Pharmacyclics (NASDAQ:PCYC) PCI-32765 Data Update from Needham

Pharmacyclics (NASDAQ:PCYC) and Btk Inhibitor PCI-32765 received an update from Needham & Company, which they say should have more visibility as to the quickest pathway to registration.

Needham said, "Looking into 2011, we believe the Company will identify a pivotal strategy, including the initial indication, dosing regimen for combination, and trial design that allows for the fastest registration pathway for PCI-32765, a novel class of drug that showed promise in multiple subtypes of B-cell malignancies.

"In the near-term, we believe continued data updates, trial initiations, and potential partnerships may drive the stock higher. In the longterm, we believe a potential registration strategy for PCI-32765 as well as other pipeline development will drive the valuation thesis. As of September 30, 2010, the Company had $68MM in cash and equivalents. With an expected cash burn of - $35MM for FY11, we believe the Company has sufficient cash well into 2012."

Needham & Company maintains a "Buy" rating on Pharmacyclics, which closed Wednesday at $6.30, down $0.09, or 1.45 percent. They have a price target of $12 on them from Needham.