Kiniksa initiated with a Buy at Jefferies

Jefferies initiated coverage of Kiniksa with a Buy rating and $40 price target. The company’s lead drug Arcalyst, the only approved therapy for recurrent pericarditis, is performing well after three years of launch, the analyst tells investors in a research note. The firm sees continued growth momentum to potentially achieve blockbuster status in coming years. In addition, Kiniksa’s second asset abiprubart, in Phase 2 for Sjogren’s syndrome, is underappreciated, as “supportive to-date” data suggests a multi-billion opportunity, contends Jefferies.