Analyst Serge Belanger of Needham maintained a Buy rating on Xenon (XENE – Research Report), with a price target of $60.00.
Serge Belanger has given his Buy rating due to a combination of factors that indicate potential growth for Xenon Pharmaceuticals. The company is strategically positioned for a data-rich period starting in 2025, with significant upcoming data catalysts. These include the first half of 2025 readout of the investigator-led phase 2 trial of azetukalner in major depressive disorder (MDD) and the second half of 2025 topline results of the phase 3 X-TOLE2 study in focal onset seizures (FOS). If these results are positive, they will support a New Drug Application (NDA) filing by late 2025 or early 2026.
Furthermore, Xenon has initiated a phase 3 pivotal program in MDD and is planning to expand azetukalner development with a phase 3 program for bipolar depression, expected to start in mid-2025. Despite a recent 5% drop in share price following an earnings update, which was likely influenced by the announcement of the CFO’s departure for personal reasons, the strategic developments and upcoming data readouts underpin the Buy rating and a price target of $60.
In another report released today, H.C. Wainwright also maintained a Buy rating on the stock with a $53.00 price target.
Based on the recent corporate insider activity of 11 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of XENE in relation to earlier this year.