Craig-Hallum starts ‘hidden gem’ OmniAb with Buy rating

Craig-Hallum analyst Matt Hewitt initiated coverage of OmniAb (OABI) with a Buy rating and $10 price target. The analyst believes OmniAb was a "hidden gem" within Ligand’s (LGND) portfolio and that spinoff was "long overdue." The company’s "diverse antibody repertoire" enables their partners to deliver high-quality therapeutic candidates for a wide range of diseases by utilizing a suite of technology offerings, the analyst tells investors in a research note. The firm believes OmniAb provides investors an opportunity to "get in early on a scalable business on the verge of meaningful cash flow generation."