Novartis "buy"

29.03.06 - Merrill Lynch

LONDON, March 29 (newratings.com) - Analysts at Merrill Lynch maintain their "buy" rating on Novartis (NOVN). The price objective is set to CHF83.

In a research note published this morning, the analysts mention that the company has acquired a license from Idenix for NM283 (valopicitabine), an oral hepatitis C drug that is in the Phase II trails. Novartis has also licensed agomelatine, which is a depression drug in the Phase III trials, from Servier, the analysts say. Although the company?s late-stage pipeline has strengthened, there is lack of visibility into the complete potential of these drugs, Merrill Lynch adds.