Analyst Yi Chen from H.C. Wainwright reiterated a Buy rating on Lipocine and keeping the price target at $8.00.
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Yi Chen has given his Buy rating due to a combination of factors surrounding Lipocine’s promising development in the treatment of postpartum depression (PPD). The company’s LPCN 1154 is positioned as a potentially best-in-class oral neuroactive steroid, offering significant improvements over current treatment options. The current standard of care, serotonergic antidepressants, have notable drawbacks such as delayed efficacy and prevalent side effects, whereas LPCN 1154 demonstrates a rapid onset of action and a favorable safety profile.
Furthermore, LPCN 1154 has shown promising results in clinical trials, with a high remission rate and minimal adverse events, distinguishing it from existing treatments like zuranolone. The ongoing Phase 3 trial, which aims to confirm these benefits, could lead to a New Drug Application submission if successful. Given the substantial unmet needs in PPD treatment and the potential market size, Yi Chen reiterates a Buy rating with an $8 price target, highlighting LPCN 1154’s potential to address this significant healthcare challenge.