Eliana Merle, an analyst from UBS, maintained the Buy rating on Terns Pharmaceuticals. The associated price target is $17.00.
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Eliana Merle’s rating is based on the anticipation of significant data updates from Terns Pharmaceuticals in the fourth quarter, which are expected to be pivotal for the company’s future. The upcoming results from the Phase 2 trial of TERN-601 for obesity and the Phase 1 trial of TERN-701 for chronic myeloid leukemia (CML) are seen as underappreciated catalysts that could drive the stock’s value.
Merle believes that TERN-701 has the potential to differentiate itself in the CML treatment landscape due to its promising efficacy and tolerability profile. The management’s confidence in TERN-601’s safety and potential for partnership further supports the Buy rating. Additionally, the current market valuation of Terns Pharmaceuticals does not fully reflect its potential in the CML market, which Merle estimates could reach approximately $1 billion by 2035, presenting a significant upside opportunity for investors.
In another report released on September 4, Oppenheimer also maintained a Buy rating on the stock with a $20.00 price target.
Based on the recent corporate insider activity of 14 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of TERN in relation to earlier this year.