Oruka Therapeutics (ORKA) stock underwent a huge rally on Wednesday after the biotechnology company announced interim results from a Phase 1 trial of ORKA-001. ORKA-001 is the company’s long-acting IL-23p19 antibody designed to treat chronic skin diseases, including plaque psoriasis (PsO).
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The big news here is that ORKA-001 has a confirmed half-life of 100 days, which is three times greater than AbbVie’s (ABBV) risankizumab, which is sold under the brand name Skyrizi. This, combined with the effectiveness of ORKA-001, could allow the company to offer once-a-year doses to patients, greatly altering the current treatment landscape for PsO patients.
To go along with this news, Oruka Therapeutics also announced a $180 million private placement. Viking Global Investors led this private placement and was joined by several new and existing investors. The company expects to use these funds for research and development, general corporate expenses, and working capital. This provides it with enough funds to continue operations for one year after the ORKA-002 Phase 2 and ORKA-001 EVERLAST-B Phase 2b data readouts in 2027.
Oruka Therapeutics Stock Movement Today
Oruka Therapeutics stock was up 14.09% on Wednesday, but remained down 23.16% year-to-date. The shares have also fallen 41.29% over the past 12 months. Today’s news came with heavy trading, as some 300,000 shares changed hands, compared to a three-month daily average of about 142,000 units.
Is Oruka Therapeutics Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Oruka Therapeutics is Strong Buy, based on eight Buy ratings over the past three months. With that comes an average ORKA stock price target of $43.86, representing a potential 158.91% upside for the shares.
Analyst coverage of Oruka Therapeutics stock was updated today. Clear Street analyst Kaveri Pohlman reiterated a Buy rating and $46 price target, suggesting a 171.55% upside for ORKA shares.
