Axsome Depression Drug's Commercial Success, Pipeline Potential Undervalued, Analyst Says
Portfolio Pulse from Vandana Singh
RBC Capital initiated coverage on Axsome Therapeutics Inc (NASDAQ:AXSM) with an Outperform rating and a price target of $126, citing underappreciated near-term revenue growth and pipeline potential. Auvelity, Axsome's drug for major depressive disorder, is expected to surpass consensus sales estimates in 2024 with $296 million. The company's preliminary Q4 2023 product revenue is approximately $71 million, with full-year revenue at $204 million. Auvelity and Sunosi are the main contributors to these figures. AXSM shares are currently down 1.17% at $90.71.
January 25, 2024 | 8:08 pm
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RBC Capital initiated coverage on Axsome with an Outperform rating and a $126 price target, highlighting strong growth prospects for Auvelity and the company's pipeline. Preliminary Q4 2023 revenue is reported at $71 million with full-year revenue at $204 million.
The Outperform rating and higher-than-consensus sales projection for Auvelity by RBC Capital suggest a positive outlook for AXSM's stock in the short term. The preliminary revenue figures for Q4 2023 further support the company's strong financial performance, which is likely to be well-received by investors.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100