Analyst Debanjana Chatterjee from JonesTrading reiterated a Buy rating on KalVista Pharmaceuticals and increased the price target to $37.00 from $30.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Debanjana Chatterjee has given her Buy rating due to a combination of factors that highlight the potential of KalVista Pharmaceuticals. The recent FDA approval of Ekterly has removed significant uncertainty, allowing the focus to shift towards the launch and insurance coverage dynamics. While initial sales are expected to be slow due to insurance processes, revenues are projected to increase significantly by 2026, which could greatly enhance the company’s valuation.
Moreover, KalVista’s infrastructure is well-prepared to support prescribers with administrative tasks, which is crucial given the challenges in obtaining medical exceptions and formulary placements. The strong patient demand, improved compliance, and potential reduction in healthcare costs due to early treatment further strengthen Ekterly’s market position. Additionally, KalVista’s solid cash position and strategic financial decisions, such as the optional payment from DRI Healthcare, provide a stable financial runway into 2027, supporting the company’s growth and operational plans.
In another report released yesterday, Citizens JMP also reiterated a Buy rating on the stock with a $27.00 price target.
Based on the recent corporate insider activity of 35 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of KALV in relation to earlier this year.