Analyst Edward Nash of Canaccord Genuity maintained a Buy rating on Ventyx Biosciences (VTYX – Research Report), with a price target of $20.00.
Edward Nash has based his Buy rating for Ventyx Biosciences on a range of factors. Despite the discontinuation of the VTX958 program for plaque psoriasis due to insufficient efficacy, Nash maintains optimism towards the company’s stock. The program was highly valued by investors, and the decision to halt it has led to reduced estimates. Nevertheless, Ventyx has decided to continue the development of the drug for Crohn’s disease, which is currently in Phase II. This potential success in a different medical field helps to balance out the disappointment from the suspension of the psoriasis program.
Nash has included the Crohn’s disease program in his valuation metrics, which was not done previously. He projects a worldwide revenue of $675M from the Crohn’s program by 2032, assuming its launch in the U.S. in 2029. Although the success probabilities for the program in the U.S. and EU are estimated at 40% and 30% respectively, they are deemed reasonable due to the historical difficulty of conducting successful Crohn’s disease trials and the less than expected efficacy from the plaque psoriasis trial. Nash also maintains a positive outlook for the company’s VTX002 program in ulcerative colitis, despite the inherent uncertainties in drug development. These various factors are behind Nash’s Buy rating for Ventyx Biosciences.
In another report released yesterday, Piper Sandler also maintained a Buy rating on the stock with a $50.00 price target.
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Ventyx Biosciences (VTYX) Company Description:
Ventyx Biosciences Inc is a clinical-stage biopharmaceutical company focused on advancing new therapies for millions of patients living with inflammatory diseases and autoimmune disorders. Its lead product candidate VTX958 is an oral, selective clinical-stage tyrosine kinase type 2 (TYK2) inhibitor designed to inhibit TYK2 without detectable inhibition of other Janus kinase (JAK) isoforms, which avoids toxicities associated with broader JAK inhibition and, thus, other JAK inhibitors.
Read More on VTYX:
- Wells downgrades Ventyx to Equal Weight on ‘major setback’
- Ventyx Biosciences downgraded to Equal Weight from Overweight at Wells Fargo
- Ventyx Biosciences trading resumes
- Ventyx to terminate ongoing Phase 2 trial of VTX958 in psoriatic arthritis
- Ventyx Biosciences Announces Results from the Phase 2 Trial of VTX958 in Patients with Moderate to Severe Plaque Psoriasis and Provides Corporate Update
