In a report released today, Justin Walsh from JonesTrading upgraded Theratechnologies (THTX – Research Report) to a Buy, with a price target of $3.00.
Justin Walsh has given his Buy rating due to a combination of factors, primarily focusing on the recent developments within Theratechnologies. The resolution of supply issues related to EGRIFTA SV and the transition to the EGRIFTA WR formulation are key elements that reduce uncertainty and are expected to drive medium- to long-term growth for the company. The new formulation, EGRIFTA WR, offers significant advantages such as improved convenience for patients and extended patent protection, which are likely to strengthen the company’s market position.
Moreover, the unsolicited acquisition offer from Future Pak, although unlikely to succeed, highlights the perceived value of the EGRIFTA franchise. Despite potential short-term volatility due to the normalization of commercial activities and the acquisition offer, the overall trajectory for Theratechnologies appears favorable. These factors have led to an upgrade in the stock rating from Hold to Buy, with a price target set at $3.