Synergy Pharma rated New Buy at Rodman

• Price-target $20 (implied upside 279%).
• "Synergy represents a late-stage, highly risk-mitigated and undervalued name in the biotech sector, as its lead candidate plecanatide has already completed two pivotal Phase 3 trials in chronic idiopathic constipation (CIC) successfully and is slated to be filed for approval by the end of this year."
• "From our perspective, Synergy possesses potentially the most favorably-positioned drug in disorders of the lower GI tract."
• Firm notes that Ironwood (NASDAQ:IRWD), the originator of linaclotide, trades at a $1.5B valuation, a substantial premium to the $600M market cap of Synergy, even though Ironwood does not own the full rights to its product, while Synergy retains 100% ownership of plecanatide. The two products seem to have equal efficacy, but linaclotide seems to induce a higher discontinuation rate.
• Over the past week, BTIG put a $11 target on SGYP, and Canaccord a $19 target.
• Related: Does Synergy Pharma's Plecanatide Blow Away The Competition? (Jul. 16)
• Related: Synergy Pharma Still Has Significant Upside Potential (Jul. 8)