Buy Rating Maintained on Immunovant as IMVT-1402 Pipeline Overshadows Batoclimab Setback

In a report released today, Thomas Smith from Leerink Partners maintained a Buy rating on Immunovant, with a price target of $50.00.

Thomas Smith has given his Buy rating due to a combination of factors tied primarily to Immunovant’s next-generation FcRn inhibitor, IMVT-1402. While the Phase 3 thyroid eye disease study for batoclimab missed its main endpoint, Smith believes downside is limited because expectations were already muted after a similar competitor program was halted, and because the market’s attention has shifted toward the broader ‘1402 pipeline.

Smith emphasizes that data from batoclimab in thyroid-related disease still reinforce the underlying FcRn mechanism, with dose-related hormone normalization and safety consistent with earlier studies, which he views as supportive for ‘1402’s pivotal Graves’ disease program. He also highlights that Immunovant is prioritizing rapid development of ‘1402 across several autoimmune indications, with multiple key clinical readouts expected over the next 12–18 months, and thus maintains a Buy rating with a modestly reduced $50 price target that still implies meaningful upside potential for the shares.

In another report released today, Stifel Nicolaus also maintained a Buy rating on the stock with a $49.00 price target.

Based on the recent corporate insider activity of 39 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 IMVT in relation to earlier this year.