Analyst Jason Zemansky of Bank of America Securities maintained a Hold rating on Cytokinetics (CYTK – Research Report), retaining the price target of $45.00.
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Jason Zemansky has given his Hold rating due to a combination of factors surrounding Cytokinetics’ recent announcement. The company revealed that its MAPLE trial met its primary endpoint, but the lack of detailed insights into secondary outcomes has left uncertainties in the market. While the trial’s results are a positive step for Cytokinetics, the absence of commentary on these secondary endpoints complicates the evaluation of the drug’s potential in the first-line setting for obstructive hypertrophic cardiomyopathy (oHCM).
Furthermore, despite the modest pre-market rise in CYTK shares, there are concerns about the drug’s acceptance among payers and cardiologists, particularly in community settings. The high barriers to first-line use and the uncertainty surrounding the drug’s broader adoption contribute to a balanced risk/reward profile. As a result, Zemansky maintains a Hold rating, reflecting the current uncertainties and the potential challenges in achieving widespread market penetration.
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.