Futura Medical PLC (LON:FUM) has been reinitiated with a ‘buy’ rating and 55p target price by analysts at Liberum, who said the firm’s MED3000 erectile dysfunction (ED) treatment had a peak sales potential of £300mln.
In a note on Monday, the broker said they expected AIM-listed Futura to secure US and EU approval for the product by mid-2021 “at the latest given the quality and quantity of its data”.
“MED3000 has competitive efficacy vs. oral therapies, looks to have a cleaner safety profile and works far quicker. We see it positioned as a first line, low-risk therapy”, Liberum said.
Analysts also predicted that with the right partner, MED3000 could take a “15% market share in the US and EU5, which at a slight price premium implies just over £300mln of peak sales”.
Given such high potential, Liberum said finding a commercialisation partner “should be straightforward” for Futura and “unlock significant value for shareholders”.
The bullish assessment sent Futura’s shares 5.7% higher to 13.7p in late-morning trading.