Noble starts Dyadic at OP; PT $4

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Noble Capital Markets initiated coverage of Dyadic International (OTC:DYAI) with an “outperform” rating and price target of $4. The stock closed at $1.96 on Jan. 9.

Over the past two decades, Dyadic has developed an industrially proven expression system based on the fungus, Myceliophthora thermophile, or C1.The C1 technology is a robust and versatile fungal expression system for gene discovery, development and production of enzymes and other proteins.

Analyst Ahu Demir writes that the company's development of biological vaccines and drugs holds the potential to improve production and cost efficiency of existing agents. This technology can be applicable to vaccines, virus like particles, monoclonal antibodies, bi-specific antibodies, Fc-fusion and Fab proteins, he added.

“We anticipate that advancing the current programs into in vivo studies, then human trials will bring opportunity for validation of this technology in the biologics market, hence providing value expansion and establishing additional collaborations with pharmaceutical companies,” Mr. Demir said.

Stephen Kilmer