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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.


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Results for icpt
Aryan Oberoi
23 Nov 14 19:43:40
HolyShit Investments of the year: $GPRO $VA $ICPT $NFLX $CMG $IBN
PennyStock Zone
23 Nov 14 14:25:17
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
PennyStock Zone
23 Nov 14 04:51:23
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
PennyStock Zone
23 Nov 14 03:21:38
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
PennyStock Zone
22 Nov 14 20:24:00
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
PHARMD
22 Nov 14 17:39:37
$achn $cnat $icpt $cldx $arwr $gild $amrn some potential long term buys for 2015
Venator
22 Nov 14 15:26:50
Great summary, current sitch! "@biotech: $ICPT ...we predict 5 catalysts for 2015 that could reverse sentiment here http://t.co/951zabEZkR"
PennyStock Zone
22 Nov 14 15:06:25
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
Golf TheSimpleTruth
22 Nov 14 02:49:02
@GolfSimpleTruth VTAE shares have been scooped. Float down to 1 mil. Don't be on the back end of an $RCPT or $ICPT run
Shomik Ghosh
22 Nov 14 02:46:50
Growth names I like: $bmy, $gild, $ua, $dis, $tmus, $ttwo, $v, $icpt, $chkp, $sage, $ttm
Golf TheSimpleTruth
22 Nov 14 02:42:44
New issue VTAE. Serious growth monster. Please listen to 11/19 Healthcare Webcast $BIIB $RGLS $ICPT $RCPT $MRK http://t.co/Si4oUodrRR
PennyStock Zone
22 Nov 14 01:39:11
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
PennyStock Zone
21 Nov 14 20:20:32
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
Berkutchi
21 Nov 14 14:47:11
$ICPT This chart is in serious trouble. http://t.co/zbM5C9d5yY
DCam
21 Nov 14 13:27:19
RT @Skipjackrick: Great week. +$12,173 in gains this week. Holding a bag in $ICPT -$2K and a few other winners over the weekend. $KWK lo…
Rick
21 Nov 14 13:24:56
Great week. +$12,173 in gains this week. Holding a bag in $ICPT -$2K and a few other winners over the weekend. $KWK looking nice
Rick
21 Nov 14 13:00:10
@Skipjackrick $ICPT going to hold these DEC calls just a little longer. I'm getting smoked on them right now. Down $2K loss. For now
InterCooler
21 Nov 14 09:48:38
Insider Selling: Intercept Pharmaceuticals CMO Sells 4,790 Shares of Stock $ICPT http://t.co/BJkR6GCwPR
Stefanie Ilgenfritz
21 Nov 14 09:41:07
RT @pharmalot: Up and Down the Ladder: Job Changes... the latest comings & goings.. recognize anyone? http://t.co/TKmXIWq9p8 #pharma $SNY $…
WSJ Health News
21 Nov 14 09:41:06
RT @pharmalot: Up and Down the Ladder: Job Changes... the latest comings & goings.. recognize anyone? http://t.co/TKmXIWq9p8 #pharma $SNY $…
PennyStock Zone
21 Nov 14 07:57:33
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
Large Void Bot
21 Nov 14 06:36:10
Daily Reversal (09:36): $ICPT Last: 157.50; pHigh: 157.50; rVol: 0.298; pClose: 156.00; LOD: 156.2800; Perf: 1.0%
pharmalot
21 Nov 14 06:16:08
Up and Down the Ladder: Job Changes... the latest comings & goings.. recognize anyone? http://t.co/TKmXIWq9p8 #pharma $SNY $ICPT $ABLX
Jim
21 Nov 14 05:43:25
RT @CaptainFuture__: RBC 11/21: $ICPT On the road...we predict 5 catalysts for 2015 that could reverse sentiment here Read more: http://t.…
zipjet
21 Nov 14 05:18:22
Biotech Values: RBC 11/21: $ICPT On the road...we predict 5 http://t.co/YRFCAJ1UVd
On Time Picks
21 Nov 14 04:11:54
ariadndndough : RBC 11/21: $ICPT On the road...we predict 5: ariadndndough http://t.co/HgxoXzkJWk
dougheuring
21 Nov 14 03:11:24
RT @CaptainFuture__: RBC 11/21: $ICPT On the road...we predict 5 catalysts for 2015 that could reverse sentiment here Read more: http://t.…
Captain Sequence
21 Nov 14 01:40:14
RBC 11/21: $ICPT On the road...we predict 5 catalysts for 2015 that could reverse sentiment here Read more: http://t.co/oYvnXUgbRw
PennyStock Zone
21 Nov 14 00:45:44
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
Carine
20 Nov 14 22:23:43
RT @R4inb0w_: #GENFIT activity at #AASLD: http://t.co/l7na4vtfyF - $GNFT #GFT505 #NASH #Liver Disease $ICPT #OCA $GILD #Simtuzumab
Bruce Leeroy
20 Nov 14 20:18:45
$ICPT looks like it could get a bounce here...way oversold on the daily chart! http://t.co/2UqJv2X89d
Eternity101
20 Nov 14 19:46:51
$ICPT RESISTANCE: 159.39 162.56 165.76 169.00 172.26 SUPPORT: 150.06 147.01 144.00 141.01 138.06 woof woof ?? or... ?
Woll Street
20 Nov 14 17:30:42
Bio stocks feel heavy here... may get short term pullback soon... $JAZZ $GILD $ICPT $BIIB etc... $CELG looks ok still..
Peter Green
20 Nov 14 14:46:29
RT @redacre: https://t.co/hPx0C9wy2B Video #2 is live now. Free video Training Only Available for a limited time. $IBB $XBI $ACAD $ADHD $SR…
BS
20 Nov 14 14:21:11
RT @R4inb0w_: #GENFIT activity at #AASLD: http://t.co/l7na4vtfyF - $GNFT #GFT505 #NASH #Liver Disease $ICPT #OCA $GILD #Simtuzumab
R4inb0w
20 Nov 14 14:16:53
#GENFIT activity at #AASLD: http://t.co/l7na4vtfyF - $GNFT #GFT505 #NASH #Liver Disease $ICPT #OCA $GILD #Simtuzumab
PennyStock Zone
20 Nov 14 13:28:44
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
Mehrdad Ketabchi
20 Nov 14 09:54:06
Sold $icpt
wayne
20 Nov 14 09:37:00
$ICPT out this morning at 157.2
GPI
20 Nov 14 09:30:30
$icpt speculative buying here, tgt $165
The Legacy News
20 Nov 14 08:45:44
Insider Selling: Intercept Pharmaceuticals CMO Sells 4,790 Shares of Stock $ICPT http://t.co/cccBAsXuvK
InsiderTradingWire
20 Nov 14 07:30:10
$ICPT | Intercept Pharmac is down 47% since we reported $33,161,087 of insider selling on 08/28/2014. Did you ... - http://t.co/zMruEdUuJi
Jim
20 Nov 14 07:18:48
RT @R4inb0w_: $GILD #NASH Gilead pays $125M for an FDA priority review voucher: faster FDA approval of any type of drug http://t.co/bedNpOL…
Mehrdad Ketabchi
20 Nov 14 06:40:51
Bought $icpt
PennyStock Zone
20 Nov 14 06:38:20
http://t.co/T85aibNIkd <-- InvestorsLive DVD Tandem Trader looks good! free preview. $RIG $SHLD $ICPT $RMTI
Cisc@
20 Nov 14 06:20:57
RT @agoraphile38: Intercept Pharmaceuticals Inc (NASDAQ:ICPT) Under Investigation over Possible Securities Laws Violations http://t.co/voSd…
lololebreton
20 Nov 14 06:16:51
RT @agoraphile38: Intercept Pharmaceuticals Inc (NASDAQ:ICPT) Under Investigation over Possible Securities Laws Violations http://t.co/voSd…
Daniel De Oliveira
20 Nov 14 06:09:39
RT @agoraphile38: Intercept Pharmaceuticals Inc (NASDAQ:ICPT) Under Investigation over Possible Securities Laws Violations http://t.co/voSd…
Red Acre Investments
20 Nov 14 05:57:39
https://t.co/hPx0C9wy2B Video #2 is live now. Free video Training Only Available for a limited time. $IBB $XBI $ACAD $ADHD $SRPT $ICPT
Patrick
20 Nov 14 05:24:33
RT @NathanAhron: $icpt insiders continue to sell down here (via 10b51)
				
				
By  +Follow January 10, 2014 6:50AM
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