Stifel reduced its price target for Acorda Therapeutics (NASDAQ:ACOR) to $1 from $2.50 and maintained its “hold” rating, citing lower than expected first quarter revenue for its Inbrija inhaled formulation of levodopa for the treatment in OFF episodes in patients with Parkinson’s disease. The stock closed at 94 cents on May 5.
“This, along with the withdrawal of Inbrija guidance, doesn’t come as a big surprise, given the ongoing pandemic, which may have the most significant impact on the second quarter,” writes analyst Paul Matteis.
Looking ahead, Acorda is working hard on “increasing patient awareness, and in our opinion, enhancing access and facilitating reimbursement may be the biggest determinants of if/when/by how much the launch [of Inbrija] may inflect,” he added.
On a conference call, the company expressed enthusiasm for a number of initiatives to boost Inbrija utilization, “though seeing the fruits of this may take time, given the pandemic,” Mr. Matteis said.
“Ampyra, meanwhile, remains somewhat resilient all things considered,” he added. Ampyra is indicated to improve walking in patients with multiple sclerosis.
While Ampyra’s commercial success has exceeded expectations, Mr Matteis said Acorda is now in a transitional state as the company, while still attempting to extend the drug’s life-cycle, is simultaneously preparing for the impact of cheaper generic versions of Ampyra and subsequent market disruption.
