Omeros Stock Logs Best Session Ever After HC Wainwright Doubles Target On Novo Nordisk Deal; Retail Sees Big Upside

Omeros’ stock had its best day on Wednesday ever after H.C. Wainwright raised its price target to $20 from $9 and kept a ‘Buy’ rating, following news of a multibillion-dollar licensing deal with Novo Nordisk for its rare disease drug candidate zaltenibart.

Shares of Omeros jumped 154.1% to close at $10.42 on Wednesday, before slipping 3.1% in after-hours trading, while Novo Nordisk’s U.S.-listed shares edged up 0.1% to $54.06.

The brokerage said Omeros will get $240 million upfront, along with up to $510 million in development and approval milestone payments and as much as $1.3 billion tied to future sales, plus royalties. H.C. Wainwright said the new target reflects the significant non-dilutive cash Omeros will receive and updated risk assumptions for zaltenibart.

Under the agreement, Novo Nordisk will take full global control of developing and commercializing zaltenibart, which targets MASP-3, a key protein linked to several rare blood and kidney disorders. The deal could be worth as much as $2.1 billion if all milestones are met. Novo Nordisk said the medicine could become a best-in-class option and will help strengthen its rare disease business.

Omeros CEO Gregory Demopulos said teaming up with Novo Nordisk allows the drugmaker to expand zaltenibart’s reach worldwide while Omeros focuses on bringing its own drug, narsoplimab, to market. 

Novo Nordisk said it plans to start a global phase 3 study of zaltenibart in paroxysmal nocturnal hemoglobinuria (PNH) and explore its use in other rare conditions. The deal is expected to close by late 2025.

On Stocktwits, retail sentiment for Omeros was ‘extremely bullish’ amid ‘extremely high’ message volume, while sentiment for Novo Nordisk was ‘extremely bearish’ with ‘low’ message volume.

One user on Stocktwits said the royalties from the Novo Nordisk deal alone could be worth billions, adding that despite some short-seller claims, Omeros still has an impressive pipeline and plenty of funding to develop new drugs. 

Another user said they had done their own research and believe the company is waiting on FDA decisions for other promising treatments, calling Omeros a solid firm with multiple revenue streams and saying they plan to buy more shares.

While Omeros’ stock has risen 5% so far in 202, Novo Nordisk’s U.S.-listed stock has declined 33% over the same period. 

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