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Intercept Pharmaceuticals (ICPT) Continues to Soar

By  +Follow January 10, 2014 6:50AM
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Shares in biopharmaceutical company Intercept Pharmaceuticals (ICPT) spiked over 70 percent Friday before pulling pack to gains of around 60 percent, one day after shares soared more than 280 percent. Thursday brought news that the company’s lead drug candidate obeticholic acid (OCA) had proven so effective in treating patients with nonalcoholic steatohepatitis (better known as fatty liver disease) that Intercept’s FLINT trial was halted early because it had already met its primary efficacy endpoint.

Friday’s new spike appears to have been driven by a raft of new analysts upgrades, many of which involved increasing price targets by more than $200 a share. This new surge in buying saw volume well over ten times the previous daily average and exceeding 25 percent of the stock’s total float.

All told, Intercept is up over 550 percent in the last two days alone, boosting the 45-person company’s market cap by about $7.5 billion in 48 hours.

Analysts Show the Love

Among those analysts who made dramatic increase in their price targets for Intercept were Citigroup, which went from $60 to $400, Oppenheimer, which went from $94 to $360, and Needham, who went from $55 to $320.

Merrill Lynch, though, took the cake, boosting their target from $81 to $872.

Driving this newfound optimism for Intercept’s future is the size of the market involved. Fatty liver disease is an increasingly common problem that currently lacks a strong treatment, so the first firms to present a commercially available drug stand to profit considerably.

Citigroup’s Jonathan Eckard and Yaron Werber explained their massive upgrade:

“It is estimated ~10-15 percent of the US population has some level of early stages of NASH (inflammation and fibrosis of the liver) and ~6 million (in the US alone) of these have a more advanced form of NASH preceding liver cirrhosis. NASH is becoming recognized as a leading cause of liver transplants in the western world. There are no approved drugs for treatment, and OCA is the first agent to show a benefit here and is now positioned to establish itself as the standard of care. Also liver fibrosis has long been a target for large pharma/biotech and the scarcity of other drugs makes [Intercept Pharmaceuticals] an attractive acquisition target…

“We are buyers of [Intercept Pharmaceuticals], and see value left on the table despite yesterday’s ~300 percent gain on positive NASH…data for lead agent obeticholic acid (OCA). In our view [Intercept Pharmaceuticals'] ~$5.4 billion market cap doesn’t reflect the multi-billion dollar NASH opportunity. A “back of the envelope” valuation applying a common biotech of 4x sales multiple projects <$1.5 billion in OCA sales. We believe this meaningfully underestimates the drug’s potential that we expect could top >$5 billion/yr.”

GALT, CNAT Lifted With Rising Tide

The huge two-day run for Intercept has also boosted the fortunes for other companies working on similar treatments for liver disease.

Galectin Therapeutics (GALT) has seen shares nearly double in value over the last two days, and Conatus Pharmaceuticals (CNAT) has shot up over 130 percent over the same time period.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer


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Results for icpt
Breaking News
5 Jul 15 11:19:05
$ICPT $VZ: Don't Miss: Intercept Pharmaceuticals, Inc. (NASDAQ:ICPT), Verizon ...: http://t.co/IdjS9b4u77
James DiPlata
5 Jul 15 10:43:44
RT @bosocial: $AAPL $CNAT $ICPT http://t.co/XG5hVFJGig http://t.co/XG5hVFJGig http://t.co/XG5hVG1h9O
Jason
5 Jul 15 10:18:20
RT @ohmsonite: FDA Accelerated Approval summary and updated FDASIA act. Applicable to $ICPT $SRPT http://t.co/xLBRHJXaFB
ohmsonite
5 Jul 15 09:51:54
FDA Accelerated Approval summary and updated FDASIA act. Applicable to $ICPT $SRPT http://t.co/xLBRHJXaFB
binaryoptionsocial
5 Jul 15 09:51:44
$AAPL $CNAT $ICPT http://t.co/XG5hVFJGig http://t.co/XG5hVFJGig http://t.co/XG5hVG1h9O
binaryoptionsocial
5 Jul 15 09:35:59
$AAPL $CNAT $ICPT http://t.co/XG5hVFJGig http://t.co/XG5hVFJGig
binaryoptionsocial
5 Jul 15 09:20:29
$AAPL $CNAT $ICPT http://t.co/XG5hVFJGig
Russell Barbour
5 Jul 15 09:15:35
$AAPL $CNAT $ICPT
Dakota Financial
5 Jul 15 07:54:04
Brokerages Set Intercept Pharmaceuticals Target Price at $374.77 $ICPT http://t.co/PX8xR5Z1jw
Breaking News
5 Jul 15 07:44:02
$ICPT: Brokerages Set Intercept Pharmaceuticals Target Price at $374.77 ...: http://t.co/ovx0e49QwD
new york mike
5 Jul 15 06:20:28
RT @TipRanksFeed: Upcoming catalysts in the biotech sector: $ICPT $RCPT $XOMA http://t.co/M2HjI5Uvxy #WallStreet #Stocks #nasdaq
TipRanks Live Feed
5 Jul 15 05:44:28
Upcoming catalysts in the biotech sector: $ICPT $RCPT $XOMA http://t.co/M2HjI5Uvxy #WallStreet #Stocks #nasdaq
TipRanks
5 Jul 15 05:44:23
Upcoming catalysts in the biotech sector: $ICPT $RCPT $XOMA http://t.co/ycHiigSv0F #WallStreet #Stocks #NASDAQ
WKRB News
5 Jul 15 04:43:20
Intercept Pharmaceuticals Earns Outperform Rating from Oppenheimer $ICPT http://t.co/BFV8jG4F3Z
Breaking News
5 Jul 15 04:36:03
$ICPT: Intercept Pharmaceuticals Earns Outperform Rating from ...: http://t.co/zGNO4VLkf5
TimeForGrowth
5 Jul 15 00:15:05
$ICPT: Wall Street analysts bullish on ICPT's earnings growth: http://t.co/hfLijOn9jc http://t.co/Ulf3mBeqvA
PennyStock Zone
4 Jul 15 17:06:41
http://t.co/T1OENoRe1I <- Fous4x2 review invest in your #trading education! $ABEV $ICPT $AA $AMBA #stocks $FB $TWTR
BKCampion
4 Jul 15 09:20:08
RT @PDRennert: Obesity rates & NASH climbing steadily http://t.co/iboCauUO6x 20+ drugs in development #simtuzumab #BMS-986036 etc $GILD $IC…
dougheuring
4 Jul 15 06:47:27
@dougheuringaria $ICPT target 375 http://t.co/Fi7zb1giWz
dougheuring
4 Jul 15 06:45:54
Oppy $ICPT http://t.co/0e6wW1GllY
The Legacy News
4 Jul 15 06:42:35
Oppenheimer Reiterates “Outperform” Rating for Intercept Pharmaceuticals $ICPT http://t.co/Y7oahf4uBW
PennyStock Zone
3 Jul 15 17:06:13
http://t.co/AAlC0qe2S2 <-- Checkout my blog on how to make money trading #stocks $UUP $HABT $MR $ICPT $DUST
PennyStock Zone
3 Jul 15 16:45:11
***REVIEW***: Super Alerts on http://t.co/1EZI2QzXvA stock picking service: http://t.co/wQ3KRVR57k $CBI $MA $V $ICPT $DECK
Gooser
3 Jul 15 14:01:04
RT @dougheuringaria: Cowen Stocks Most Loved By The Buyside Stocks Most Hated By The Buyside $BLUE $CEMP $KITE $DVAX $RARE $ICPT http://t.c…
Sleek Money
3 Jul 15 11:20:30
Intercept Pharmaceuticals Receives Outperform Rating from Oppenheimer $ICPT http://t.co/LmevlS9VWz
Penny Stock
3 Jul 15 11:16:33
$AAPL $CNAT $ICPT
ProVesting
3 Jul 15 11:14:02
$ICPT: Intercept Pharmaceuticals Receives Outperform Rating from ...: http://t.co/OSmexRi5Zr
InvestWithConf
3 Jul 15 11:10:02
$ICPT is rated BUY, 73.3% upside by Wall Street analysts based on average ratings/targets http://t.co/JJdID1331x http://t.co/1iUUSDCgVB
Keith Robison
3 Jul 15 10:44:31
RT @PDRennert: Obesity rates & NASH climbing steadily http://t.co/iboCauUO6x 20+ drugs in development #simtuzumab #BMS-986036 etc $GILD $IC…
V.S. Schulz
3 Jul 15 09:34:29
RT @dougheuringaria: Cowen Stocks Most Loved By The Buyside Stocks Most Hated By The Buyside $BLUE $CEMP $KITE $DVAX $RARE $ICPT http://t.c…
S Manian
3 Jul 15 09:22:50
Most Hated/Worsened Sentiment list nice bargain buyops :-) $AKAO $XNPT $AAVL $ICPT $MDVN $RGLS https://t.co/6oH3NrmM4Y
Paula Treneer
3 Jul 15 09:19:46
RT @dougheuringaria: Cowen Stocks Most Loved By The Buyside Stocks Most Hated By The Buyside $BLUE $CEMP $KITE $DVAX $RARE $ICPT http://t.c…
Lu
3 Jul 15 08:46:34
RT @PDRennert: Obesity rates & NASH climbing steadily http://t.co/iboCauUO6x 20+ drugs in development #simtuzumab #BMS-986036 etc $GILD $IC…
Lu
3 Jul 15 08:41:28
RT @dougheuringaria: Cowen Stocks Most Loved By The Buyside Stocks Most Hated By The Buyside $BLUE $CEMP $KITE $DVAX $RARE $ICPT http://t.c…
Jared Jacobs
3 Jul 15 08:33:29
RT @dougheuringaria: Cowen Stocks Most Loved By The Buyside Stocks Most Hated By The Buyside $BLUE $CEMP $KITE $DVAX $RARE $ICPT http://t.c…
Bio Stocks™
3 Jul 15 08:30:04
RT @dougheuringaria: Cowen Stocks Most Loved By The Buyside Stocks Most Hated By The Buyside $BLUE $CEMP $KITE $DVAX $RARE $ICPT http://t.c…
TimeForGrowth
3 Jul 15 07:57:02
$ICPT: Wall Street analysts bullish on ICPT's earnings growth: http://t.co/hfLijOn9jc http://t.co/SnetxHt0GZ
Breaking News Now
3 Jul 15 07:44:03
$ICPT: Intercept Pharmaceuticals Earns Hold Rating from MLV & Co. (ICPT): http://t.co/e14B9urK4i
The Legacy News
3 Jul 15 07:42:41
Intercept Pharmaceuticals Earns Hold Rating from MLV & Co. $ICPT http://t.co/eWgigYMeAF
Samuel Brown
3 Jul 15 07:42:31
$ICPT MLV Offers Commentary on Intercept Pharmaceuticals Inc Following Updates on ... http://t.co/qzvzGPQzhQ
Trader
3 Jul 15 07:06:09
RT @TomSilver39: Citi Top Picks In Global Pharma / Biotech names: $XLRN $LIFE $ESPR $ICPT $NVAX $RPTP $BMY $TEVA ... http://t.co/jW9eFFncpQ
Helen Ong
3 Jul 15 06:47:18
A new NASH review separate from the one published in Nature this week. $ICPT $GNFT $GILD https://t.co/KOrdOiBDE3
Bleecker
3 Jul 15 06:45:01
RT @TomSilver39: Citi Top Picks In Global Pharma / Biotech names: $XLRN $LIFE $ESPR $ICPT $NVAX $RPTP $BMY $TEVA ... http://t.co/jW9eFFncpQ
Subramania Kaushik
3 Jul 15 06:38:01
RT @TomSilver39: Citi Top Picks In Global Pharma / Biotech names: $XLRN $LIFE $ESPR $ICPT $NVAX $RPTP $BMY $TEVA ... http://t.co/jW9eFFncpQ
Rosana Kapeller
3 Jul 15 06:34:30
RT @PDRennert: Obesity rates & NASH climbing steadily http://t.co/iboCauUO6x 20+ drugs in development #simtuzumab #BMS-986036 etc $GILD $IC…
V.S. Schulz
3 Jul 15 05:10:48
RT @RatingsNetwork: Intercept Pharmaceuticals's outperform rating reiterated at Oppenheimer. $375.00 PT. http://t.co/dtkU6gocNi $ICPT #ICPT
V.S. Schulz
3 Jul 15 05:10:41
RT @TomSilver39: Citi Top Picks In Global Pharma / Biotech names: $XLRN $LIFE $ESPR $ICPT $NVAX $RPTP $BMY $TEVA ... http://t.co/jW9eFFncpQ
V.S. Schulz
3 Jul 15 05:05:53
RT @PDRennert: Obesity rates & NASH climbing steadily http://t.co/iboCauUO6x 20+ drugs in development #simtuzumab #BMS-986036 etc $GILD $IC…
Mark Punyanitya
3 Jul 15 05:00:34
RT @PDRennert: Obesity rates & NASH climbing steadily http://t.co/iboCauUO6x 20+ drugs in development #simtuzumab #BMS-986036 etc $GILD $IC…
Jeb Keiper
3 Jul 15 04:45:42
RT @PDRennert: Obesity rates & NASH climbing steadily http://t.co/iboCauUO6x 20+ drugs in development #simtuzumab #BMS-986036 etc $GILD $IC…
				
				
By  +Follow January 10, 2014 6:50AM
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