“We utilize a risk-adjusted net present value (rNPV) approach to assessing Axsome shares. We apply a 20% discount rate to all future cash flows along with a 28.1% effective tax rate and 33% sales and marketing rate. Our approach yields a total firm value of roughly $735M, or a price per share of roughly $18 given about 40M fully-diluted shares outstanding as of end-2019, which includes the exercise of 4.8M options and warrants.”
According to TipRanks.com, Selvaraju is a 3-star analyst with an average return of 0.9% and a 38.9% success rate. Selvaraju covers the Healthcare sector, focusing on stocks such as Biospecifics Technologies Corp, EyePoint Pharmaceuticals Inc, and Bausch Health Companies Inc.
Axsome Therapeutics Inc has an analyst consensus of Strong Buy, with a price target consensus of $23.25, which is a 72.7% upside from current levels. In a report issued on April 8, Leerink Partners also initiated coverage with a Buy rating on the stock with a $25 price target.
The company has a one-year high of $16.80 and a one-year low of $1.94. Currently, Axsome Therapeutics Inc has an average volume of 1.12M.
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Axsome Therapeutics, Inc. is a clinical stage biopharmaceutical company, which engages in developing novel therapies for the management of central nervous system disorders. Its product candidates include AXS-02 and AXS-06 which are developing for multiple indications.