Nuvalent upgraded to Buy from Neutral at UBS

UBS analyst David Lai upgraded Nuvalent (NUVL) to Buy from Neutral with an unchanged price target of $100. The shares have been “beaten down” since September 2024, driven largely by the tough biotech tape and macro environment, the analyst tells investors in a research note. However, the firm believes the stock remains solid fundamentally with two “potentially best-in-class therapies” for non-small cell lung cancer with a combined $3.3B peak sales opportunity. UBS sees several near-term catalysts over the next 12 months for Nuvalent and a favorable risk/reward for the shares.