Chimerix (CMRX – Research Report), the Healthcare sector company, was revisited by a Wall Street analyst today. Analyst Joseph Thome from TD Cowen maintained a Buy rating on the stock and has a $8.55 price target.
Joseph Thome has given his Buy rating due to a combination of factors surrounding Chimerix’s strategic positioning and potential market opportunities. The announcement by Jazz Pharmaceuticals to acquire Chimerix at $8.55 per share aligns with Jazz’s strategy to diversify its portfolio and expand into the oncology and rare disease sectors. This acquisition is seen as a strategic fit for Jazz, providing a new revenue stream and enhancing its commercial presence in these areas.
Additionally, Chimerix’s decision to submit an NDA for dordaviprone for accelerated FDA approval, supported by promising clinical data, adds to the positive outlook. The FDA’s acceptance of the NDA with priority review status and the potential approval of dordaviprone for treating H3 K27M-mutant gliomas highlight the drug’s potential impact on an unmet medical need. The expected peak sales of dordaviprone in the U.S. further support the valuation of the deal, making it advantageous for Chimerix shareholders.
In another report released on March 3, JonesTrading also maintained a Buy rating on the stock with a $7.00 price target.