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Neurogene’s Clinical Progress and Financial Resilience Underpin Buy Rating Despite Regulatory Challenges

Neurogene’s Clinical Progress and Financial Resilience Underpin Buy Rating Despite Regulatory Challenges

Analyst Mani Foroohar of Leerink Partners reiterated a Buy rating on Neurogene, with a price target of $70.00.

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Mani Foroohar has given his Buy rating due to a combination of factors related to Neurogene’s recent developments and financial outlook. The company has made significant progress in its clinical trials, particularly with NGN-401 for Rett syndrome, where they have completed dosing in the Phase 1/2 trial and are preparing to transition to a registrational trial. This advancement is expected to support the initiation of pivotal trials in the second half of 2025, which is a critical step towards potential market approval.
Financially, Neurogene’s research and development expenses were higher than expected, indicating a strong commitment to advancing their pipeline. Despite this, the company maintains a solid cash position of $274.5 million, which is anticipated to sustain operations as they move forward with their clinical programs. While there is a slight adjustment in the price target from $72 to $70 due to regulatory uncertainties in the EU and other regions, the overall outlook remains positive, supporting the Buy recommendation.

In another report released yesterday, Stifel Nicolaus also reiterated a Buy rating on the stock with a $46.00 price target.

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