Momenta rises on upgrade ahead of Lovenox ruling

AP News
Posted: Nov 19, 2009 1:31 PM

Shares of Momenta Pharmaceuticals Inc. rose Thursday after an analyst upgraded the stock, saying Momenta will soon receive marketing approval for its version of the anti-clotting drug Lovenox.

Momenta expects the Food and Drug Administration to make a ruling on its generic, called M-Enoxaparin, by the end of this year. Oppenheimer analyst Bret Holley agreed that ruling will come soon, and he thinks the agency will approve Momenta's version, along with a competing generic made by Teva Pharmaceutical Industries Ltd.

Holley raised his rating on the stock to "Outperform" from "Perform," and set a price target of $15 per share. In afternoon trading, Momenta shares picked up 60 cents, or 5.6 percent, to $11.26.

Momenta is seeking to market M-Enoxaparin through a partnership with Novartis AG's Sandoz division. The original version is made by Sanofi-Aventis, and Holley expects Momenta and Sandoz to share royalties on the generic.

The analyst said Momenta should win approval for a generic version of Copaxone, a multiple sclerosis drug, by mid-2014. Teva makes the branded version of that drug, and Momenta's generic is designated M356.