Dr. Y. Katherine Xu, Analyst with William Blair & Co., says Ariad Pharmaceuticals, Inc. (ARIA) has the potential for 100% upside from current levels. She says the stock is being ignored by investors because its leukemia drug, Iclusig, was suspended from marketing because of safety issues, but has now been relaunched with some safety precautions.
“People felt that it was a tainted story,” Xu says. “But I think, in the end, this is the most potent drug for this particular leukemia, and after patients failed all the other therapies, the patients will come to this drug, and then with good management of side effects and effective dosage reduction, this drug should be used in most patients and make a difference.”
FOR MORE INFORMATION ON THIS INTERVIEW CLICK HERE.
Xu says she thinks Ariad’s sales from Iclusig could peak at $700 million. Since the stock has been ignored for quite some time, she says now is a good time to enter.
“Since the relaunch, a lot of doctors have been using the drug at lower doses, and it seems to be fine,” Xu says. “It’s basically about informing the market and practitioners and patients well about the safety profile and how to manage the adverse events. And then eventually, if you talk to doctors, they’re like well, after patients fail all the other therapies, this is the only option.”
Penn Capital Small Cap Portfolio Manager Sees Big Upside in His Stock Selections
December 10, 2018
Robert Bacarella Creates Big Upside for His Investors with His Long Term Stock Picks
April 29, 2019
Heikkinen Energy Advisors CEO Sees Big Upside to Oil Patch Stocks
February 08, 2021
Tesla Motors Inc (TSLA) has Potential for Upside Surprise
March 04, 2014
Potential Upside in Middle-Class Customer for Casual Dining
March 28, 2012
