H.C. Wainwright analyst Douglas Tsao has reiterated their bullish stance on PRAX stock, giving a Buy rating today.
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Douglas Tsao has given his Buy rating due to a combination of factors that highlight the promising potential of Praxis Precision Medicines. The company’s drug, ulixacaltamide, has shown significant clinical benefits in its Phase 3 trials, surprising many investors who had previously doubted its success. The positive topline data from the ESSENTIAL3 study indicates a strong likelihood of FDA approval by late 2026, despite some risks associated with changes in the study’s primary endpoint timing.
Furthermore, the robust efficacy demonstrated across both primary and secondary endpoints in the trials suggests a broad application for ulixacaltamide, potentially leading to a substantial market opportunity. The drug’s rapid and durable effects, as well as the statistically significant improvements observed, bolster confidence in its commercial viability. With the company aggressively moving towards regulatory submission and a projected peak sales potential of $3.3 billion by 2035, Tsao sees a compelling investment opportunity, justifying the increased price target of $232.
In another report released today, TD Cowen also maintained a Buy rating on the stock with a $251.00 price target.