Seattle Genetics target raised to $74 at Needham -- Solid '18 ADCETRIS Guidance; Expect Frontline HL Approval, 3 Drugs in Pivotal (54.24)
Needham raises their SGEN tgt to $74 from $72. 4Q ADCETRIS sales of $83.7M were near their ests and at the top end of recently updated guidance of $82-84M. Seattle gave solid 2018 guidance for $340-360M in North American ADCETRIS sales, exclusive of sales in frontline HL which they expect to begin in 2H assuming approval in this indication by the May 1 PDUFA. Firm believes frontline HL sales will be significant and forecast $417M in sales including frontline HL, growing to >$1B by 2020. Seattle has two other late stage programs including Enfortumab Vedotoin (EV) which is in a pivotal trial for urothelial cancer and Tisotumab Vedotin (TV) which will start a pivotal study in cervical cancer in 1H. Last month Seattle signed a merger agreement with Cascadian Therapeutics that could provide a 4th pivotal stage asset in HER2+ breast cancer.