Cerus Corp. Receives a Buy from FBR Capital

By Jason Carr

FBR Capital analyst Thomas Yip reiterated a Buy rating on Cerus Corp. (NASDAQ: CERS) on November 4 and set a price target of $10. The company’s shares opened today at $4.94.

Yip noted:

“After the market close on November 3, Cerus reported 3Q16 results and hosted a conference call to discuss INTERCEPT’s commercial progress and its ongoing clinical development. We continue to anticipate INTERCEPT’s implementation to ramp up with prominent U.S. blood centers such as the American Red Cross (ARC) in 2017. Specifically, we will look for additional biologics license application (BLA) submissions, a necessary step to enable interstate transportation of INTERCEPT- treated blood components, to reflect progress by blood centers in implementing INTERCEPT. Cerus reaffirmed its plan to submit a CE mark application for processing red blood cells (RBC) with INTERCEPT by year-end 2016 for the EU market; therefore, INTERCEPT’s market opportunity could further expand in 2017. In parallel, Cerus also plans to actively engage the FDA to determine INTERCEPT’s Phase III RBC program; we expect a U.S. regulatory path to emerge in 2017.”

According to TipRanks.com, Yip is ranked 0 out of 5 stars with an average return of -28.3% and a 16.1% success rate. Yip covers the Healthcare sector, focusing on stocks such as Threshold Pharmaceuticals, Asterias Biotherapeutics, and Mateon Therapeutics Inc.

Currently, the analyst consensus on Cerus Corp. is Strong Buy and the average price target is $10, representing a 102.4% upside.

In a report issued on October 26, BTIG also reiterated a Buy rating on the stock with a $10 price target.

The company has a one year high of $7.64 and a one year low of $4.22. Currently, Cerus Corp. has an average volume of 1.01M.

Based on the recent corporate insider activity of 6 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of CERS in relation to earlier this year. Last month, William Mariner Greenman, the President & CEO of CERS bought 55,000 shares for a total of $305,250.

Cerus Corp. is a biomedical products company, which is engaged in developing and commercializing the INTERCEPT blood system. It currently markets and sells the INTERCEPT blood system for both platelets and plasma in Europe, the Commonwealth of Independent States, the Middle East and selected countries in other regions around the world. The company was founded by Laurence M. Corash and John E. Hearst on September 19, 1991 and is headquartered in Concord, CA.