In a report released yesterday, Sean Laaman from Morgan Stanley maintained a Buy rating on Exelixis (EXEL – Research Report), with a price target of $40.00.
Sean Laaman has given his Buy rating due to a combination of factors surrounding Exelixis’s recent developments. The approval of the sNDA for Cabometyx, which is now authorized for use in patients with pancreatic and extrapancreatic neuroendocrine tumors, marks a significant milestone. This approval is based on the Phase 3 CABINET study, which demonstrated substantial improvements in progression-free survival compared to placebo, benefiting all clinical subgroups.
Laaman views the label expansion as a positive catalyst for Cabometyx’s growth, especially since Exelixis is well-prepared for the launch. The overlap between existing Cabometyx prescribers and NET-treating physicians, coupled with the company’s efforts to expand their gastrointestinal field force, is expected to drive immediate revenue benefits. Despite the market already anticipating this approval, the strategic positioning and readiness of Exelixis to capitalize on this opportunity underpin the Buy rating.
In another report released yesterday, Citi also maintained a Buy rating on the stock with a $45.00 price target.
EXEL’s price has also changed dramatically for the past six months – from $26.240 to $37.010, which is a 41.04% increase.