Xoma initiated with a Buy at Lucid Capital

Lucid Capital initiated coverage of Xoma (XOMA) with a Buy rating and $76 price target The company has assembled a royalty portfolio from six commercial and nine Phase 3- stage small molecule and biological assets, the analyst tells investors in a research note. The firm says Xoma expects to collect over $1B in milestones and royalties over the next 15 years. Lucid believes that by building a diversified portfolio, the company mitigates single-asset risk while retaining exposure to substantial long-term value creation.