticker" href="/stock/ogxi#NASDAQ">OGXI</a>), while raising the price target from $5 to $6.

"OncoGenex announced that the Phase III ENSPIRIT trial of custirsen in second-line non–small-cell lung cancer (NSCLC) passed its second and final futility analysis by the trial's independent data monitoring committee (IDMC), suggesting that there is a signal of overall survival benefit at the time of analysis," Xu reported.

The company intends to continue with the study as planned, with top-line data likely to be announced in 2H 2016. The Phase III ENSPIRIT trial aims to evaluate the safety and efficacy of the company's lead asset, custirsen, in metastatic (stage IV) NSCLC patients with previously failed first line chemotherapy.

The main outcome of the study is overall survival. In April, the company made some changes to the study to speed it up and to bring about a more rigorous interim futility analysis. The analyst believes that the early overall survival metrics are encouraging, while increasing the probability of success for custirsen from 55 percent to 70 percent in both metastatic castration-resistant prostate cancer (mCRPC) and NSCLC.

The analyst expects peak worldwide custirsen sales at $225 million in mCRPC and $250 million in second line NSCLC.

"ENSPIRIT passing this futility analysis may bode well for the likelihood of success of AFFINITY, whose top-line data readout is expected around the end of 2015, a decisive and critical catalyst for OncoGenex shares," Xu added.

OGXI

William Blair Boosts OncoGenex Pharma Target To $6, Hikes Custirsen Probability To 70%

Now that 2014 is coming to an end, what stocks should investors be on the lookout for in the first quarter of the New Year?

	To answer this question, William Blair analyst <a href="https://www.tipranks.com/experts/y-katherine-xu?ref=blog&amp;src=blog">Y. Katherine Xu</a> named five biotechnology/biopharmaceutical stocks to watch.
<h3>
	Medivation</h3>

	Medivation Inc (NASDAQ: <a class="ticker" href="/stock/mdvn#NASDAQ">MDVN</a>) is best known for developing therapies to treat serious diseases. Earlier this year, the biopharmaceutical company received FDA approval to expand the use of Xtandi, a prescription medicine used to treat men with prostate cancer.

	Since the expansion of the drug was approved, Medivation&rsquo;s stock has increased about 60 percent; the company brought in $200 million in revenue in its most recent quarter.

	In the first quarter of 2015, Medivation is poised to report data collected from the TERRAIN study, which evaluated Xtandi in comparison to Casodex, a direct competitor of the treatment for metastatic prostate cancer.

	Xu gave Medivation an Outperform rating and a $116 price target, reasoning that data from the TERRAIN study &ldquo;could push Xtandi to eventually replace Casodex, becoming the biggest prostate cancer drug.&rdquo; The analyst believes &ldquo;Positive TERRAIN data will further push urology adoption,&rdquo; which is the &ldquo;key for Xtandi&rsquo;s next leg of growth.&rdquo;

	Xu has rated Medivation twice since February 2011, earning an overwhelming +143.5 percent average return per recommendation.
<h3>
	Dynavax</h3>

	Dynavax Technologies Corporation (NASDAQ: <a class="ticker" href="/stock/dvax#NASDAQ">DVAX</a>) is known for developing products to prevent and treat infectious and inflammatory diseases and cancer. Three total interim data safety monitoring board reviews have been scheduled for Dynavax&rsquo;s HBV-23 treatment, the company&rsquo;s adult hepatitis B vaccine candidate, with the first review recently completed in October of this year. The second review is set to occur in February 2015.

	Xu gave Dynavix an Outperform rating with a $40 price target, noting &ldquo;the focus of HBV-23 is on the safety side; therefor, each positive DSMB review should further de-risk the study.&rdquo;

	Xu has rated Dynavax six times since May 2010, earning a 67 percent success rate recommending the stock.
<h3>
	Tokai Pharmaceuticals</h3>

	Tokai Pharmaceuticals Inc (NASDAQ: <a class="ticker" href="/stock/tkai#NASDAQ">TKAI</a>) focuses on developing proprietary therapies for prostate cancer and other hormonally-driven diseases. Tokai has plans to begin enrollment in its Phase III ARMOR3-SV study in the first half of 2015. The company&rsquo;s Phase III study is meant to target men with prostate cancer who have shown resistance to Johnson &amp; Johnson&rsquo;s Zytiga and Medivation&rsquo;s Xtandi.

	<bzrelatedlink>Related Link: <a href="http://www.benzinga.com/trading-ideas/short-ideas/14/12/5101981/the-debate-for-net-neutrality-is-hurting-this-stock">The Debate For Net Neutrality Is Hurting This Stock</a></bzrelatedlink>

	Xu gave Takai an Outperform rating and a $44 price target. Xu acknowledged that &ldquo;the development of a companion diagnostic to identify AR-V7 expression for the study enrollment, as well as FDA approval for this diagnostic, is a prerequisite to beginning this Phase III trial.&rdquo;

	Thus, &ldquo;finalizing and validating the assay is the next major milestone to be achieved in the development program,&rdquo; in her opinion. This is the first time Xu has given a recommendation for Tokai.
<h3>
	Vertex</h3>

	Vertex Pharmaceuticals Incorporated (NASDAQ: <a class="ticker" href="/stock/vrtx#NASDAQ">VRTX</a>) develops new medicines for people with serious diseases. The final readout of Vertex&rsquo;s 12-week Phase II study data of its cystic fibrosis treatment, Kalydeco, with placebo VX-661 in homozygous patients is expected during the first quarter of 2015.

	The data will be benchmarked with two different studies titled TRAFFIC and TRANSPORT. The company is getting ready to start a Phase III trial in early 2015 in patients 12 years and older with cystic fibrosis.

	Xu gave Vertex an Outperform rating with a $115 price target with the expectation that the data from the company&rsquo;s study of Kalydeco and VX-661 will be &quot;better than that observed with TRAFFIC and TRANSPORT.&rdquo;

	Xu last rated Vertex in January 2010, earning a +13.8 percent return.
<h3>
	Chimerix</h3>

	Chimerix Inc (NASDAQ: <a class="ticker" href="/stock/cmrx#NASDAQ">CMRX</a>), lastly, develops oral antiviral treatments in areas of high unmet medical need. The company plans to initiate a Phase III study of CMV and BKV, which will &ldquo;determine the effectiveness of brincidofonier in the prevention of cytomegalovirus (CMV) and BK Virus (BKV) infection in kidney and kidney-pancreas transplant recipients,&rdquo; according to Xu&rsquo;s research note.

	Xu gave Chimerix an Outperform rating and a $46 price target, noting: &ldquo;The study initiation in the renal transplant setting will be followed by top-line data releases from two earlier Phase III programs during 2015- SUPRESS study data in the third quarter 2-15 and AdVise study data around the end of 2015.&rdquo;

	Xu last rated Chimerix in October of this year, earning a +15.4 percent return on the stock.

	These five biopharmaceutical companies have a lot to look forward to in 2015 with Y. Katherine Xu remaining bullish on all of them.

	To see more recommendations from <a href="https://www.tipranks.com/experts/y-katherine-xu?ref=blog&amp;src=blog">Y. Katherine Xu</a>, visit TipRanks <a href="https://www.tipranks.com/experts/y-katherine-xu?ref=blog&amp;src=blog">today</a>!

CMRX

MDVN

TKAI

VRTX

William Blair&#39;s Top BioPharma Stock Picks For Q1 2015

In a report published Tuesday, William Blair & Company analyst Y. Katherine Xu initiated coverage on Infinity Pharmaceuticals (NASDAQ: <a class="ticker" href="/stock/infi#NASDAQ">INFI</a>) with a Market Perform rating and $21.00 price target.

In the report, William Blair & Company noted, “Infinity's IPI-145 is a follower to ibrutinib in a different class with much lower potential due to its profile, timing in development, and more intense competition, in our opinion. We rate Infinity Market Perform with a price target of $21 because 1) we believe that Infinity's lead asset, the PI3K delta and gamma dual inhibitor IPI-145, faces stiff competition in the B-cell malignancy market, being potentially the third entrant behind ibrutinib and Gilead's idelalisib; 2) although IPI-145 might emerge to be more efficacious than idelalisib and on par with ibrutinib, we believe our peak sales estimate of $2.1 billion based on the competitive landscape and its position in the race is fair at the moment; 3) we believe clinical, regulatory, and execution risks as well as onerous milestone and royalty obligations weigh on valuation; and 4) we have lower confidence in IPI-145's potential success in asthma and rheumatoid arthritis, or Retaspimycin in non–small-cell lung cancer. We estimate peak worldwide sales for IPI-145 at $2.1 billion with an 80% probability of success in CLL, 75% in NHL, and a 55% in T-cell lymphoma.”

Infinity Pharmaceuticals closed on Monday at $19.76.

Initiation

INFI

UPDATE: William Blair Initiates Coverage on Infinity Pharmaceuticals on Multiple Challenges Ahead

In a report published Tuesday, William Blair & Company analyst Y. Katherine Xu initiated coverage on Pharmacyclics (NASDAQ: <a class="ticker" href="/stock/pcyc#NASDAQ">PCYC</a>) with an Outperform rating and $143.00 price target.

In the report, William Blair & Company noted, “Pharmacyclics' ibrutinib is positioned to be the first of a new wave of agents ready to transform the treatment of B-cell malignancies, and we believe ibrutinib could become the largest product in hematology oncology history. We rate Pharmacyclics Outperform with a price target of $143 based on the following: 1) ibrutinib's mechanism of action allows it to address almost all B-cell malignancies, the largest patient pool among hematological malignancies; 2) ibrutinib has the best combined efficacy and safety profile among competitors and is also the first to market; 3) expanding indications as well as pushing usage from the relapsed/refractory setting to the frontline and maintenance settings will result in a gradual increase of treatment duration, which translates into increased sales potential; 4) ibrutinib's profile should allow it to become the preferred backbone for future combination regimens; and 5) there is a lack of competition within the class of BTK inhibitors.”

Pharmacyclics closed on Monday at $120.76.

PCYC

UPDATE: William Blair Initiates Coverage on Pharmacyclics on Good Market Position for Ibrutinib

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