Psychedelic: Analyst raises Compass, Definium, GH Research price targets

In this week’s “Psychedelic,” The Fly’s recurring series focused on psychedelic stock news, The Fly looks back on price target raises, advisory board appointments and a collaboration expansion.

ANALYST RAISES PRICE TARGETS ON PSYCHEDELIC FIRMS: RBC Capital raised the firm’s price target on Compass Pathways (CMPS) to $21 from $16 and kept an Outperform rating on the shares. Following the firm’s Psychedelics Symposium, the firm is introducing a few changes to its CMPS model to better reflect the attitudes of key opinion leaders and companies on pricing, as well as the barriers to generic entry in the emerging innovative psychedelic therapy landscape, the analyst said.

The firm also raised its price target on GH Research (GHRS) to $40 from $33 and kept an Outperform rating on the shares. Following the Symposium and discussions with management, payers, and doctors, RBC is increasingly optimistic on GH’s long- term sales opportunity with GH001, the analyst said.

Additionally, RBC raised the firm’s price target on Definium Therapeutics (DFTX) to $36 from $20 and kept an Outperform rating on the shares. Following the Symposium and discussions with management, the firm has increased expectations for lead drug DT120’s long-term sales opportunity, the analyst said.

Meanwhile, Baird raised the firm’s price target on Definium to $37 from $16 and kept an Outperform rating on the shares. The firm updated its model to include DT120 in Major Depression Disorder potential.

Definium also announced Thursday the appointment of Roger Adsett to its Board of Directors. Adsett currently serves as COO of Insmed (INSM). The appointment increases the board from six to seven directors.

INCANNEX ADDS THREE TO PSX-001 CLINICAL ADVISORY BOARD: Incannex Healthcare (IXHL) announced Thursday the appointment of three additional members to its recently established Clinical Advisory Board: Murray Stein, Andrew Cutler and Amir Kalali. The CAB was formed to provide independent clinical and scientific guidance as the company progresses PSX-001 into its next phase of clinical and regulatory development. Among its roles, the CAB will advise Incannex on clinical trial design, endpoint selection, regulatory engagement, and broader development strategy as PSX-001 advances. Stein is a Distinguished Professor of Psychiatry and Public Health at the University of California San Diego. Cutler is a board-certified psychiatrist and internist with extensive experience in clinical psychopharmacology and CNS drug development. Kalali is a physician-scientist recognized globally for his work at the intersection of life sciences and technology.

“The continued expansion of our Clinical Advisory Board reflects the increasing complexity and importance of the decisions ahead for the PSX-001 program,” stated Incannex CMO Lou Barbato. “As we advance PSX-001, the perspectives of these additional leaders will help inform key clinical and regulatory decisions, support disciplined execution across development milestones, and strengthen the strategic foundation of the program. This deliberate approach to advisory oversight is designed to enhance decision-making, manage risk, and support long-term shareholder value.”

PSYENCE BIOMED ANNOUNCES DATE FOR REVERSE SPLIT: Psyence Biomedical (PBM) announced Wednesday the effective date of its 1-for-6.25 share consolidation of the company’s issued and outstanding common shares. As previously disclosed, the Board of Directors approved a reverse stock split at a ratio of 1-for-6.25, which was intended to become effective at the opening of the market on January 20, however, following further internal consideration, the company announced that it had elected to delay the effectiveness of the reverse stock split to a later date. The company’s common shares are expected to begin trading on a post-consolidated basis at the opening of the market on February 2. At the effective time of the consolidation, every 6.25 issued and outstanding shares of the company will automatically be combined into one issued and outstanding common share. The number of shares and the exercise price of the company’s outstanding warrants and other equity instruments will also be adjusted proportionately in accordance with their respective terms. As of January 21, the company had 6,388,604 common shares issued and outstanding. As a result of the consolidation, the company will have 1,022,177 common shares issued and outstanding.

ENVERIC, TOTEC EXPAND COLLABORATION: Enveric Biosciences (ENVB) announced Thursday that its subsidiary, Akos Biosciences, has licensed to TOTEC Pharma its U.S. Trademark portfolio for RCANN and an RCANN design. TOTEC is advancing the commercialization of patented cannabinoid creme technology created by Enveric and intended for use in treatment of radiation dermatitis. The trademark license to TOTEC includes an option to purchase the RCANN trademark portfolio in the future, contingent on TOTEC meeting certain development and commercialization milestones.

“We are pleased that TOTEC has chosen to further license the RCANN trademark portfolio in connection with advancing the licensed cannabinoid technology towards commercialization,” said Joseph Tucker, CEO. “We believe that this trademark license enhances the value to both parties of the patented cannabinoid technology previously licensed to the TOTEC affiliate, Aries, that is now being advanced by TOTEC. This license further extends the business development momentum of Enveric which has been aided by the out-licensing of non-core assets to third parties and helps build shareholder value.”

OTHER PSYCHEDELIC STOCKS: Publicly-traded companies in the space include Algernon Health (AGNPF), Atai Beckley (ATAI), BetterLife (BETRF), Bright Minds (DRUG), Clearmind (CMND), Filament Health (FLHLF), Helus Pharma (HELP), MIRA Pharmaceuticals (MIRA), NRx Pharmaceuticals (NRXP), Numinus Wellness (NUMIF), Pasithea Therapeutics (KTTA), PharmAla Biotech (MDXXF), PharmaTher (PHRRF), Psyence Group (PSYGF), Relmada Therapeutics (RLMD), Revive Therapeutics (RVVTF) and Silo Pharma (SILO).