Simulations Plus price target raised to $65 from $55 at Oppenheimer

Oppenheimer analyst Francois Brisebois raised the firm’s price target on Simulations Plus to $65 from $55 and keeps an Outperform rating on the shares. The company’s acquisition of Pro-ficiency, a leader in simulation-enabled solutions for clinical and commercial drug development, is a “real positive” as it expands Simulations’ presence across the drug development continuum, doubling its total addressable market to $8B, the analyst tells investors in a research note. The firm says “particularly encouraging” is Pro-ficiency’s competitive profile, with no direct competitors in simulation training for clinical trials and differentiated simulation-based medical communication offerings. It sees strong cross-selling opportunities and is pleased by this strategic deal.