Alexion's New CFO Continues To Shore Up Investor Concerns

Alexion Pharmaceuticals, Inc. (NASDAQ: ALXN) announced Tuesday that Paul Clancy has been appointed to replace Dave Anderson as CFO, effective July 31.

Anderson will remain as a senior advisor through August to ensure a smooth transition.

“Paul is well-known among biotech investors, having spent the last 10 years as Biogen's CFO,” noted UBS analyst Martin Auster in a note.

The announcement is expected to lessen investor concerns over surprises lying in wait.

On Wednesday, shares were up 7.9 percent to $116.56.

The analyst continued to express confidence in the company, following his assertion in late-May that, due to high pessimism, even just the absence of negative headlines could serve as a catalyst.

Auster believes that growth drivers including Soliris gMG’s approval and ALXN1210 Phase 3 data can restore company value. Alexion will also need to reduce implied risk under recent regulatory headwinds.

The analyst maintained a Buy rating and $140 price target.

Morgan Stanley analyst Matthew Harrison recently upgraded the company to Overweight, citing new management and too-low investor sentiment.

Investors should look out for commentary from management on research and development and long-term strategy during the second quarter earnings call.

Related Links:

A Peek Into The Markets: U.S. Stock Futures Edge Higher; All Eyes On Fed Decision

Mid-Morning Market Update: Markets Mostly Flat; H & R Block Profit Tops Views

© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.