- The stock price of Veru Inc (NASDAQ: VERU) surged over 44% during intraday trading today. This is why.
The stock price of Veru Inc (NASDAQ: VERU) surged over 44% during intraday trading today. investors are responding positively to a bullish research report.
Oppenheimer analyst Leland Gershell reiterated an Outperform rating on the shares. And Gershell assigned the company a $36 price target.
The rating was adjusted following a recent FDA meeting.
“VERU’s report from its FDA meeting this past Tuesday supports our outlook that sabizabulin will be granted Emergency Use Authorization for the treatment of hospitalized COVID-19 patients by early fall. In turn, we would expect VERU to begin realizing transformative levels of revenue from government-funded purchases,” wrote Gershell in a research note. “Current enterprise value of ~$600M implies that shares are severely undervalued in the event an EUA is awarded, and ample cash argues against any near-term financing need. We believe current equity market dislocation has broadly depressed biopharma stocks as well as hindered outperformance on positive fundamental developments, and has made VERU shares highly attractive. We recommend purchase ahead of upcoming news flow.”
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