Piper Jaffray Downgrades ISPH To Neutral, Lowers PT To $4 From $10

Yesterday, Inspire announced that denufosol failed to meet its primary and secondary endpoints in the TIGER-2 Phase III study in cystic fibrosis (CF), Piper Jaffray reports. “We are downgrading Inspire Pharmaceuticals, Inc. ISPH to a Neutral from an Overweight and lowering our price target to $4 from $10,” Piper Jaffray writes. “We do not see a path forward for denufosol given the results. We estimate that the company's eye care business is worth just north of $3 per share (per our sum of the parts (SOP) analysis), with cash per share of near $1 (inclusive of 4Q10 net losses and reflecting minimal losses in 2011 due to expected expense cuts).” Inspire Pharmaceuticals closed Monday at $3.47.