Exelixis (EXEL – Research Report), the Healthcare sector company, was revisited by a Wall Street analyst today. Analyst Silvan Tuerkcan from JMP Securities maintained a Buy rating on the stock and has a $41.00 price target.
Silvan Tuerkcan has given his Buy rating due to a combination of factors that highlight the growth potential of Exelixis. The recent FDA approval of cabozantinib for treating neuroendocrine tumors (NETs) in both adults and pediatric patients over 12 years old is a significant driver of near-term revenue growth for the company. Exelixis anticipates that this approval will help their sales reach a peak of $3 billion, up from the current $2 billion, by 2025.
Furthermore, the approval was granted ahead of schedule, which underscores the strong results from the CABINET Phase 3 trial. The company is well-prepared for a swift market launch, leveraging existing relationships with healthcare providers who already use cabozantinib. The broader market for NETs, including the potential in the radioligand space, is expected to grow significantly, providing additional upside. These factors collectively contribute to the positive outlook and the Buy rating assigned by Tuerkcan.
Tuerkcan covers the Healthcare sector, focusing on stocks such as Exelixis, Solid Biosciences, and Jasper Therapeutics. According to TipRanks, Tuerkcan has an average return of -2.8% and a 33.33% success rate on recommended stocks.
In another report released today, Citi also maintained a Buy rating on the stock with a $45.00 price target.