Cytokinetics, Inc. (CYTK)

[Paulieme]

Dawson James Initiates Cytokinetics at Market Outperform on Competitive Positioning
12:02p ET November 27, 2012 (Benzinga) Dawson James initiated coverage on Cytokinetics (NASDAQ: CYTK) with a Market Outperform rating and a $2 price target.

Dawson James said, "Although CYTK's programs are still relatively early, they are based on an understanding of the underlying biology unparalleled in the industry. In addition, the competitive landscape is characterized by few opposing programs. Our company valuation is based primarily on the weighted-probability of the DCF analysis for two tirasemtiv scenarios: approval based on accelerated approval or a subsequent Phase III trial. We believe there is a 70% chance of accelerated approval for tirasemtiv ($2.50) and a 30% chance a Phase III is required ($0.75). We derive our $2 price target from the synthesis of these analyses."

Cytokinetics closed at $0.67 on Monday.