NeuroPace’s Promising Prospects: Buy Rating Affirmed Despite Initial Study Setback

In a report released today, Mike Kratky from Leerink Partners maintained a Buy rating on NeuroPace (NPCE – Research Report), with a price target of $18.00.

Mike Kratky has given his Buy rating due to a combination of factors related to NeuroPace’s recent data release and future prospects. Despite the initial disappointment with the NAUTILUS study not achieving statistical significance in its primary efficacy endpoint, Kratky finds encouragement in the subgroup analysis. This subgroup, consisting of patients with fewer than two seizures per month, demonstrated a significant and meaningful response, which suggests potential for broader application in the generalized epilepsy population.
Additionally, Kratky notes that patients who have reached the two-year follow-up have shown substantial seizure reduction, a promising sign when compared to previous studies. NeuroPace’s management has expressed confidence in maintaining their revenue growth targets and plans to engage with the FDA for future regulatory discussions. These factors, combined with the company’s strategic outlook and management’s confidence, underpin Kratky’s Buy rating for NeuroPace.

Kratky covers the Healthcare sector, focusing on stocks such as NeuroPace, Dexcom, and Edwards Lifesciences. According to TipRanks, Kratky has an average return of 18.2% and a 54.78% success rate on recommended stocks.

In another report released today, Lake Street also reiterated a Buy rating on the stock with a $20.00 price target.