Dendreon (NASDAQ:DNDN) Should Meet Guidance Says Deutsche (NYSE:DB)

Based on guidance for Provenge by Dendreon (NASDAQ:DNDN), Deutsche Bank (NYSE:DB) raised their price target on the company, as checks confirms it.

Deutsche Bank said "despite some skepticism about Provenge market opportunity among individual centers, if we calculate the 2011 exit run rate based on our feedback from low, mid, and high-prescribing centers, we estimate on avg centers will treat -5.5 patients /mo. Assuming -100+ centers are up in next 12 months, this implies a $760M annual run rate, in line with guidance."

Guidance for 2011 from Dendreon was for $350 million to $400 million. It also appears there won't be a demand from the EMA for an additional ph 3 trial in order to gain approval.

Deutsche Bank maintains their "Buy" rating on Dendreon, which closed Friday at $38.20, up $2.78, or 7.85 percent. Deutsche raised their price target on them from $44 to $54.

Dendreon's (NASDAQ:DNDN) PROVENGE Should Receive Positive Rating

With manufacturing capacity issues expected to be resolved soon, and PROVENGE looking positive, Needham sees Dendreon (NASDAQ:DNDN) as a stock of interest in 2011.

Needham said, "We view DNDN as a stock of added interest in 2011. We believe the manufacturing-capacity constraints will be well addressed, and by the end of 2011, we expect all three manufacturing facilities will be on-line with ~10x the current capacity. We are encouraged to see PROVENGE demand remains strong despite limited marketing efforts to date, and physician-prescribing behavior does not seem to be affected by reimbursement concerns. Given the positive MEDCAC panel, we anticipate a positive memo from MEDCAC in March 2011 and a positive ruling in June 2011 regarding payment for on-label PROVENGE use under the National Coverage Analysis. We believe the significant clinical benefits of PROVENGE with 4.1 months improvement in overall survival will likely weigh heavily on the final decision."

Needham & Company reiterates a "Buy" rating on Dendreon, which closed Wednesday at $35.21, down $0.28, or 0.79 percent. They have a price target of $62 on Dendreon.

Dendreon (Nasdaq:DNDN) Shares Soar on MEDCAC Panel Support

A positive review from the MEDCAC panel on the effectiveness of its cancer drug Provenge caused the share price of Dendreon (Nasdaq:DNDN) to soar by almost 7 percent by the close of Thursday's trading session.

This is good news for Dendreon, but the market will wait until March when Medicare officials will make a final decision on whether or not to cover the drug or not.

With most diagnosed with prostrate cancer being senior men, which Medicare primarily covers, it is essential to the success of the drug that is is approved by Medicare, or for the most part, it'll be irrelevant to the company.

Although some view this as a nod toward assured approval, that's not necessarily a certainty, as the drug costs $93,000 per each patient, while extending their live on average, only four months.

Even so, it does seem to at least increase the probability of the chance of it being approved, and that is a good step at this time.

Dendreon closed Thursday at $38.23, rising by $2.36, or 6.58 percent. Volume was over three times the 3-month daily average.