Goldman Sachs analyst Paul Choi has maintained their bearish stance on PTCT stock, giving a Sell rating on January 18.
Paul Choi has given his Sell rating due to a combination of factors that are likely to impact PTC Therapeutics negatively. The Committee for Medicinal Products for Human Use (CHMP) in the European Union has decided to uphold their negative stance on renewing the marketing authorization for PTC Therapeutics’ drug, Translarna. This decision is in line with expectations and will result in the removal of the product from the European market in the second quarter of 2024. Choi believes that this event, along with other issues, presents ongoing risks to the consensus sales estimates for the years 2024 to 2026.
The financial forecast for PTC Therapeutics is further challenged by the competition from generic versions of Emflaza and Agamree, which are expected to affect the company’s market share and revenue. With these competitive pressures anticipated to intensify, and with the recent CHMP decision as a backdrop, Choi predicts that the company’s stock will likely face downward pressure. This outlook is based on the assumption that the lower end of the sales guidance for 2024 will now become the more probable scenario for PTC Therapeutics, as the company navigates its changed market position and increased competition.
In another report released on January 18, Citi also assigned a Sell rating to the stock with a $17.00 price target.
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PTC Therapeutics (PTCT) Company Description:
PTC Therapeutics, Inc. is a biopharmaceutical company, which engages in the discovery and commercialization of clinically-differentiated medicines. It focuses on the development of new treatments for multiple therapeutic areas, including rare diseases and oncology. The company was founded by Allan Steven Jacobson and Stuart W. Peltz on March 31, 1998 and is headquartered in South Plainfield, NJ.
Read More on PTCT:
- Citi opens ‘negative catalyst watch’ on PTC Therapeutics into EU decision
- PTC Therapeutics Provides an Update on Commercial Progress and R&D Pipeline at 42nd Annual J.P. Morgan Healthcare Conference
- PTC Therapeutics sees FY24 revenue $600M-$850M, consensus $652.89M
- PTC Therapeutics announces 2024 potential key clinical, regulatory events
- PTC Therapeutics sees FY23 revenue about $946M, consensus $936.85M
