Edgewise downside move a buying opportunity, says RBC Capital

RBC Capital analyst Leonid Timashev lowered the firm’s price target on Edgewise Therapeutics (EWTX) to $52 from $56 and keeps an Outperform rating on the shares after the company reported 28-day CIRRUS Part B/C data for EDG-7500 in patients with obstructive or nonobstructive hypertrophic cardiomyopathy. The firm believes the drug has shown “compelling and highly meaningful efficacy” and contends that that the risk of afib is “both manageable and more likely than not unrelated to ‘7500.” With shares selling of significantly, the firm would be buyers given it sees compelling activity across Edgewise’s programs. The firm believes additional data catalysts will provide “further evidence that these programs can succeed and drive a combined $5B+ revenue opportunity,” the analyst added.