NEW YORK (TheStreet) -- Shares of BioDelivery Sciences Int'l (BDSI) - Get Report were spiking 9.8% to $2.69 on heavy trading volume mid-afternoon Friday after Janney Capital raised its rating on the stock to "buy" from "neutral," the Fly reports.
The firm said that pharmaceutical company Endo Int'l (ENDP) has "not yet announced, but clearly won" preferred status for Belbuca relative to market leader Butrans on United Healthcare's (UNH) prescription drug list.
Belbuca contains an opioid to manage severe and chronic pain.
Endo's prescription pain medicine uses BioDelivery Sciences' patented BioErodible MucoAdhesive drug delivery technology, the Fly noted.
The United contract along with five other recent contract wins for Bunavail since July, puts Bunavail on a path to show meaningful growth in 2017, according to Janney.
Bunavail is BioDelivery's opioid dependence therapy.
The firm maintained its $4 fair value estimate on the stock.
More than 1.72 million of the company's shares changed hands so far today vs. its average volume of 548,313 shares per day.
Separately, TheStreet Ratings Team has a "Sell" rating with a score of D- on the stock.
The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity, poor profit margins, generally disappointing historical performance in the stock itself and generally high debt management risk.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: BDSI