In a report released today, Andrew Tsai from Jefferies maintained a Buy rating on Praxis Precision Medicines, with a price target of $65.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 55% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Andrew Tsai has given his Buy rating due to a combination of factors that highlight the promising potential of Praxis Precision Medicines. The recent data from the IEC 2025 conference showcased the efficacy of their drug vormatrigine in treating focal epilepsy, with a notable seizure-freedom rate of 14% over an 8-week period. This is significant as it compares favorably to other approved anti-seizure medications, which typically show lower rates in placebo-controlled studies.
Moreover, the clinical data suggests that both vormatrigine and relutrigine, another drug in their pipeline, have strong competitive profiles. The company’s financial position is also robust, with a cash reserve of $447 million providing valuation support. The anticipation of further data from the Phase II/III studies by the end of 2025 adds to the positive outlook, as successful replication of current efficacy could lead to a substantial increase in stock value. Despite some limitations in the current data, such as the small sample size, the overall prospects for Praxis Precision Medicines appear promising.
Tsai covers the Healthcare sector, focusing on stocks such as Sarepta Therapeutics, Verona Pharma, and ATAI Life Sciences. According to TipRanks, Tsai has an average return of 7.2% and a 52.94% success rate on recommended stocks.