Ardelyx strength could be from Xphozah CMS appeal update, says Jefferies

Jefferies reiterated a Buy rating and $8 price target on Ardelyx (ARDX). The firm noted that the stock is trading 5%-10% higher Wednesday morning on a sizable volume, and that it’s unclear why. A potential reason could be from an update on the Xphozah CMS appeal, which Jefferies has been flagging as a significant call option not in buyside expectations, the analyst tells investors in a research note. The firm added that a new docket update this week set a date for oral arguments in September 25, and that a positive appeals decision by the end of the year could restore Part D for Xphozah and add a large growth driver for the stock.