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Orexo: Favourable market for the ongoing launch - Nordea

The next major valuation trigger for the Orexo share lies in the company's ability to ramp up sales in its newly launched digital offering, in our view. Even though reimbursement is yet to be established, we expect first sales in Q4 2020. We argue that a successful launch is particularly important because Orexo's main earnings contributor Zubsolv is facing headwinds from increased competition, COVID-19 and legal disputes.

We maintain our view that the market conditions for digital therapies are favourable, but we nevertheless lower our DCF-based fair value range to SEK 95-119 (100-126) owing to slightly lower expectations for Zubsolv.

Marketing material commissioned by Orexo.
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