ALPMF - FibroGen rises as EU approval of Roxadustat prompts Raymond James upgrade

Raymond James has upgraded FibroGen (NASDAQ:FGEN) to market perform from underperform after the company joined Astellas Pharma (OTCPK:ALPMF) on Thursday to announce the European approval of EVRENZO (roxadustat) for adults with anemia linked to chronic kidney disease (CKD). FibroGen (FGEN) is trading ~5.5% higher in the pre-market. The approval removes any remaining regulatory risk, the analyst Danielle Brill wrote. However, he expects FibroGen (FGEN) shares to trade rangebound for the foreseeable future, arguing that the EU launch of the oral drug is unlikely to be a meaningful driver for shares. Brill also cites the drug's “modest” commercial opportunity in the region, which is already reflected in his model. Just last week, FibroGen (FGEN) received the FDA’s Complete Response Letter regarding its marketing application for Roxadustat for a similar indication. The FDA decision followed the failure of the drug to win the endorsement from an expert panel of the regulator in July.

For further details see:

FibroGen rises as EU approval of Roxadustat prompts Raymond James upgrade