Cidara Therapeutics (CDTX) has received a new Buy rating, initiated by JMP Securities analyst, Roy Buchanan.
Roy Buchanan has given his Buy rating due to a combination of factors that highlight the potential of Cidara Therapeutics’ novel platform technology. The company’s lead candidate, CD388, is being developed for the prevention of influenza and is expected to show significant results in its Phase 2b trial by the second quarter of 2025. This candidate targets a sizeable U.S. population of immunocompromised individuals who have a high unmet need due to low vaccine responsiveness. The success of CD388 could lead to a billion-dollar market opportunity, making Cidara’s stock an attractive investment.
Moreover, CD388’s unique mechanism, which includes a hybrid small-molecule/biologic technology, offers advantages over existing treatments by providing broad antiviral activity and a reduced susceptibility to resistance mutations. The current strong influenza season further underscores the potential demand for effective prevention methods like CD388. Given these promising factors, Buchanan views Cidara as undervalued, even when considering only the CD388 opportunity, and anticipates substantial upside potential if the broader market and pipeline are considered.
In another report released on March 10, H.C. Wainwright also maintained a Buy rating on the stock with a $35.00 price target.