This little-known California-based biopharmaceutical stock can see its shares rally nearly 80% in the near term, according to Goldman Sachs. Analyst Paul Choi initiated coverage of Gossamer Bio with a buy rating and a $22 price target, calling attention to upcoming results from the company’s second phase trial of its seralutinib drug as a treatment for pulmonary arterial hypertension , a type of high blood pressure that can be life-threatening. “Should the TORREY data prove to be positive as we expect, we would anticipate increased strategic interest in GOSS given the attractive market opportunity within [pulmonary arterial hypertension] and the opportunity to leverage the asset,” Choi said. Shares of the company’s stock were up more than 5% in trading Thursday on the back of Choi’s call. The analyst also sees promise in the company’s pipeline of Bruton’s tyrosine kinase inhibitor drugs, currently in the works to treat a slew of conditions including some forms of lymphoma and potentially multiple sclerosis. Since the start of the year, Gossamer’s stock has gained 9%. The bank’s price target suggests shares can soar another 78% from Wednesday’s close. “We are broadly bullish on GOSS’s pipeline and view the risk/reward profile at current levels as favorable,” he said. — CNBC’s Michael Bloom contributed reporting
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