Buy Rating Affirmed for Regulus Therapeutics Amid Positive Clinical Advances for RGLS8429

H.C. Wainwright analyst Ram Selvaraju reiterated a Buy rating on Regulus (RGLS – Research Report) today and set a price target of $9.00.

Ram Selvaraju has given his Buy rating due to a combination of factors surrounding Regulus Therapeutics’ progress in their clinical trials and the potential for their drug candidate, RGLS8429. In the recent Phase 1b study for Autosomal Dominant Polycystic Kidney Disease (ADPKD), the company reported positive topline results, particularly in Cohort 2, where a dose response was indicated by reductions in key biomarkers and total kidney volume in patients. Additionally, the trial is advancing as planned, with Cohort 3 expected to yield data mid-2024 and the initiation of an open-label fourth cohort, which could further inform the design of a pivotal Phase 2 trial.
Selvaraju’s optimism is also rooted in the safety profile of RGLS8429, which was well-tolerated, and the potential for the drug to qualify for an accelerated approval pathway. The inverse correlation observed between the biomarkers and kidney volume reduction is a promising sign for the drug’s efficacy. The company’s strategic progress toward an end-of-Phase 1 meeting with the FDA and the subsequent start of a Phase 2 trial projected for 2025 strengthen the case for a Buy rating. Selvaraju appears confident that the culmination of these developments positions Regulus favorably within the biopharmaceutical landscape for ADPKD treatment.

Selvaraju covers the Healthcare sector, focusing on stocks such as MoonLake Immunotherapeutics, Axsome Therapeutics, and Genmab. According to TipRanks, Selvaraju has an average return of 5.1% and a 35.20% success rate on recommended stocks.

In another report released on May 6, Canaccord Genuity also maintained a Buy rating on the stock with a $11.00 price target.

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Regulus (RGLS) Company Description:

Regulus Therapeutics, Inc. is a biopharmaceutical company, which engages in the discovery and development of drugs targeting microRNAs. Its two lead product candidates, RG-012 and RGLS4326, are in clinical development. RG-012 is an anti-miR targeting miR-21 in Phase II clinical trial for the treatment of Alport syndrome, a life-threatening kidney disease. RGLS4326 is an anti-miR targeting miR-17 in Phase I clinical trial for the treatment of autosomal dominant polycystic kidney disease. The company is also developing a pipeline of preclinical drug product candidates in renal, hepatic, and central nervous systems diseases. The company was founded in September 2007 and is headquartered in San Diego, CA.