Contineum price target lowered to $22 from $25 at RBC Capital

RBC Capital analyst Brian Abrahams lowered the firm’s price target on Contineum (CTNM) to $22 from $25 but keeps an Outperform rating on the shares. The company reported that the phase 2 rrMS VISTA study of M1 antagonist PIPE-307 did not meet its primary or secondary endpoints, but while this removes the potential for upside optionality, the firm had always viewed this trial and indication as high risk, the analyst tells investors in a research note. RBC adds that the decision should not meaningfully impact the potential for ‘307’s success in depression, and the program’s core valuation remains predicated on their other asset ‘791’s promise in IPF, or idiopathic pulmonary fibrosis.