Barclays analyst Geoff Meacham upgraded Seattle Genetics (SGEN) to Overweight and raised his price target for the shares to $70 from $60.

The biotechnology company closed yesterday up 33c to $64.01. The analyst has increased conviction in the company's Echelon-1 study, which is evaluating Adectris as part of a frontline combination chemotherapy regimen in 1,334 patients with previously untreated advanced classical Hodgkin lymphoma.

Due diligence indicates clinicians are largely willing to accept a marginal gain in efficacy for a meaningful improvement in safety/toxicity, Meacham tells investors in a research note. The analyst now models peak Adcetris U.S. classical Hodgkin lymphoma sales at $1.2B, versus a prior $900M, with peak sales across all indications at $1.8B, above the consensus of $1.5B. Meacham this morning also downgraded Regeneron Pharmaceuticals (REGN) to Underweight from Equal Weight.