Oppenheimer: 3 stocks that could jump more than 100% from current levels
September has been a wild ride of ups and downs so far. Following the recent wave of volatility, stocks rose again. But as uncertainty over another bailout and presidential election persists, where does the market go from here? Weighing in Oppenheimer, chief investment strategist John Stoltzfus argues that any decline in the market seems “relatively contained and orderly” and offers long-term investors the possibility of finding “babies that have been thrown out with the bathwater.” He noted, “For nervous investors, the recent downside has offered the opportunity to take profit without FOMO (fear of missing out).” As for the tech heavyweights that propelled the market’s five-month load, the strategist believes that “current expectations for stocks will remain under pressure for a while seem exaggerated. Stoltzfus adds that “the core of tech stocks did not appear to be very high in price as technological and innovation developments have yet to show signs of leveling off in the current cycle.” Taking into account Stoltzfus’ outlook, we focused on Oppenheimer’s actions. analysts are optimistic. Company pros see triple-digit upside potential in-store for three tickers in particular. By browsing through the names in TipRanks’ database, we wanted to find out what makes them so compelling. MediWound Ltd. (MDWD) By developing cutting-edge products, MediWound aims to address unmet needs in the areas of severe burn and chronic wound management. With a major government contract secured, Oppenheimer has high hopes for the name. In January, the MDWD announced that the Biomedical Advanced Research and Development Authority (BARDA) had entered into a contract to purchase $ 16.5 million from NexoBrid, its medicine for pressure ulcer in adults with partial, full-thickness deep thermal burns (a process called debridement), for an emergency reserve. According to management, the first delivery is scheduled for the third quarter of 2020. In addition to this, the company has applied for a NexoBrid Biologics (BLA) license with the FDA for the removal of pressure sores in adults with thermal burns. deep partial thickness and full thickness in June. . MDWD’s US business partner Vericel is preparing for an immediate launch upon approval. Representative Oppenheimer, 5-star analyst Kevin DeGeeter points out that “given the participation of three parties – MDWD, US Business Partner Vericel and financial partners of BARDA – and was completed against the backdrop of work-from-home assignments in the public sector, we see meeting deadlines as an important milestone and a derisory event for MDWD actions … we believe NexoBrid is on the right track for the launch of 1H21. approved, MDWD is entitled to a milestone payment of $ 7.5 million from Vericel. “We believe the combination of existing cash and the $ 7.5 million milestone payment from VCEL after NexoBrid approval should fund operations at least in 2H23,” added DeGeeter. DeGeeter also points out that MDWD plans to open 25 to 30 sites in the United States and Israel to support the Phase 2 study of EscharEx, its chronic wound product. Although COVID-19 has caused a delay, the analyst believes “the current 1H21 timeline is achievable”. To this end, DeGeeter awards MDWD an outperformance with a price target of $ 7. If his thesis materializes, a potential gain of 117% over twelve months could be envisaged. (To see DeGeeter’s track record, click here) Overall, other analysts echo DeGeeter’s sentiment. 4 buys and no hold or sell add up to a Strong Buy consensus rating. With an average price target of $ 6.63, the upside potential stands at 106%. (See MDWD stock analysis on TipRanks) UroGen Pharma (URGN) Mainly focused on uro-oncology, UroGen Pharma develops advanced non-surgical treatments to improve the lives of patients. As the launch of one of its products progresses well, Oppenheimer believes the time has come to get on board. Writing for the firm, analyst Leland Gershell highlights UGN-101 as a key part of his thesis. bullish. UGN-101, which has now been officially launched in the United States under the trade name Jelmyto, was designed as a treatment for low-grade upper urothelial carcinoma (LG UTUC). The analyst points out that the launch of Jelmyto is already off to a good start, as eight patients had received 20 doses of the drug in June. “Jelmyto’s sales were $ 371,000 in its first month of launch, but management commentary was more important than over 100 urology practices. sites are ready to receive treatment for the product and patient demand has not been visibly affected by COVID-19, ”Gershell explained. Adding to the good news, the permanent C and J codes, expected in October and January 2021, respectively, could support sales, according to Gershell. The label may also be updated to reflect completed OLYMPUS data. It should be noted that patient and physician engagement may remain diminished until YE20 and restrictions on elective surgeries may persist, according to Gershell. That said, he argues that “LG UTUC’s lack of surgical urgency could mean postponing treatment for several months, while Jelmyto’s ability to be administered on an outpatient basis could speed up treatment, promoting adoption.” If that wasn’t enough, UGN-102, its mitomycin gel, which targets low-grade, intermediate-risk muscle non-invasive bladder cancer (LG IR-NMIBC), is expected to enter pivotal testing before the end of 2020. Based on previously published data, therapy achieved a 65% complete response (CR) at three months after initiation of treatment. “To offset any potential impact of COVID-19 on recruitment, URGN has increased the number of clinical trial sites outside the United States, in countries where clinical delays related to the virus have not occurred.” , Gershell added. commented, “We believe that the stocks are trading at a discount to the value of Jelmyto and UGN-102, and that income growth will support the rise in stocks over the next 12 months.” To that end, Gershell stands alongside the Bulls, reiterating a note of outperformance. At $ 48, its price target takes the upside potential to 123%. (To see Gershell’s record, click here) What is the rest of the street saying? 3 buy and 1 hold ratings were issued in the last three months. As a result, URGN receives a Strong Buy consensus rating. Additionally, the average price target of $ 44 suggests upside potential of 104%. (See URGN stock analysis on TipRanks) Ayala Pharmaceuticals Inc. (AYLA) Finally, we have Ayala Pharmaceuticals, which focuses on the development of targeted therapies for cancers in which activation of Notch is a known tumor driver. Based on the progress of its development pipeline, Oppenheimer sees big gains in store. Oppenheimer analyst Jay Olson believes AYLA’s technology makes it a standout product. Its two candidates, AL101 and AL102, which are licensed from Bristol Myers, are gamma-secretase inhibitors that target the aberrant activation of Notch signaling in cancer cells.Notch signaling plays an important role in the normal development of cancer cells. cells and disturbances can cause malignant transformation. . “We believe that Notch’s targeted therapies hold promise in addressing unmet clinical needs,” commented Olson. The analyst added, “The Notch mutational landscape is diverse and the underlying science is evolving. AYLA is building a bioinformatic database around Notch to better characterize and identify mutations activating Notch. In addition, AYLA is working with partners to develop diagnostic tests for Notch activating mutations, both at the DNA and RNA level. We believe these initiatives benefit AYLA in the long term by identifying stakeholders and expanding the population of addressable patients. Despite the challenges presented by COVID-19, critical enablers remain on track. The company is about to present new interim data from the open-label Phase 2 ACCURACY study of AL101 in R / M ACC in the mini-head and neck cancer section of ESMO. Looking at the available data, a recent interim analysis in one cohort showed 69% DCR, while for the second cohort, it evaluates a 6 mg once-weekly dose of AL101. “We consider the efficacy and safety data from the 6 mg dosing cohort to be important for studies allowing registration, and we anticipate an intermediate data readout similar to 1H21,” said Olson. Adding to the good news, AYLA is on the right track to get the patient started. assay in the TENACITY phase 2 study of AL101 in R / M TNBC by YE20 after IND was cleared by the FDA in April. In 2021, AYLA plans to launch two more Phase 2 studies, including AL102 for desmoid tumors and AL101 for r / r T-ALL. data expected mid-2021, which should provide a read-across of AYLA’s AL102 program, ”noted Olson. In view of all of the above, Olson said, “We are encouraged by the benefits of AYLA in several dimensions, including its drug candidates, the selection of cancer indications and focus on identifying activating mutations. Notch while developing diagnostics. AYLA’s targeted Notch approach is expected to address the unmet clinical needs of patients with rare but aggressive cancers. So it’s no surprise that Olson stayed with the bulls. To that end, he maintained an outperformance rating and a target price of $ 23 on the stock, implying a potential upside of 123%. (To see Olson’s track record, click here) Looking at the Consensus Breakdown, 2 buys and 1 wait were posted in the past three months. Therefore, AYLA obtains a moderate purchase consensus rating. Based on the average price target of $ 19.83, stocks could climb 92% next year. (See AYLA Stock Analysis on TipRanks) To get great ideas for stocks traded at attractive valuations, visit TipRanks Best Stocks to Buy, a newly launched tool that brings together all the information about TipRanks stocks. those of featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.