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Wells Fargo Initiates Oxigene

Wells Fargo initiates Oxigene Inc. (OXGN) coverage with buy.

Analyst Paul Keough believes Oxigene's approach to vessel disruption, called vascular targeting agents (VTAs), has breakthrough potential in numerous cancer indications as a complementary add-on treatment to chemotherapy, radiation therapy, and anti-angiogenesis agents.

He believes Oxigene leads the clinical race for VTAs, which could eventually gain widespread use in large cancer markets.

Likely as partnership, Keough estimates the company could have sales potential of $1 billion to $2 billion. He has a $7 target.

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