Heron Therapeutics: A Strong Buy on Surging Sales and Strategic Partnerships

Analyst Serge Belanger from Needham maintained a Buy rating on Heron Therapeutics (HRTX – Research Report) and keeping the price target at $5.00.

Serge Belanger has given his Buy rating due to a combination of factors surrounding the performance and potential of Heron Therapeutics. Notably, the company reported first-quarter sales that surpassed expectations, with a significant year-over-year increase. This improvement was driven by a notable rise in Cinvanti sales. Moreover, Belanger’s optimism is fueled by strategic moves made by Heron, such as the partnership with CrossLink, which is expected to significantly boost the sales force targeting the orthopedic market, especially following the FDA’s approval for a broad label expansion for Zynrelef.

Furthermore, the analyst highlights Heron’s recent achievements in securing numerous formulary wins for Aponvie, indicating a promising market uptake. Belanger anticipates that these developments, particularly the sales growth of Zynrelef and Aponvie, will be pivotal in Heron’s journey towards achieving positive adjusted EBITDA by the fourth quarter of 2024. The expectation of improved sales growth in the upcoming quarters, especially the second half of the year, and the company’s progress towards profitability underpin the analyst’s Buy rating and the price target set for Heron Therapeutics’ stock.

According to TipRanks, Belanger is a 3-star analyst with an average return of 1.5% and a 42.20% success rate. Belanger covers the Healthcare sector, focusing on stocks such as KalVista Pharmaceuticals, Esperion, and Liquidia Technologies.

In another report released on April 23, Capital One Financial also initiated coverage with a Buy rating on the stock with a $6.00 price target.

TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.

Heron Therapeutics (HRTX) Company Description:

Heron Therapeutics, Inc. is a biotechnology company, which develops pharmaceutical products for patients suffering from cancer. The company develops products by using its proprietary Biochronomer polymer based drug delivery technology. Its products include SUSTOL, Pipeline, Cinvanti and HTX-011. The company has additional clinical and preclinical-stage programs in the area of pain management, all of which utilize its bio erodible, injectable and implantable delivery systems. Heron Therapeutics was founded in February 1983 and is headquartered in Redwood City, CA.