Company

Bank

Analyst

Coverage

Opinion

Wk chg

8/15 cls

Achillion Pharmaceuticals Inc. (NASDAQ:ACHN)

Piper Jaffray

Edward Tenthoff

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Overweight (from neutral)

26%

$9.25

Wells Fargo

Brian Abrahams

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Outperform (from market perform)

Tenthoff raised his target to $10 from $5 ahead of multiple HCV data readouts expected this fall, including a Phase I of ACH-3422 and a Phase II of ACH-3102 in combination with Sovaldi sofosbuvir, a nucleotide analog HCV NS5B polymerase inhibitor from Gilead Sciences Inc. (NASDAQ:GILD). ACH-3422 is a small molecule nucleotide prodrug inhibitor of HCV NS5B polymerase and ACH-3102 is a pan-genotypic, second-generation HCV NS5A protein inhibitor. Tenthoff also raised his valuation of Achillion's HCV franchise to $918M from $448M. He sees the company as a potential M&A target this fall. Tenthoff issued his report prior to Achillion announcing interim Phase II data Friday that showed all 12 treatment-naïve patients with genotype 1 infection receiving ACH-3102 and Sovaldi had a sustained virologic response four weeks (SVR4) after the end of treatment.