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Cantor Fitzgerald Raises Price Target on Compugen (CGEN) to $12 After 'Landmark Discovery'

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Cantor Fitzgerald Raises Price Target on Compugen (CGEN) to $12 After 'Landmark Discovery'

December 28, 2009 3:19 PM EST

http://www.streetinsider.com/Analyst+Comments/Cantor+Fitzgerald+Raises+Price+Target+on+Compugen+(CGEN)+to+%2412+After+Landmark+Discovery/5208423.html


Cantor Fitzgerald reiterates a 'Buy' rating on Compugen Ltd. (Nasdaq: CGEN), raises price target to $12.

Cantor analyst says, "This morning, Compugen announced the discovery and validation of CGEN-671, a new biomarker/drug target for epithelial tumors with potential for broad use and, significantly — expressed at a rate 200 times lower on healthy tissue, which diminishes potential for toxicities — versus CD55, a target for which multiple drug candidates are in clinical development. Compugen predicted the existence and relevance of CGEN-671 in silico using its proprietary Monoclonal Antibody Targets Discovery Platform — another confirmation of the power of Compugen's discovery platforms, in our view — then experimentally validated the target in multiple epithelial tumors which account for approximately 85% of all cancers according to the National Cancer Institute (NCI)."

"Compugen's approach to discovery — predictive biology pioneered by the company — is the source of its therapeutic pipeline of eight product candidates. We expect Compugen to enter into additional alliances in the next 6-12 months...We think Compugen's predictive platforms can impart selectivity and speed to pharma/dx companies — a significant and relevant competitive advantage for pipeline-starved companies — to condense discovery/development timelines plus provide a vast store of improved therapeutics and diagnostics."

"Compugen's partners currently include Merck (NYSE: MRK), Merck-Serono, Medarex, Inverness/Biosite (NYSE: IMA), Roche, Teva (Nasdaq: TEVA), Ortho-Clinical Diagnostics a Johnson & Johnson (NYSE: JNJ) and Siemens (NYSE: SI) and we consider these agreements a validation of the company's technology and capabilities. Further, we expect management to continue delivering deals with major pharmas that we believe would provide additional validation (and cash) of Compugen's expanding portfolio of predictive platforms and competencies."

To see all the upgrades/downgrades on shares of CGEN, visit our Analyst Ratings page.