Goldman Sachs says it’s time for investors to put their money in Rhythm Pharmaceuticals because the stock could rise nearly 40% with the success of its obesity drug. “We believe the outlook for Imcivree has been changed from the original [phase 2] data in patients with hypothalamic obesity (HO), suggest a high likelihood of clinical success in this indication, where we also see a significant chance of peak sales compared with other indications when Imcivree is being developed,” wrote analyst Corinne Jenkins in a note to clients as she upgraded the stock to buy from a neutral rating. hippocampal obesity refers to weight gain that occurs after injury Although the stock is up more than 320% since the release of the data, Jenkins sees further growth in the stock if Rhythm continues to succeed in its clinical trials and in Imcivree’s weekly formula development, extending patent protections to 2038. “We also expect the pace of European reimbursement and approval decisions in the coming weeks. [Bardet-Biedl Syndrome] to boost revenue over the medium-term, adds our positive view of the stock’s path to growth from here,” writes Jenkins. Bardet-Biedl is an inherited condition that affects different parts of the body. In particular, those related to vision Jenkins believes Rhythm’s Imcivree can achieve peak penetration of 60% in patients Rhythm shares are up nearly 103% this year and 61 % in August, but could be up another 38% from Friday’s close, according to Goldman’s new $28 price target – CNBC Contributing Michael Bloom
