Ladenburg starts Cerecor at buy; PT $9
Ladenburg Thalmann launched coverage of Cerecor (NASDAQ:CERC) with a “buy” rating and $9 price target. The stock closed at $3.18 on Dec. 19.
Cerecor is an integrated biopharmaceutical company with marketed pediatric prescription products and a pipeline of neurological assets.
“We find Cerecor’s most valuable assets are its four ultra-rare, neurological assets acquired in its purchase of Ichorion Therapeutics in late September, along with four potential Priority Review Vouchers, which we estimate could be sold for more than $400-million plus royalties,” writes analyst Michael Higgins.
During the past year, he said Cerecor has completed asset acquisitions and divestitures, turned over its management and board, improved its balance sheet and started establishing an institutional shareholder base.
“We expect institutional interest in Cerecor’s four ultra-rare assets will increase in 2019, so we encourage investors to accumulate a position at these levels,” Mr. Higgins said.