Veru (VERU) has completely managed to sidestep 2022’s market misery. The shares have gained 140% year-to-date, as investors have applauded the progress made by the company’s Covid-19 treatment, sabizabulin. The FDA recently gave the go-ahead for Veru to move forward with a request for Emergency Use Authorization (EUA) and the company expects to file it before the end of Q2.
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In the meantime, Veru is getting ready for the promotional push. To do so, it recently appointed Joel Batten to the role of Executive Vice President and Head of its U.S. Infectious Disease Franchise.
Oppenheimer analyst Leland Gershell views this development as “key ahead of sabizabulin’s anticipated EUA.”
“In addition to bringing his ~16 years’ industry experience in hospital-administered antivirals, we expect Mr. Batten’s relationship network among health system executives to broadly facilitate access by hospitals nationwide,” the analyst explained.
The company has another ace up its sleeve which could help spread awareness of its treatment. To get sabizabulin onto the global stage, Veru has begun accruing OUS partners and distributors on a country-by-country basis. As the company markets the FC2 female condom with the product already available in 149 countries, Veru is already in talks with “numerous ministers of health around the world.”
Even in the face of what is thought to be a retreating pandemic, some unfortunate statistics also point to the role the treatment could still have; US covid-19 hospitalizations have been “accelerating.” The present 7-day daily average stands at 3,379, suggesting that over the past week, ~23,650 people were hospitalized with Covid-19. This is a 22% increase on the previous week’s ~19,300. That already amounted to a 17% uptick on the week before.
All in all, Gershell reiterated an Outperform (i.e., Buy) rating on VERU along with a $36 price target. Investors might be enjoying the spoils of a successful 2022 so far, but Gershell’s target makes room for additional 12-month gains of ~155%. (To watch Gershell’s track record, click here)
The rest of the Street appears just as bullish; all 5 other recent reviews are positive, culminating in the stock’s Strong Buy consensus rating. Furthermore, the $34 average target suggests shares will climb 141% higher in the year ahead. (See VERU stock forecast on TipRanks)
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Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
