Analysts Offer Insights on Healthcare Companies: IntelGenx Technologies (Other OTC: IGXT), Avrobio Inc (NASDAQ: AVRO) and Concert Pharma (NASDAQ: CNCE)

By Jason Carr

There’s a lot to be optimistic about in the Healthcare sector as 3 analysts just weighed in on IntelGenx Technologies (IGXTResearch Report), Avrobio Inc (AVROResearch Report) and Concert Pharma (CNCEResearch Report) with bullish sentiments.

IntelGenx Technologies (IGXT)

H.C. Wainwright analyst Swayampakula Ramakanth reiterated a Buy rating on IntelGenx Technologies today and set a price target of $1.50. The company’s shares closed yesterday at $0.66, close to its 52-week low of $0.43.

Ramakanth noted:

“We maintain our Buy rating of IGXT and maintain our 12-month price target of $1.50 per diluted share. We derive our price target based on the average of two valuation methods: 1) price-earnings multiple using 25x 2025 EPS estimate discounted at 15%; and 2) discounted cash flow analysis using a 2% terminal growth rate and discounting 2025 free cash flow estimate at a 15% discount rate. (1) partnership; (2) manufacturing; (3) commercial; (4) financial; and (5) intellectual property.”

According to TipRanks.com, Ramakanth has 0 stars on 0-5 star ranking scale with an average return of -2.9% and a 34.7% success rate. Ramakanth covers the Healthcare sector, focusing on stocks such as Diffusion Pharmaceuticals Inc, Gritstone Oncology Inc, and Tyme Technologies Inc.

IntelGenx Technologies has an analyst consensus of Moderate Buy, with a price target consensus of $2, a 202.9% upside from current levels. In a report released yesterday, Maxim Group also maintained a Buy rating on the stock with a $2 price target.

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Avrobio Inc (AVRO)

In a report released today, Debjit Chattopadhyay from H.C. Wainwright maintained a Buy rating on Avrobio Inc, with a price target of $40. The company’s shares closed yesterday at $17.78, close to its 52-week low of $11.85.

Chattopadhyay noted:

“Our $40 price target is derived from a risk-adjusted, sum-of-the-parts analysis that drives our DCF analysis, which is based on: beta of 1.40, terminal growth rate of 0.5%, risk premium of 4.93%, calculated WACC of 9.8%, and tax rate of 15% beginning in FY 2028. Our price target reflects uncertainties stemming from the clinical update from the Fabry program (AVR-RD-01), resulting in: (1) a push out of our launch estimate into 2H-2022, vs. prior 2H-2021; and (2) lower Fabry POS of 25% from 30%.”

According to TipRanks.com, Chattopadhyay is a 3-star analyst with an average return of 1.0% and a 46.2% success rate. Chattopadhyay covers the Healthcare sector, focusing on stocks such as Global Blood Therapeutics, Mersana Therapeutics Inc, and Voyager Therapeutics Inc.

Avrobio Inc has an analyst consensus of Moderate Buy, with a price target consensus of $40.

Concert Pharma (CNCE)

In a report released today, Andrew Fein from H.C. Wainwright reiterated a Buy rating on Concert Pharma, with a price target of $26. The company’s shares closed yesterday at $14.36.

Fein said:

“Our price target of $26/share is comprised of $16.38 from CTP-543 in AA + $3.04 from AVP-786 in AD agitation + $6.38 in cash and is based on a discounted cash flow analysis (2019-2026) using a 12% discount rate and 1% growth rate, in line with the expected discount and growth parameters of a development stage biotechnology company.”

According to TipRanks.com, Fein is a 5-star analyst with an average return of 8.1% and a 47.4% success rate. Fein covers the Healthcare sector, focusing on stocks such as Constellation Pharmaceuticals Inc, DBV Technologies SA – American, and Proteostasis Therapeutics Inc.

Currently, the analyst consensus on Concert Pharma is a Strong Buy with an average price target of $26, an 81.1% upside from current levels. In a report released today, Mizuho Securities also maintained a Buy rating on the stock with a $26 price target.

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