Wk chg

8/9 cls

Acadia Pharmaceuticals Inc. (NASDAQ:ACAD)


George Zavoico


Hold (from buy)



Zavoico said 2Q13 was a "transformational quarter" and the company has now reached its fair value. He slightly raised his target to $20 from $18, noting a stronger balance sheet and an increase in pre-commercialization activities. In May, Acadia raised $107.9M in net proceeds from a follow-on, bringing the company's cash at June 30 to $205.5M, which Zavoico said "should be more than sufficient" to fund operations through FDA approval and launch of pimavanserin. In April, Acadia announced that FDA said existing data were sufficient to support an NDA for pimavanserin to treat Parkinson's disease psychosis (PDP) (see BioCentury, April 15). The company plans to submit the NDA for the small molecule serotonin (5-HT2A) receptor inverse agonist by year end 2014.

Actelion Ltd. (SIX:ATLN)


Guillaume van Renterghem


Buy (from neutral)



van Renterghem also raised his target to CHF82 from CHF65 on the belief that pulmonary arterial hypertension (PAH) product Opsumit macitentan is "unlikely to face" an FDA advisory committee meeting, given that the agency has not yet called for one. He increased his confidence to over 95% from 80% that FDA will approve the product by Oct. 19, and believes the label will not include a liver enzyme monitoring requirement. He expects peak sales of CHF2.4B ($2.6B) by 2023 for the tissue-targeting endothelin receptor antagonist. Actelion submitted the NDA last October and expects a 12-month review, which would put the undisclosed PDUFA date around October.