Kailera Therapeutics initiated with an Outperform at Leerink

Leerink initiated coverage of Kailera Therapeutics (KLRA) with an Outperform rating and $36 price target. The firm believes the company’s obesity candidate offer key advantages relative to competing assets, including potential injectable ribupatide efficacy greater than Eli Lilly’s (LLY) tirzepatide and oral ribupatide advantages over Novo Nordisk’s (NVO) oral Wegovy and Lilly’s Foundayo. The company is also leveraging high-quality R&D from China’s number one biopharma company, Henguri, Leerink says, adding that Kailera has exceptional leadership with proven track records.