Citi Sees Limited Sales For Blood-Clot Drug At The Medicines Company

The Medicines Company (NASDAQ: MDCO)'s blood-clot prevention drug will serve as a last-line treatment with limited sales, an analyst said Thursday.

A Food and Drug Administration advisory panel on Wednesday recommended the company's cangrelor as a treatment for certain heart-surgery patents.

But Citi's Joel Beatty said its use will be more limited than the company had initially proposed.

Beatty said cangrelor's use will be limited to patients for whom treatment with several cheaper generic drugs is not feasible or desirable, "effectively placing Cangrelor as a last-line agent."

Annual peak sales for cangrelor will top $41 million in 2019, according to Beatty, who noted a five-year period of patent exclusivity.

A final FDA decision is expected before June 23, according to Beatty, who put the odds of approval at 90 percent.

Beatty maintained a Neutral rating on Medicines Co. but raised his price target 6.6 percent to $32.

Medicines Co. changed hands recently at $29.12, up 0.52 percent. Shares are up about 3 percent this week.