Mizuho Securities analyst Graig Suvannavejh has reiterated their neutral stance on AMLX stock, giving a Hold rating on March 27.
Graig Suvannavejh’s rating is based on the recent clinical outcomes and the subsequent impact on the company’s market position. The Phase 3 TUDCA-ALS study, which is crucial for Amylyx Pharmaceuticals Inc.’s product AMX0035/Relyvrio/Albrioza, failed to meet its primary endpoint. The study’s results showed no significant statistical improvement in ALS patients, which casts doubt on the efficacy of one of Amylyx’s key components. Additionally, considering the previous failure of the PHOENIX study, there is a heightened concern regarding the market viability of Relyvrio, potentially leading to its withdrawal.
Despite the disappointing study outcomes, the direct impact on Amylyx is considered limited at this point, as reflected in Suvannavejh’s hold rating. The stock price had already adjusted significantly, dropping approximately 85%, which implies that market expectations have been recalibrated. Furthermore, the decision on whether Relyvrio will be voluntarily withdrawn from the market is pending, adding to the uncertainty surrounding the company’s future. Therefore, in light of these factors, Suvannavejh maintains a Neutral stance, awaiting further clarity from the company’s forthcoming decisions.
According to TipRanks, Suvannavejh is an analyst with an average return of -6.2% and a 44.75% success rate. Suvannavejh covers the Healthcare sector, focusing on stocks such as Axsome Therapeutics, Terns Pharmaceuticals, and Apellis Pharmaceuticals.
In another report released on March 27, Goldman Sachs also maintained a Hold rating on the stock with a $4.00 price target.
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Amylyx Pharmaceuticals Inc (AMLX) Company Description:
Amylyx Pharmaceuticals Inc is a clinical-stage pharmaceutical company working on developing a novel therapeutic for amyotrophic lateral sclerosis and other neurodegenerative diseases.
