Tekmira Pharmaceuticals Corporation (NASDAQ:TKMR) has been flying high on hopes that its Ebola virus treatment will rake in sales. Unfortunately along with those hopes has come a lot of volatility, as investors have knee-jerk reactions to any bit of news about Ebola.

However, analysts with Clarus Securities say there’s more to Tekmira than just its Ebola treatment. They nearly doubled their price target for the drug maker.

Tekmira Pharmaceuticals Corporation TKMR Stock
Tekmira Pharmaceuticals Corporation TKMR

New interest in Tekmira Pharmaceuticals Corporation (NASDAQ:TKMR)

In a report dated Oct. 6, 2014, analyst David Novak said they met with the drug maker’s management last week. They learned more about all of Tekmira’s plans and “have emerged with reinforced conviction” that the company’s future looks bright.

The analyst note that investors have been more interested in Tekmira than usual because of the Ebola outbreak, and this has resulted in higher volatility. Nonetheless, they remain convinced that the next 12 months will be the company’s “most significant” and offer a number of catalysts for Tekmira stock.

He reiterated his Buy rating and upped his price target for the drug maker from $22.50 to $40 per share.

Update on Tekmira Pharmaceuticals Corporation (NASDAQ:TKMR)’s Ebola drug

Novak sees Tekmira’s Ebola treatment as being the leading one, noting that it has been given to patients both in the U.S. and abroad. So far, the patients who have been treated with it seem to have tolerated it well, according to him.

He expects the clinical hold to be lifted and notes that a modified version of the company’s drug may be used in clinical trials in West Africa. The analyst believes confirmation of selection will come in the next few weeks. In addition, he sees “unmatched” potential in ramping up manufacturing for Tekmira’s Ebola drug “should the appropriate conditions present.”

Tekmira Pharmaceuticals Corporation (NASDAQ:TKMR)’s hepatitis B drug

Novak also puts a spotlight on Tekmira Pharmaceuticals’ other drugs, like its hepatitis B drug. He calls hepatitis B “a blockbuster market opportunity” and said he thinks investors should keep an eye on this one. He expects the drug transition into the clinic, which will then provide important information starting with the preclinical data package, which will be released on Oct. 15. Clinical trials are scheduled to begin in the first quarter.