Andrew Berens, an analyst from Leerink Partners, maintained the Buy rating on Nuvalent (NUVL – Research Report). The associated price target remains the same with $125.00.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Andrew Berens has given his Buy rating due to a combination of factors that highlight the potential of Nuvalent’s ROS1 inhibitor, zidesamtinib. The upcoming pivotal readout for zidesamtinib is anticipated to be a significant event, with expectations that it could demonstrate a best-in-class profile in terms of efficacy and safety. This potential success is seen as a crucial step in reaffirming Nuvalent’s capabilities in drug development, especially as it pertains to the broader opportunity in ALK mutated lung cancer.
Berens points out that the Phase 1 data for zidesamtinib already indicate unprecedented efficacy and safety, with high selectivity for ROS1 and activity at key resistance mutations. The drug has shown impressive response rates even at doses below the recommended Phase 2 level, which suggests strong potential for success in upcoming trials. Additionally, the lack of TRK activity helps minimize toxicities, potentially leading to better patient compliance and longer treatment durations. These factors collectively contribute to a positive outlook for Nuvalent’s stock, justifying the Buy rating.
In another report released on June 3, Barclays also maintained a Buy rating on the stock with a $100.00 price target.