Ladenburg Thalmann initiated coverage of Palatin Technologies (NYSE MKT:PTN) with a “buy” rating and $3 price target. The stock closed at $1.05 on June 26.
Palatin’s lead asset, bremelanotide (BMT), is a melanocortin receptor agonist under review for hypoactive sexual desire disorder (HSDD) treatment in premenopausal women.
“Following positive results across-the-board in multiple Phase 2 and 3 trials, BMT’s NDA is expected to be reviewed by a FDA advisory committee in early 2019, with a March 23, 2019 PDUFA date,” writes analyst Michael Higgins.
Palatin has secured AMAG Pharmaceuticals to market BMT in North America with its OB/GYN-focused sales forces of about 300 reps.
“With most of Asia’s rights also secured, we are looking for a European partner to join these global efforts by mid-2020,” Mr. Higgins said. Ahead of trials in Europe, “our risk-adjusted value from a European partner is about 50% of the U.S. opportunity, or $271-million,” he added.
