Wednesday, January 14, 2015

Seeking Alpha: XenoPort Prepping For Key Data In 2015

Nine months ago, I thought XenoPort (NASDAQ:XNPT) had some appeal for very aggressive investors willing to play the odds that not only would the biotech sector recover, but that the Street would get more bullish on XenoPort's relaunch of Horizant and the prospects of XP23829 ('829) in multiple sclerosis and possibly psoriasis as well. Since then, the shares have risen almost 120%.

Is there still enough upside in XenoPort to make it worth holding these shares? The answer is a guarded "yes". The markets for both psoriasis and multiple sclerosis are each likely to be worth more than $15 billion a year by the time '829 achieves commercial sales, but the company is still facing comparatively long odds for commercial success. That makes the Phase II psoriasis data later this year very significant - a strong indication of efficacy should unlock significant value (by de-risking the outlook), but inadequate results will sap virtually all of the upside.

Follow this link for more:
XenoPort Prepping For Key Data In 2015

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