Strategic Workforce Restructuring and Clinical Advancements Justify Buy Rating for Korro Bio

William Blair analyst Myles Minter has reiterated their bullish stance on KRRO stock, giving a Buy rating on April 28.

Myles Minter has given his Buy rating due to a combination of factors that highlight Korro Bio’s strategic advancements and financial management. The company’s decision to reduce its workforce by 20% is a strategic move aimed at extending its cash runway into 2027, allowing it to focus resources on critical program milestones, such as the completion of the Phase I/IIa REWRITE clinical trial and the nomination of a second development candidate. This restructuring is expected to incur a one-time expense of approximately $1.2 million in the second quarter of 2025, yet it positions the company for sustained progress.
Minter also notes that the Phase I/II REWRITE study is progressing well, with regulatory approval for expansion into New Zealand and plans to extend into other regions, including the United States. This study’s interim results are anticipated in the second half of 2025, ahead of its completion in 2026. Additionally, Korro Bio’s ongoing “3-2-1 strategy” aims to generate three clinical assets targeting two tissue types using its OPERA RNA-editing platform by the end of 2027. The collaboration with Novo Nordisk further strengthens Korro’s pipeline, with advancements in developing RNA editing assets for cardiometabolic conditions. These strategic initiatives and collaborations underscore the company’s potential for growth and innovation, justifying the Buy rating.

Minter covers the Healthcare sector, focusing on stocks such as Axsome Therapeutics, Alnylam Pharma, and Arcturus Therapeutics. According to TipRanks, Minter has an average return of 5.0% and a 48.62% success rate on recommended stocks.

In another report released on April 28, Cantor Fitzgerald also initiated coverage with a Buy rating on the stock with a $74.00 price target.