Buy Rating for Meiragtx Holdings: Promising Secondary Endpoint Results and Regulatory Optimism Drive Confidence

Alec Stranahan, an analyst from Bank of America Securities, reiterated the Buy rating on Meiragtx Holdings (MGTX – Research Report). The associated price target remains the same with $14.00.

Alec Stranahan has given his Buy rating due to a combination of factors, including the promising data from Meiragtx Holdings’ bota-vec treatment for X-linked retinitis pigmentosa (XLRP). Despite missing the primary endpoint in the phase 3 study, the treatment showed compelling results on key secondary endpoints, such as functional vision and retinal function, which are significant indicators for potential approval. The historical precedent in the field, like the approval of Luxturna, supports the possibility of bota-vec gaining approval based on these secondary measures.
Furthermore, the potential financial milestones associated with the program, amounting to $285 million, provide a strong incentive for continued investment. The positive regulatory sentiment, particularly with the FDA’s openness to new approval pathways for rare diseases, adds to the optimism surrounding Meiragtx Holdings’ prospects. These factors collectively underpin Stranahan’s confidence in the stock’s potential, justifying the Buy rating and the price objective of $14.

According to TipRanks, Stranahan is an analyst with an average return of -10.2% and a 41.15% success rate. Stranahan covers the Healthcare sector, focusing on stocks such as Novavax, TG Therapeutics, and Candel Therapeutics.