Analyst: This Red-Hot Pharma Stock Could Triple

CMTA stock is sitting atop the Nasdaq after upbeat drug data

Oct 24, 2018 at 1:06 PM
facebook X logo linkedin


While most of the stock market is struggling today, the shares of Clementia Pharmaceuticals Inc (NASDAQ:CMTA) are sitting atop the Nasdaq, skyrocketing on encouraging drug data. Specifically, the firm unveiled upbeat data on its bone disease drug -- which already has "orphan drug," "fast track," and "breakthrough therapy" designations from the Food and Drug Administration (FDA) -- and said it expects to submit a marketing application for palovarotene to the regulators in the second half of next year. Against this backdrop, several analysts weighed in on soaring CMTA stock, last seen up 37% at $14.20 -- and set for its best day ever.

B. Riley FBR, Morgan Stanley, and Leerink lifted their price targets to $20, $27, and $28, respectively. Meanwhile, Wedbush hiked its target on CMTA to $31 from $26 -- implying roughly 200% upside from the stock's close of $10.34 yesterday.

Clementia Pharmaceuticals went public in early August 2017, for an initial public offering (IPO) price of $15. The stock spent the first few months hovering just north of that level, before soaring to an all-time high of $20.15 in late December. Since a palovarotene-related bear gap in May, however, it's been a rough road for CMTA, which eventually fell to an all-time low of $8.10 in August. Should today's gains hold, the stock will will settle atop its 100-day moving average for the first time since that bear gap.

CMTA stock chart oct 24

Several short sellers could be getting squeezed today. Short interest represents nearly 7% of CMTA's total available float, and would take nearly 23 sessions to buy back, at the equity's average pace of trading.

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI