Morgan Stanley analyst Vikram Purohit maintained a Hold rating on SAGE Therapeutics (SAGE – Research Report) on April 17 and set a price target of $9.00.
Vikram Purohit has given his Hold rating due to a combination of factors impacting SAGE Therapeutics. The company’s financial projections for its key product, Zurzuvae, show that while the first-quarter 2025 estimate aligns with market consensus, the full-year 2025 estimate falls slightly short of expectations. This discrepancy suggests potential challenges in meeting market expectations, which contributes to a cautious outlook.
Additionally, the performance of SAGE Therapeutics is heavily influenced by its ability to effectively execute its commercial strategy for postpartum depression (PPD) and manage operational expenses. The ongoing strategic review of the business also adds an element of uncertainty, as any significant outcomes could impact the company’s future direction. These factors together justify a Hold rating, as they indicate a balanced risk-reward scenario at the current stock price.
According to TipRanks, Purohit is an analyst with an average return of -8.2% and a 33.56% success rate. Purohit covers the Healthcare sector, focusing on stocks such as Genmab, Ascendis Pharma, and Axsome Therapeutics.
In another report released on April 3, RBC Capital also maintained a Hold rating on the stock with a $7.00 price target.