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Friday, Oct 11
Cytokinetics jumps as Needham reiterates omecamtiv bull thesis
- Cytokinetics (CYTK +7.6%) rallies after Needham's Chad Messer reminds investors that despite a misread by the media, last month's ATOMIC-AHF readout was actually in line with expectations.
- "Significant increases in systolic injection and reduction in worsening of heart failure while actually lowering heart rate, distinguish omecamtiv from older inotropic agents [and] are more than positive enough for Amgen (AMGN) to proceed with a Phase 3 study next year, triggering a milestone payment to CYTK shareholders," Messer notes, downplaying the overall dypsnea response miss.
- Price target raised to $25 from $20.
- While today's vote of confidence is good for morale, the rationale here was discussed at length in early September after the presentation at the ESC Congress.