Benzinga | Jul 13, 2021 10:15AM EDT

Ayala's Stock Surges After Ladenburg Initiates Coverage With Price Target Of $29

* Ayala Pharmaceuticals Inc (NASDAQ:AYLA) initiated with Buy with a $29 (around 120% upside) at Ladenburg Thalmann analyst price target.

* The analyst says the company has the most diversified gamma-secretase inhibitor play in the public markets.

* Demir sees near-to-medium term value play considering Ayala's "wide clinical pipeline that offers plenty of interesting /compelling optionality."

* In April, the first patient was dosed in Phase 1 AL102 Combination Trial with Novartis' Anti-BCMA Agent for multiple myeloma.

* Ayala expects an initial interim data read-out from part A of desmoid tumor Phase 2/3 pivotal trial study and dose selection by mid-2022.

* Cash and cash equivalents of $56 million are sufficient to provide a cash runway into 2023.

* Price Action: AYLA shares are up 17.3% at $12.43 during the market session on the last check Tuesday.