H.C. Wainwright analyst Raghuram Selvaraju raised the firm’s price target on BioXcel Therapeutics to $200 from $120 and reiterates a Buy rating on the shares after the company announced top-line results from the Phase 3 SERENITY trials of BXCL5 in treatment of acute agitation among patients with schizophrenia and bipolar disorder. The stock in premarket trading is up 30%, or $15.99, to $68.98. All primary and secondary endpoints were met with high statistical significance, Selvaraju tells investors in a research note. The price target change is driven by an increase in the probability of approval for BXCL501 to 85% from the previous 60% in neuropsychiatric indications, to 70% from 60% in dementia, to 60% from 40% in opioid use disorder, and to 50% from 40% in delirium. The “very positive” data from the SERENITY studies constitutes a “major de-risking event” for BioXcel and positions the company in the “vanguard of drug developers” advancing therapies for central nervous system indications, contends Selvaraju. The analyst believes BXCL501 could be the subject of an initial New Drug Application submission in early 2021.