Analysts Say Buy the Dip on This New Drug Stock

CNST stock went public just a few weeks back

by Karee Venema

Published on Aug 13, 2018 at 9:42 AM

The shares of Constellation Pharmaceuticals Inc (NASDAQ:CNST) are up 5% to trade at $10.35, after BMO started coverage on the cancer specialist with an "outperform" recommendation and a $19 price target -- a nearly 93% premium to last Friday's close. The analyst in coverage said the stock still has not priced in the full valuation of its myelofibrosis treatment, CPI-0610, and could potentially hit $35 per share once this is realized.

J.P. Morgan Securities and Oppenheimer both took a glass-half-full approach to CNST stock, both initiating coverage with an "outperform" rating and $17 and $21 price targets, respectively. The former brokerage firm said CNST stock's massive drop from its mid-June initial public offering (IPO) has created an "interesting/compelling entry point ahead of more robust proof-of-concept data."

Specifically, Constellation Pharmaceuticals stock went priced its IPO at $15 per share back on July 18, before opening the next day at $11.48. The shares have continued to trend lower since then, bottoming at a record low of $9 one week ago today.

cnst stock daily chart aug 13

A Schaeffer's exclusive!

The Expert's Guide

Access your FREE trading earning announcements before it's too late!



NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories

The Nevada Discovery That Could Jeopardize Chinese Dominance
Click to continue to advertiser's site.
Stocks Surge During Holiday-Shortened Week
Stocks chugged higher as the government responded to the coronavirus crisis with more funding
Bank Stocks Ease Investors Back Into Earnings Season
Bank stocks will kick off earnings season next week
The Top Lithium Play of 2020
Click to continue to advertiser's site.