On Friday, H.C. Wainwright reiterated its Buy rating and $7.50 price target for Akebia Therapeutics (NASDAQ:AKBA) stock, which is currently trading near its 52-week high of $2.48 and has shown remarkable momentum with a 15.46% gain in the past week. According to InvestingPro data, analyst targets range from $4 to $10, with a consensus Buy recommendation. The firm's analyst highlighted the recent endorsement from the UK's National Institute for Health and Care Excellence (NICE) for the use of Akebia's drug Vafseo as a treatment for symptomatic anemia caused by chronic kidney disease (CKD) in adult patients on maintenance dialysis.
The NICE recommendation, announced on January 23, was based on Vafseo's efficacy in increasing hemoglobin levels, potentially replacing erythropoiesis stimulating agents (ESAs), and offering a lower cost alternative in the UK. Additionally, NICE noted that Vafseo is offered to the UK's National Health Service (NHS) at a discounted price from its annual list price of £3,872.65, excluding VAT. With last twelve months revenue of $169.88 million and an InvestingPro Financial Health score rated as GOOD, Akebia appears well-positioned to execute its commercial strategy.
Akebia received approval from the UK Medicines and Healthcare products Regulatory Agency (MHRA) for Vafseo in May 2023. The drug's approval and subsequent NICE recommendation represent significant milestones for the company's presence in the UK market.
In the United States, Akebia's early commercial strategy for Vafseo is under scrutiny following the commercial launch announced on January 13. The company secured two commercial supply agreements that provide nearly complete access to the drug for U.S. dialysis patients.
Looking forward, H.C. Wainwright is closely monitoring the potential regulatory pathway for Vafseo's label expansion into non-dialysis CKD patients in the U.S. This expansion hinges on a Phase 3 cardiovascular outcome study (CVOT) of vadadustat, which is expected to start enrolling around 1,500 patients in mid-2025. The analyst's reaffirmed Buy rating and price target reflect these developments and the anticipated progress of Akebia's product offerings. For deeper insights into Akebia's financial health, growth prospects, and detailed analyst coverage, access the comprehensive Pro Research Report available exclusively on InvestingPro.
In other recent news, Akebia Therapeutics has been the subject of several developments. H.C. Wainwright has maintained a Buy rating on the company, reflecting confidence in Akebia's strategy and market prospects for its chronic kidney disease (CKD) treatment, Vafseo. The firm's endorsement follows the U.S. commercial launch of Vafseo and successful supply agreements with major dialysis providers.
The company has also started shipping Vafseo to adult CKD patients on dialysis in the U.S. and is planning a Phase 3 trial in 2025 for the use of vadadustat in late-stage CKD patients not on dialysis. Akebia reported a decrease in total revenue to $37.4 million from $42 million in the same quarter of the previous year, and a net loss of $20 million for the quarter, mainly due to increased spending on Vafseo's prelaunch activities and a decline in revenue from its existing product, AURYXIA.
Despite these financial challenges, Akebia is optimistic about Vafseo's potential, particularly in the dialysis and non-dialysis CKD patient segments. The company is also focused on expanding dialysis center supply contracts from 60% to 100% by the Vafseo launch date. These are the recent developments in Akebia's operations.
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