Analyst Sits On Fence While Initiating Calliditas Citing ‘Near-Term Opportunity But Longer-Term Questions’

  • Guggenheim initiated coverage on Calliditas Therapeutics AB (NASDAQ: CALT) with a Neutral rating and an $18 price target.

  • The analyst is impressed with the data Tarpeyo has generated in Immunoglobulin A Nephropathy (IgAN) to date and the initial success the company has had with the commercial rollout of the product.

  • While the analyst commends the Calliditas team for their progress with Tarpeyo in IgAN, including obtaining FDA Accelerated Approval and EU Conditional Approval, it notes mixed physician feedback, with some agreeing Tarpeyo’s delayed-release mechanism provides value over a traditional steroid but others wondering if that value is worth the added cost.

  • Those doctors appear “more eager to use” endothelin receptor antagonists (ERAs) or more innovative approaches over time, added the analyst.

  • FY22 Tarpeyo sales reached $36.8 million. The analyst expects continued progress with the launch and estimates peak 2028 U.S. Tarpeyo sales of ~$350 million before losing exclusivity in 2029.

  • Price Action: CALT shares are up 2.90% at $19.50 on the last check Wednesday.

Latest Ratings for CALT

Date

Firm

Action

From

To

Dec 2021

HC Wainwright & Co.

Maintains

Buy

Jun 2020

Stifel

Initiates Coverage On

Buy

Jun 2020

Jefferies

Initiates Coverage On

Buy

View More Analyst Ratings for CALT

View the Latest Analyst Ratings

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This article Analyst Sits On Fence While Initiating Calliditas Citing ‘Near-Term Opportunity But Longer-Term Questions’ originally appeared on Benzinga.com

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Source: https://finance.yahoo.com/news/analyst-sits-fence-while-initiating-213355189.html