Design Therapeutics initiated with an Outperform at Oppenheimer

Oppenheimer initiated coverage of Design Therapeutics (DSGN) with an Outperform rating and $18 price target The firm notes the company’s lead program is Friedreich’s ataxia, wherein the drug was optimized following a clinical trial and could be a “game changer,” according to an FA well-regarded key opinion leader, while follow-on programs include Myotonic Dystrophy 1 and Fuchs Endothelial Corneal Dystrophy. Oppenheimer sees high probability of success for Design Therapeutics’ platform given that early clinical data demonstrates broad distribution across tissues and high/sustained PK exposure. The company’s biggest catalyst is the second half of 2026 readout in FA that, in the firm’s view, will provide significant derisking of its platform/pipeline, driving 50%-100%-plus potential upside and attracting investor/pharma interest.