Analysts Offer Insights on Healthcare Companies: Mustang Bio Inc (NASDAQ: MBIO), CareDx (NASDAQ: CDNA) and Spectrum Pharmaceuticals (NASDAQ: SPPI)

By Jason Carr

There’s a lot to be optimistic about in the Healthcare sector as 3 analysts just weighed in on Mustang Bio Inc (MBIOResearch Report), CareDx (CDNAResearch Report) and Spectrum Pharmaceuticals (SPPIResearch Report) with bullish sentiments.

Mustang Bio Inc (MBIO)

In a report released today, Joseph Pantginis from H.C. Wainwright reiterated a Buy rating on Mustang Bio Inc, with a price target of $7. The company’s shares closed last Monday at $4.45.

According to TipRanks.com, Pantginis is currently ranked with no stars on a 0-5 star ranking scale, with an average return of -12.5% and a 29.5% success rate. Pantginis covers the Healthcare sector, focusing on stocks such as Lineage Cell Therapeutics, Inc., Applied Genetic Technologies, and Iovance Biotherapeutics Inc.

Mustang Bio Inc has an analyst consensus of Moderate Buy, with a price target consensus of $7.

See today’s analyst top recommended stocks >>

CareDx (CDNA)

In a report released today, Yi Chen from H.C. Wainwright reiterated a Buy rating on CareDx, with a price target of $43. The company’s shares closed last Monday at $23.62.

Chen noted:

“Our 12-month price target is based on an estimated market value of the firm at $1.83B, which includes a discounted cash flow analysis based asset value for pre- and post- transplant tests, using a 10% discount rate and 2% terminal growth rate, and assuming 43M shares outstanding as of mid-2020.”

According to TipRanks.com, Chen is ranked 0 out of 5 stars with an average return of -18.0% and a 34.2% success rate. Chen covers the Healthcare sector, focusing on stocks such as EyePoint Pharmaceuticals Inc, Stealth Biotherapeutics Corp, and Aerpio Pharmaceuticals Inc.

Currently, the analyst consensus on CareDx is a Strong Buy with an average price target of $50.50.

Spectrum Pharmaceuticals (SPPI)

In a report released today, Harshita Polishetty from B.Riley FBR reiterated a Buy rating on Spectrum Pharmaceuticals, with a price target of $18. The company’s shares closed last Monday at $8.12, close to its 52-week low of $6.22.

Polishetty wrote:

“Spectrum recently reiterated that data from the previously-treated exon 20 EGFR patient subset (cohort one) is on track to report data in 4Q19. As a reminder, Spectrum is investigating poziotinib in non-small cell lung cancer (NSCLC), specifically in patients harboring exon 20 mutations, which can be difficult to treat than some other forms of the disease. The company is conducting the ZENITH20 Phase II study in both treatment-naïve and previously-treated exon 20 NSCLC patients in cohorts one to four, which was recently expanded to include additional exploratory cohorts. We believe the data from cohort one will be instrumental for the company as it will set the tone for future exon 20 readouts (cohorts 2-4).”

According to TipRanks.com, Polishetty is a 4-star analyst with an average return of 27.7% and a 60.9% success rate. Polishetty covers the Healthcare sector, focusing on stocks such as Syndax Pharmaceuticals Inc, Karyopharm Therapeutics, and Mirati Therapeutics.

Currently, the analyst consensus on Spectrum Pharmaceuticals is a Moderate Buy with an average price target of $41, which is a 389.8% upside from current levels. In a report issued on August 9, H.C. Wainwright also maintained a Buy rating on the stock with a $41 price target.

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