Jefferies maintains $105 target for Intra-Cellular shares, affirms buy rating By Investing.com

On Tuesday, Intra-Cellular Therapies (NASDAQ:) maintained its strong outlook as Jefferies reaffirmed a Buy rating and a $105.00 price target for the company’s shares.

This endorsement comes after the company reported first-quarter sales of Caplyta that exceeded consensus estimates, with revenues reaching $145 million compared to the anticipated $141 million. The management team also confirmed their guidance for the year 2024, projecting sales between $645 million and $675 million.

The analyst from Jefferies highlighted that consistent quarterly performance is expected to enhance the market’s confidence in Intra-Cellular’s ability to achieve peak sales surpassing $2 billion in schizophrenia (SCZ) and bipolar depression (BPD).

The near-term focus for the company revolves around major depressive disorder (MDD), a market presenting an additional opportunity worth $1-2 billion plus. This potential was strengthened by Caplyta’s compelling Phase III results.

The positive outlook is further supported by the anticipation of a second MDD data release scheduled for late in the second quarter of this year. The analyst expressed optimism for this upcoming event, estimating a high probability of success (PoS) of over 75%. The continued success in the market for Caplyta, especially in the treatment of MDD, is seen as a significant factor in the company’s growth trajectory.

Intra-Cellular Therapies’ commitment to its product and market expansion strategies appears to be paying off, as reflected in the steady sales growth and the reaffirmation of their financial guidance. Investors and stakeholders are keeping a close watch on the forthcoming MDD study results, which could further solidify the company’s position in the mental health treatment sector.

InvestingPro Insights

As Intra-Cellular Therapies (NASDAQ:ITCI) garners attention with its promising sales figures and optimistic projections, a closer look at the company’s financial health and market performance via InvestingPro reveals additional insights. The company’s market capitalization stands at a robust $7.5 billion, reflecting significant investor confidence. Despite not being profitable in the last twelve months, with a P/E Ratio (Adjusted) at -53.67, analysts have revised their earnings upwards for the upcoming period, indicating potential for future profitability. This is underscored by a substantial revenue growth of…