Bernstein analyst William Pickering maintained a Buy rating on Biohaven Ltd. (BHVN – Research Report) today and set a price target of $57.00.
William Pickering has given his Buy rating due to a combination of factors including the potential regulatory approval of Biohaven Ltd.’s SCA treatment and the long-term value of their degrader platform. Despite recent setbacks, such as the mixed results from the Ph1 MAD data and a failed bipolar trial, there is optimism surrounding the FDA’s acceptance of the SCA filing with priority review, which could significantly increase the stock’s value if approved.
Furthermore, while there are risks associated with the Kv7 MDD Ph3 trial, the potential upside of $15 per share outweighs the downside risk. The degrader platform, although requiring more time to realize its full potential, offers substantial future growth opportunities. Despite the current high cash burn and broad R&D program, the market may be underestimating the probability of SCA approval, which Pickering estimates at 75%. As a result, the price target has been adjusted to $57, reflecting a balanced view of the company’s prospects.
According to TipRanks, Pickering is an analyst with an average return of -2.7% and a 51.11% success rate. Pickering covers the Healthcare sector, focusing on stocks such as Vertex Pharmaceuticals, Biohaven Ltd., and Alnylam Pharma.