Maintaining a Buy on Olema: Differentiated Palazestrant Profile Supports Upside Despite Negative Giredestrant Read-Through

H.C. Wainwright analyst Emily Bodnar assigned a Buy rating on Olema Pharmaceuticals today and set a price target of $38.00.

Emily Bodnar has given his Buy rating due to a combination of factors that, in her view, support the continued value of palazestrant despite the negative persevERA headline. She argues that the Roche giredestrant outcome is not a direct proxy for Olema’s OPERA-02 because the patient mix, prior adjuvant exposure, and trial design in persevERA likely muted the treatment effect and complicate read-through.

Bodnar further highlights that OPERA-02 pairs palazestrant with ribociclib, a CDK4/6 inhibitor with a demonstrated overall survival advantage, whereas the Roche study used palbociclib, which lacks such benefit. She also points to stronger pharmacokinetics, more favorable Phase 2 efficacy signals for palazestrant versus giredestrant, and encouraging Phase 1b combination data, all of which underpin her conviction that Olema still has meaningful upside potential, justifying a Buy rating.

In another report released today, LifeSci Capital also assigned a Buy rating to the stock with a $26.00 price target.