Bank of America Securities analyst Jason Zemansky reiterated a Hold rating on Cytokinetics (CYTK – Research Report) yesterday and set a price target of $45.00.
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Jason Zemansky has given his Hold rating due to a combination of factors impacting Cytokinetics. The delay in the FDA’s decision regarding aficamten’s PDUFA has created uncertainty, leaving investors with more questions than answers. Concerns about the absence of a REMS program, despite the NDA acceptance, add to the risk, especially given the potential for adverse effects in patients without active monitoring.
Looking forward, while the potential approval of aficamten for oHCM is a significant catalyst, there are doubts about its commercial differentiation, particularly after Camzyos’ label update. The company’s lack of experience and commercial infrastructure further complicates its ability to execute effectively, leading to a cautious outlook. Consequently, the price objective has been adjusted to $45, reflecting increased macro uncertainties and a higher WACC, reinforcing the Hold rating.
In another report released on May 2, UBS also maintained a Hold rating on the stock with a $41.00 price target.
Based on the recent corporate insider activity of 166 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 CYTK in relation to earlier this year.