Jazz downgraded to Neutral at Cantor on oncology strategy ‘head-scratcher’

As previously reported, Cantor Fitzgerald downgraded Jazz Pharmaceuticals (JAZZ) to Neutral from Overweight with a price target of $150, up from $140, after the company reported Q4 results. Xywav and Epidiolex continue to drive growth, so management’s increasing focus on oncology, despite most of the company’s revenue and growth coming from sleep and epilepsy treatments, presents a “strategic head-scratcher,” the analyst tells investors. While an oncology expansion offers diversification and potential growth, the firm questions if this area is a “source of competitive advantage,” the analyst added.