AVDL - Avadel spikes as Oppenheimer says selloff is overdone

Dublin, Ireland-based Avadel Pharmaceuticals (NASDAQ:AVDL) has added ~45% in the pre-market Friday on above-average volume after Oppenheimer defended the stock following a sharp decline. The company shares plunged on Thursday in reaction to a regulatory update on a patent issue related to its marketing application for sleep disorder drug FT218. However, Avadel (AVDL) anticipates full approval for FT218 on or before the expiration of the REMS patent on June 17, 2023. Last year, the company failed to win FDA approval for FT218 by the previously issued PDUFA target action date on October 15. “While disappointed in the approximately one-year delay in launch, we are encouraged to finally have color on FT218's approvability as well as a timeline for potential final decision,” Oppenheimer noted. Given the clarity on the path to FT218 approval, the analysts noted that the stock reaction was overdone. They maintained the Outperform rating on Avadel (AVDL), and the price target lowered

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Avadel spikes as Oppenheimer says selloff is overdone