Jefferies ups Orion to 'hold' on post 2025 growth potential
14/11/2023 11:28
** Jefferies upgrades Finnish drug maker Orion ORNBV.HE to
"hold" from "underperform", citing post 2025 growth driven by
cancer drugs Nubeqa and ODM-208, and easing of de-stocking
headwinds
** The broker says Nubeqa's strength in existing
indications, geographic expansion, and the easing
destocking/competitor headwinds to key franchise are key to
meeting Orion's 2025 target revenues of EUR 1.5 billion
** It ups the drug's peak in-market sales estimates to EUR
2.461 billion
** Jefferies expects de-stocking headwinds, impacting
entacapone products and animal health deliveries, to ease into
2024
** The broker points out that the impact of generic
competition on other products is also likely to stabilise
** In addition to Nubeqa and ODM-208, which is expected to
enter phase 3 of clinical trials by end of 2023, Jefferies sees
R&D investment in an innovative medicines pipeline offering
potential upside to current estimates
** Out of seven analysts covering Orion, five rate the stock
"strong buy" or "buy", one rates it "hold" and one rates it
"sell"
(Reporting by Elviira Luoma)
((Elviira.luoma@thomsonreuters.com))