H.C. Wainwright initiated coverage of Esperion Therapeutics (NASDAQ:ESPR) with a “buy” rating and price target of $22. The stock closed at $4.57 on March 9.
Esperion is a commercial-stage company focused on development and commercialization of lipid lowering products.
Its two leading assets: NEXLETOL or NILEMDO (bempedoic acid or BDA) and NEXLIZET or NUSTENDI were approved by the FDA in February 2020 and the EMA in April 2020, respectively, as oral, once-daily, non-statin, LDL-C lowering medicines for patients with atherosclerotic cardiovascular disease or heterozygous familial hypercholesterolemia.
Analyst Emanuela Branchetti, Ph.D., writes that NEXLETOL and NEXLIZET are poised to address a significant unmet medical need accounting for approximately 8.7 million patients solely in the U.S.
In addition, Dr. Branchetti said Esperion is currently pursuing a label expansion with the CLEAR Outcomes trial, with topline data on track for the first quarter of 2023, which is testing the validity of BDA in reducing the risk of major adverse cardiovascular events in patients that are intolerant to any dose of statins.
“CLEAR Outcomes is expected to provide BDA with key clinical and payers visibility and further expansion of the target population,” she added.
NEXLETOL and NEXLIZET suffered from an unfortunate launch in March 2020 at the beginning of the pandemic, resulting in a suboptimal revenue performance, high spending and debt accumulation, and a restructuring and financing.
“At this stage, the greatly suppressed shares combined with a renewed commercial strategy, a management team experienced in the launch of CV drugs and significant market potential, reawaken a compelling opportunity within 12 months from a significant inflection point,” Dr. Branchetti said.
