Eledon Pharmaceuticals: Promising Developments and Strong Financial Outlook Justify Buy Rating

H.C. Wainwright analyst Yi Chen reiterated a Buy rating on Eledon Pharmaceuticals today and set a price target of $9.00.

Yi Chen has given his Buy rating due to a combination of factors related to Eledon Pharmaceuticals’ promising developments and financial outlook. The company is on track with its Phase 2 BESTOW trial for tegoprubart, aimed at preventing organ rejection in kidney transplantation, with topline results expected in November 2025. This trial, which involves 120 participants across multiple regions, is comparing the efficacy and safety of tegoprubart against the standard calcineurin inhibitor, tacrolimus. The primary endpoint is focused on graft function at 12 months post-transplant, and there is potential for tegoprubart to offer improved outcomes.
Additionally, recent data from the Phase 1b trial presented at the World Transplant Congress showed encouraging results, with tegoprubart demonstrating stable kidney function and a favorable safety profile. The financial health of Eledon Pharmaceuticals also supports the Buy rating, as the company reported having $107.6 million in cash and investments, which is expected to fund operations through the end of 2026. These factors combined suggest a promising future for Eledon Pharmaceuticals, justifying the Buy rating and a price target of $9.