Company Profile: Ariad is active in the discovery and development of breakthrough medicines to treat cancers by regulating cell signaling with small molecules.
Share Price: $3.52 (Sept. 8)2010 Stock Performance: 54% Analyst Consensus: Nine of the 10 analysts covering Ariad recommend that investors buy the stock. The other research firm has a "hold" rating. The average of three recent stock-price targets is $6, which is 70% above where the stock trades now. Bullish Case: Leerink Swann analyst Howard Liang has an "outperform" rating, an equivalent of a "buy," and a $6 price target on Ariad. In an Aug. 5 research note, Liang said Ariad's stable finances provide a runway for pipeline advances, adding that a partnership with Merck (MRK) may produce significant royalties.