On Wednesday, RBC Capital adjusted its price target on shares of CorMedix (NASDAQ: CRMD), decreasing it to $9.00 from the previous $10.00, while keeping an Outperform rating on the stock.
The adjustment follows CorMedix's recent fourth-quarter report, which included details on the company's consistent approach and new information regarding the launch and reimbursement strategies for DefenCath, a product designed to prevent catheter-related bloodstream infections (CRBSI) in hemodialysis patients. The inpatient launch of DefenCath is reaffirmed for April 15, with a potential outpatient launch in July.
The company is currently waiting for a decision on its TDAPA (Transitional Drug Add-on Payment Adjustment) application, which is a critical factor for reimbursement clarity. RBC Capital is closely monitoring the commercial launch preparations, which involve increasing inventory levels and applying for an alternative manufacturing site.
Additionally, the potential for label expansion is on the horizon, with a post-approval meeting aimed for the end of the first quarter.
CorMedix management remains optimistic about the broader commercial opportunities for DefenCath. Following a discussion with management after the earnings call, it was noted that the company is encouraged by the prospects of the product.
The updated model from RBC Capital includes quarterly figures, the annual report (10K), and the integration of previously announced wholesale acquisition cost (WAC) pricing and uptake assumptions. This comprehensive update led to the revised $9 price target, while the Outperform, Speculative Risk rating was reiterated.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.