Cantor starts Verona at Overweight, says momentum ‘just getting started’

Cantor Fitzgerald initiated coverage of Verona Pharma (VRNA) with an Overweight rating and $80 price target The firm considers Verona one of the best stories in biotech. The firm believes Ohtuvayre’s launch in chronic obstructive pulmonary disease is tracking very well, with the momentum “just getting started.” Ohtuvayre is getting credit for $2B in peak sales, but consensus is at $3B and Cantor is closer to $3.5B at peak, the analyst tells investors in a research note. The firm also has conviction in ensifentrine’s mechanistic and biologic rationale in bronchitis.