Ariad Shares Rise On JP Morgan Analyst Note

NEW YORK (AP) — Shares of Ariad Pharmaceuticals Inc. rose Monday after a JP Morgan analyst recommended the stock, citing upcoming study data on the company's developing cancer drugs.

Shares of Ariad, which is based in Cambridge, Mass., surged 24 cents, or 10.6 percent, to $2.40 in morning trading. The stock has traded between 72 cents and $3.48 over the past 52 weeks.

JP Morgan analyst Cory Kasimov upgraded shares to "Overweight" from "Neutral," saying two upcoming catalysts will drive the stock. The company is expected to present early stage study data on AP24534 in December at the American Society of Hematology meeting. The drug is aimed at treating chronic myeloid leukemia, which affects blood cells.

"We attended a medical meeting over the weekend where we received positive feedback on the potential for (AP24)534," he said, in a note to investors.

Also, the company is preparing to present another interim analysis of late-stage study data for ridaforolimus aimed at treating metastatic sarcoma, which is a type of cancer found in tissues that connect or support organs and other structures. That analysis is expected in the first quarter.