Genentech initiated with "overweight"

12/07/05 - Prudential Financial

NEW YORK, December 7 (newratings.com) - Analyst Ron Ellis of Prudential Financial initiates coverage of Genentech Inc (DNA) with an "overweight" rating. The 12-month target price is set to $110.

In a research note published yesterday, the analyst mentions that the company has a leading position in a niche market due to its differentiated products. Genentech’s top-line is likely to be driven in the near future by continued label expansion of the company’s key products, Avastin, Herceptin and Rituxan, the analyst says. The company is expected to file a BLA for its Lucentis drug, for the treatment of acute macular degeneration (AMD), in early 2006 and launch the drug by early 2007, Prudential Financial adds.