Zenas BioPharma’s Promising Autoimmune Pipeline and Obexelimab’s Competitive Edge Drive Buy Rating

Analyst Matthew Caufield from H.C. Wainwright reiterated a Buy rating on Zenas BioPharma, Inc. (ZBIO – Research Report) and keeping the price target at $30.00.

Matthew Caufield has given his Buy rating due to a combination of factors related to Zenas BioPharma’s promising developments in their autoimmune pipeline. The company’s lead therapy, obexelimab, is advancing in clinical trials for several autoimmune diseases, including IgG4-related disease, relapsing multiple sclerosis, and systemic lupus erythematosus. Obexelimab’s unique mechanism of action, which targets both CD19 and Fc gamma receptor IIb without depleting B cells, is seen as a significant advantage, particularly in light of recent FDA approval of a similar treatment by Amgen, which validates the approach.
Additionally, the anticipated convenience and safety of obexelimab’s self-administered subcutaneous injection regimen offer a competitive edge over existing treatments that require intravenous infusions. The upcoming topline results from pivotal trials, such as the Phase 3 INDIGO trial for IgG4-related disease and the Phase 2 MoonStone trial for relapsing MS, are key catalysts that could further validate obexelimab’s efficacy and safety profile. These factors, combined with the potential for obexelimab to address unmet needs in autoimmune diseases, underpin Caufield’s confidence in maintaining a Buy rating and a $30 price target for Zenas BioPharma’s stock.