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Coherus Biosciences retains Buy rating on strong launch progress

EditorNatashya Angelica
Published 30/05/2024, 19:56
CHRS
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On Thursday, Coherus Biosciences (NASDAQ:CHRS) maintained its Buy rating from TD Cowen, following a positive assessment of the company's recent product launch and pipeline development. The biopharmaceutical company, known for its work in biosimilar drugs, has been making strides with its product Loqtorzi and advancing its pipeline with several other potential treatments.

During TD Cowen's 5th Annual Oncology Innovation Summit, Coherus Biosciences' management shared updates on the progress of their products. The company's launch of Loqtorzi was highlighted as progressing well, with the potential for further growth through strategic partnerships. This positive outlook is a testament to the company's efforts in bringing their products to market effectively.

The company is also focusing on advancing its pipeline with Casdozokitug, CHS-114, and CHS-1000 as its top priorities. These developments are particularly significant as they shape the future trajectory of Coherus Biosciences' offerings in the pharmaceutical industry. The pipeline products, especially Casdozo, are being closely watched due to their potential market impact.

Casdozo, an anti-IL-27 antibody, is considered a potential first-in-class treatment. Its success hinges on the forthcoming clinical readouts expected over the next 12 to 18 months. Should these readouts be supportive, they could unlock significant value for the company and its stakeholders.

The reaffirmation of the Buy rating by TD Cowen underscores the confidence in Coherus Biosciences' strategic direction and the anticipated success of its product pipeline. The company's focus on innovation and partnerships is poised to enhance its position in the competitive biosimilar drug market.

InvestingPro Insights

In light of TD Cowen's reaffirmation of a Buy rating for Coherus Biosciences, recent data from InvestingPro provides additional context on the company's financial health and market performance. Coherus, with a market capitalization of $216.26 million, has experienced a significant revenue growth of 64.63% over the last twelve months as of Q1 2024.

This impressive growth is further highlighted by an even more robust quarterly revenue growth of 137.58% in Q1 2024. Despite these strong growth figures, the company's profitability remains a concern, as reflected by a negative P/E ratio of -3.23 and an adjusted P/E ratio of -1.21 for the same period.

InvestingPro Tips suggest that Coherus is quickly burning through cash and has seen its stock take a considerable hit over the last week, with a one-week price total return of -8.46%. Analysts remain cautious, not anticipating the company to be profitable this year, which aligns with the company's performance over the last twelve months. Moreover, Coherus does not pay a dividend, which might be a factor for income-focused investors to consider.

For investors and stakeholders looking to delve deeper into Coherus Biosciences' financials and market performance, InvestingPro offers further insights and tips. There are additional InvestingPro Tips available, which can be accessed for a more comprehensive analysis. Interested readers can take advantage of a special offer by using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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