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Hold Rating Issued for Boundless Bio Inc. Amid Strategic Setbacks and Delayed Program Validations

In a report released today, Andrew Berens from Leerink Partners downgraded Boundless Bio Inc. (BOLDResearch Report) to a Hold, with a price target of $3.00.

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Andrew Berens has given his Hold rating due to a combination of factors affecting Boundless Bio Inc.’s current strategic direction. The company has decided to discontinue its current monotherapy and combination arms of the BBI-355 (CHK1) program due to a narrow therapeutic index and observed hematologic toxicity at doses necessary for clinical activity. This decision marks a significant setback as it necessitates a return to proof-of-principle and dose-optimization efforts, which could delay progress.
Furthermore, the anticipated validation of the ecDNA hypothesis using the ECHO diagnostic tool has been postponed, leaving the investment thesis uncertain until new developments, such as the BBI-940 asset, are realized. The shift in strategy, along with the delays in key program validations, has led to a reassessment of the company’s potential, resulting in a Hold rating as the company navigates these challenges.

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