tiprankstipranks
Ratings

Positive Outlook for Axsome Therapeutics Amid Key Developments and Growth Potential

Positive Outlook for Axsome Therapeutics Amid Key Developments and Growth Potential

Ami Fadia, an analyst from Needham, maintained the Buy rating on Axsome Therapeutics (AXSMResearch Report). The associated price target was raised to $153.00.

Discover the Best Stocks and Maximize Your Portfolio:

Ami Fadia has given his Buy rating due to a combination of factors influencing Axsome Therapeutics’ prospects. Despite an uneventful fourth quarter earnings report, which revealed earnings per share significantly below consensus estimates due to higher expenses, there are positive developments that could bolster the company’s future performance. The recent intellectual property settlement concerning Auvelity has been a significant factor, as it strengthens the company’s position and contributes to an increased price target.
Furthermore, the focus shifts to upcoming pivotal data readouts for solriamfetol in ADHD and MDD, which are anticipated to be crucial for the stock’s momentum. Although the management has not provided annual sales guidance for Auvelity due to various market dynamics, the long-term outlook remains strong. The extension of free cash flow projections in the sum-of-the-parts analysis, reflecting the IP settlement, implies potential for substantial growth, justifying the Buy recommendation.

In another report released today, Guggenheim also maintained a Buy rating on the stock with a $195.00 price target.

1