Share Prices & Company Research

Market News

29 Jul 2020 | 15:00

Liberum raises target price on 'underappreciated' PureTech Health

(Sharecast News) - Analysts at Liberum raised their target price on biotechnology company PureTech Health from 450.0p to 490.0p on Wednesday, stating the firm had made some "underappreciated" progress. Liberum said PureTech and its affiliates had made "huge progress" over the last 18 months, pointing to the group's ability to secure two product approvals and launch a successful initial public offering.

The analysts stated that the company, which was now turning its development expertise to its internal pipeline, also holds "significant promise".

However, Liberum said that value creation was not reflected in PureTech's share price but acknowledged that its new sum of the parts share price estimate offered over 80% upside from current levels.

But Liberum did also note that progress at affiliate companies, like Vedant, and in its internal pipeline should close this gap over the next year.

"Following the demonstrated success of PureTech's strategy across its affiliate portfolio, notably through the IPO of Karuna and positive commercialisation of two products, the company is shifting its focus towards the internal pipeline to leverage its skills and maximise returns," said the analysts, who also reiterated their 'buy' rating on the group.

"We have analysed the clinical asset LYT-100 and pre-clinical project galectin-9 mAb. We conclude that both are high-potential projects, targeting areas of significant unmet needs. In particular, LYT-100 will be a key testing ground for the internal strategy and we estimate a conservative risk-adjusted valuation of $35m."
Get in touch today
Join Redmayne Bentley
Talk to us now about opening a new account or transferring your account from another provider
0113 243 6941
Get in touch today
Contact your local office
Contact your local office to find out more
The value of your investments and the income from them may go down as well as up, and you could get back less than you invested.
Continuing our Personal Service: View our Latest COVID-19 Update: 15th January 2021
We use cookies on this site to improve your experience and help us provide you with a better website. An explanation of the cookies we use and their purpose can be found within our Cookie Policy. Your continued use of this site means you consent to the use of cookies.