Acadia Pharmaceuticals price target raised to $40 from $35 at Mizuho

Mizuho raised the firm’s price target on Acadia Pharmaceuticals to $40 from $35 and keeps a Buy rating on the shares. The analyst says Acadia is a top pick. The firm sees “limited downside and multiple upside scenarios.” One scenario is the potential extension of Nuplazid marketing exclusivity from 2030 to early 2038, given the recent favorable claim construction ruling, which should bode well for the formulation patent case against generics, the analyst tells investors in a research note. The firm estimates this additional seven years of marketing exclusivity for the Parkinson’s disease psychosis indication is worth $7 per share on a risk-unadjusted basis. Mizuho also sees potential upside to the price target from exclusivity extension for Nuplazid in negative schizophrenia if the ADVANCE-2 study is positive.