UPDATE: Ascendiant Initiates Synthetic Biologics at Buy on Significant Upside

In a report published on Tuesday, Ascendiant analyst Keay Nakae initiated coverage on Synthetic Biologics (NYSE: SYN) with a Buy rating and $2.25 price target.

In the report Ascendiant commented, "The Company has an exclusive channel collaboration with privately held Intrexon Corporation, which is the latest venture of well known biotech investor Randal J Kirk. Intrexon's mission is to dramatically reduce the time, cost, and risks associated with synthetic biology by advancing new bioindustrial engineering technologies. Utilizing Intrexon's comprehensive suite of proprietary technologies, Synthetic Biologics intends to develop a series of monoclonal antibody (mAb) therapies for the treatment of certain infectious diseases not adequately addressed by existing therapies. The Company has two mAb development programs in the pre-clinical stage. These programs are focused on the treatment of Pertussis infections and Acinetobactor infections. Initiating Coverage With a Buy Rating: In our opinion, there is upside to SYN relative to the current price. Our 12-month price target of $2.25 is calculated using an NPV analysis."

Synthetic Biologics closed on Monday at $1.79