Jan. 5 at 1:41 PM
Cantor⬆️
$XENE's PT to
$55 from
$45 and reiterated at an Overweight rating.
$PRAX $BHVN $RAPP $NBIX JAZZ
Cantor said in its note: Our "house view" is that most of the incremental value from current levels comes from the rest of the pipeline and not from seizures, so we're generally agnostic wrt XTOLE-2 as a catalyst.
We also note that azetukalner exclusivity, while
long-dated, will be driven more by polymorph, dosing and method patents. As such it may take 7-8 years to get a clearer sense of when generics might enter. However, azetukalner for seizures provides at least a strong valuation framework support, giving us cheap or free calls on the P3 depression program and the earlier stage programs highlighted above.
Given their potentially transformational natures, these are programs we're keen to follow and make XENE a name with a compelling risk/reward profile over the long term, in our view.
