Although this pharma company is still in the loss stage, rising forecasts and new analyst coverage are pushing the shares up. Wall Street estimates that the company will see growth of more than 79% annually over the next five years.
Adamas Pharmaceuticals, Inc. (ADMS)
from Schaeffer’s Investment Research
Adamas Pharmaceuticals, Inc.’s (ADMS) stock is up 22.3% to trade at $23.89, and hit an annual high of $24.55 earlier, after Evercore ISI started coverage with an “outperform” rating and price target of $85—more than three times the stock’s current price.
The brokerage firm says the pharmaceutical company—which is set to release earnings Thursday—is “just getting started,” citing optimism for Gocovri, its drug designed to counteract side-effects caused by a common Parkinson’s drug. The company expects to launch the new drug in the first quarter of 2018.
ADMS shares have climbed roughly 31% in just the past week, and a short squeeze could propel the security even higher. Short interest on ADMS grew 15.2% during the past two reporting periods to account for roughly 33% of the equity’s total available float. It would take nearly two weeks to cover these shorted shares at the stock’s average daily trading volume.
Bernie Schaeffer, Schaeffer’s Investment Research, www.SchaeffersResearch.com, 800-327-8833, October 30, 2017