Vistagen Therapeutics Inc (NASDAQ:VTGN) stock was flying high on Friday following news that it is being covered by another research firm.
The additional coverage that has VTGN stock soaring today is from research firm Oppenheimer. This new coverage of Vistagen Therapeutics Inc comes from analyst Jay Olson. Olson started his coverage with an incredibly bullish price target of $6.00 and an “Outperform” rating.
VTGN stock’s closing price on Thursday, which was the last day of trading before Oppenheimer’s coverage of the stock started, was 97 cents. This has Olson’s price target of $6.00 for Vistagen Therapeutics Inc representing a roughly 518% premium to its closing price on Thursday.
Olson gives a couple of reasons as to why Oppenheimer has such a bullish stance on VTGN stock. The analyst says he is expecting positive results from the company’s Phase 2 trial of AV-101, which is an antidepressant. The first Phase 2 trial is set to end by the end of the year, and a second larger one should complete around mid-2019.
If all goes well, Olson believes a commercial launch for AV-101 could come sometime in 2023. He also just simply states that the stock is “underappreciated and undervalued,” reports CNA Finance.
VTGN stock was up 58% as of Friday afternoon. This completely undoes the 16% decline the stock saw from the start of the year to its close on Thursday. However, it is also still a far ways off from the $6.00 price target that Oppenheimer now has for Vistagen Therapeutics Inc.
As of this writing, William White did not hold a position in any of the aforementioned securities.
