AxoGen initiated with an Outperform at Leerink

sLeerink initiated coverage of AxoGen with an Outperform rating and $9 price target. The firm notes shares have seen significant weakness since Q2 earnings, partly due to a delay in anticipated regulatory timelines for the company’s planned BLA submission for Avance. While this delay introduces continued uncertainty for the stock, Leerink ultimately thinks the magnitude of the recent selloff has created an attractive buying opportunity. After weighing both the key evidence to support Avance’s BLA approval along with potential risks and remaining uncertainties, the firm believes Avance is likely to be approved, creating an attractive risk-reward setup for the stock.