First Berlin – Valneva SE Research Update (09/01/2019)

First Berlin Equity Research has published a research update on Valneva SE (ISIN: FR0004056851). Analyst Simon Scholes reiterated his BUY rating and maintained his EUR 5.40 price target.

Abstract
Valneva has released positive newsflow on all three active components of its pipeline in recent weeks. In mid-December Valneva began phase II development of its Lyme disease vaccine candidate VLA15. Interim data is expected in mid-2020. On Monday, the company announced interim results for the phase I trial of its Chikungunya vaccine candidate VLA1553 which showed a 100% seroconversion at Day 28 in a pooled analysis of all vaccinated groups. In the second half of November interim data from the phase I trial of the Zika virus vaccine candidate, VLA1601, showed a seroconversion rate of 87.5% on Day 35 (interim analysis up to Day 56). No adverse events were reported in either trial. The most important currency pairs for Valneva - USDEUR and CADEUR - are both currently above their average 2018 levels and so we feel comfortable with our 2019 product sales growth forecast of 12.2% to €113.4m which we leave unchanged. We maintain our Buy recommendation and price target of €5.40.