- Mizuho Securities launched its coverage on COVID-19 vaccine developer Ocugen ( NASDAQ: OCGN ) with a Buy rating on Tuesday, citing a favorable risk/reward profile ahead of a key data readout for the company’s eye disease candidate OCU400.
- While investors have focused on OCGN’s COVID-19 vaccine candidate COVAXIN which is undergoing a U.S. Phase 2/3 trial, it’s also advancing the gene therapy candidate OCU400 in another U.S.-based Phase 1/2 clinical trial for certain patients with retinitis pigmentosa.
- “While the lead asset COVAXIN (a COVID-19 vaccine) offers potential near-term cash flow to help offset operational costs, we believe the more significant value driver is OCU400....” the analyst Uy Ear wrote.
- Ear thinks that OCGN’s current share price mainly reflects the value of Covaxin and implies a “little-to-no” value for OCU400.
- Citing a positive risk-reward setup ahead of the first human efficacy data for OCU400 from the Phase 1/2 study in the first half of 2023, the analyst issues a $5 per share target for the stock.
- Despite losing more than two-thirds of its value over the past 12 months, OCGN has garnered positive views from Wall Street with five Buy ratings, one Hold rating, and no Sell ratings.
For further details see:
Ocugen initiated with Buy at Mizuho citing favorable setup ahead of key readout