Schrodinger price target lowered to $40 from $60 at Craig-Hallum

Craig-Hallum analyst Matt Hewitt lowered the firm’s price target on Schrodinger (SDGR) to $40 from $60 and keeps a Buy rating on the shares. While the revenues scrolled as a beat, this would not have been the case if not for the recognition of a $10M payment associated with Bristol Myers Squibb (BMY) electing to not proceed with further development of two assets due to strategic reasons and not related to the potential of these candidates, the firm says. In fact, Craig-Hallum believes it is likely that Schrodinger will seek a new partner to help progress the programs. While the financial results were mixed, commentary on the call was quite positive, the firm adds.