MoonLake (MLTX): De-Risked HS Pathway and Multi-Indication Pipeline Support Attractive Risk/Reward and Buy Rating

In a report released today, Rami Katkhuda from LifeSci Capital maintained a Buy rating on MoonLake Immunotherapeutics, with a price target of $33.00.

Rami Katkhuda has given his Buy rating due to a combination of factors related to MoonLake’s lead asset, sonelokimab, and its regulatory and clinical trajectory in hidradenitis suppurativa (HS). He highlights that the recent Type B FDA meeting clarified a path to a Biologics License Application in the second half of 2026 without the need for an additional pivotal trial, which de-risks development and preserves timelines. The planned BLA will be supported by data from the VELA-1, VELA-2, and MIRA studies, with the FDA specifically encouraging inclusion of MIRA and VELA-2 to bolster the totality of evidence on efficacy and safety. While experts view overall efficacy versus UCB’s bimekizumab as broadly comparable, Katkhuda believes sonelokimab could stand out through a more favorable safety profile, particularly regarding skin reactions, as well as practical advantages like a lower-volume injection and a shorter induction phase, and the potential to secure an adolescent HS indication via VELA-TEEN data. These factors collectively led him to raise his probability of success for HS and increase his 12‑month price target to $33 per share.
Beyond HS, Katkhuda underscores that MoonLake has several catalysts across large dermatology and rheumatology markets that can add further value. In 2026, he anticipates Phase II results in axial spondyloarthritis, along with pivotal readouts from the IZAR-1 and IZAR-2 psoriatic arthritis trials targeting both biologic-naïve and more complex patient populations, including evaluation of structural progression. He notes that this breadth of late-stage and mid-stage programs, all built around the same differentiated mechanism, provides multiple shots on goal in indications with multi-billion-dollar potential. Taken together with the company’s cash position and defined clinical roadmap, these upcoming inflection points support his conviction that MoonLake’s risk/reward profile is attractive at current levels, justifying his Buy rating on MLTX.

In another report released today, Clear Street also maintained a Buy rating on the stock with a $45.00 price target.