CuraGen initiated with "market outperform" - update

01/05/07 - Boenning & Scattergood

NEW YORK, January 5 (newratings.com) - Analyst Debjit Chattopadhyay of Boenning & Scattergood initiates coverage of CuraGen Corporation (CRGN) with a "market outperform" rating. The 12-month target price is set to $6.30.

In a research note published yesterday, the analyst mentions that the company's two lead investigational compounds, namely Velafermin™ and PXD101, are undergoing phase II trials. The analyst expects 2007 to be an important year for CuraGen's clinical pipeline. With the 66% stake in 454 Life Sciences that markets and develops cutting edge genome sequencing technologies, the company has the potential to generate significant cash flows in the near term, Boenning & Scattergood adds.