JAZZ - Jazz Pharmaceuticals benefitting from Avadel's daytime sleepiness drug delay

A delay in approval of Avadel Pharmaceuticals (NASDAQ:AVDL) FT218 for daytime sleepiness and cataplexy is seen as a boon for rival Jazz Pharmaceuticals (NASDAQ:JAZZ). The delay, due to a REMS patent, is an "incremental positive" for Jazz Pharmaceuticals, said Goldman Sachs analyst Madhu Kumar as it will allow the company to convert more patients to Xywav from Xyrem, both oxybate treatments for excessive sleepiness. He has a neutral rating on Jazz. Stifel downgraded Avadel (AVDL) to hold from buy, as the market for FT218 will be even more competitive/challenging next year. The firm lowered its price target to $2 from $9 (~40% downside based on Wednesday's closing price). Seeking Alpha's Quant Rating views Jazz (JAZZ) as a hold.

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Jazz Pharmaceuticals benefitting from Avadel's daytime sleepiness drug delay