HilleVax downgraded to Hold from Buy at Stifel

Stifel downgraded HilleVax to Hold from Buy with a price target of $3, down from $34, following the company’s disappointing top-line data from the Phase 2b NEST-IN1 trial resulting in the discontinuation of HIL-214 development in infants. The company remains well-capitalized and the firm “would not discount the possibility” of its management subsequently articulating a development path forward with HIL-214 or HIL-216 in older or at-risk adults, but its development path would prove a “time and resource-intensive undertaking” that is unlikely to yield much near-term support from investors in light of NEST-IN1 data, the analyst tells investors in a research note. Stifel adds that it sees little opportunity for near-term price appreciation for HilleVax shares.