Company

Bank

Analyst

Coverage

Opinion

Wk chg

1/6 cls

Aveo Pharmaceuticals Inc. (NASDAQ:AVEO)

RBC Capital Markets

Jason Kantor

Other

Market outperform

-19%

$13.97

Kantor reiterated his rating after Aveo reported that oral tivozanib met the primary endpoint of median progression-free survival vs. Nexavar sorafenib in the Phase III TIVO-1 trial to treat advanced renal cell carcinoma (RCC) (11.9 vs. 9.1 months) (see B12). Although the results are "positive," Kantor said, he believes the Street expected a PFS with tivozanib of at least 13 months. Aveo and partner Astellas Pharma Inc. (Tokyo:4503) plan to submit regulatory applications for tivozanib in the U.S. and EU this year. Tivozanib is an inhibitor of VEGF receptors 1, 2 and 3. Bayer AG (Xetra:BAY) and Onyx Pharmaceuticals Inc. (NASDAQ:ONXX) market Nexavar.

BioMimetic Therapeutics Inc. (NASDAQ:BMTI)

Wedbush

Gregory Wade

Downgrade

Neutral (from market outperform)

-30%

$2.00

Wade also removed his $14 target after BioMimetic said it received a response letter from FDA for a PMA for the company's Augment Bone Graft requesting additional information from a pivotal trial. The agency also asked for more information related to post-approval studies to monitor the product's cancer safety, as well as additional pharmacokinetic evaluations in humans. Augment Bone Graft is a combination of recombinant human platelet-derived growth factor BB (rhPDGF-BB) and a resorbable synthetic bone matrix. The company is seeking approval of the product as an alternative to autograft in hindfoot and ankle fusion procedures. BioMimetic plans to submit an amendment to the PMA by mid-year (see B10).