Latest news with #JasonZemansky
Yahoo
2 days ago
- Business
- Yahoo
Insmed's Pulmonary Hypertension Drug Data Exceeded Even Bullish Outlook, Analysts Boost Price Forecast
Insmed Incorporated (NASDAQ:INSM) on Tuesday released topline results from its Phase 2b study of treprostinil palmitil inhalation powder (TPIP), administered once daily in patients with pulmonary arterial hypertension. The study met its primary endpoint and all secondary efficacy endpoints. For the primary endpoint, the placebo-adjusted reduction from baseline in pulmonary vascular resistance (PVR) was 35%, with a Least Squares (LS) mean ratio of 0.65. The placebo-adjusted improvement in six-minute walk distance (6MWD) was 35.5 meters for the secondary efficacy placebo-adjusted reduction from baseline in N-terminal pro-b-type natriuretic peptide (NT-proBNP) concentrations, a biomarker for cardiac stress, was 60%, with an LS mean ratio of 0.40. These results demonstrate the durability of TPIP's therapeutic effect as a once-daily therapy based on efficacy evaluated approximately 24 hours after administering therapy. Insmed will engage with the U.S. Food and Drug Administration (FDA) regarding the Phase 3 trial design for PAH. Insmed plans to initiate a Phase 3 trial in patients with pulmonary hypertension associated with interstitial lung disease (PH-ILD) before the end of 2025 and a Phase 3 trial in patients with PAH in early 2026. Once-daily TPIP therapy was well tolerated in the study. Bank of America Securities (BofA) said TPIP data 'exceeded even our bullish outlook.' Analyst Jason Zemansky sees 'clear potential for TPIP to become foundational in PAH/ PH-ILD, given the strength of the data and treprostinil's well-established role in the paradigm.' BofA analyst says that overall, the data looks strong, and there's little to criticize. TPIP seems to have a top-tier profile, especially in how it's administered. Plus, there's good reason to think its effectiveness will improve with higher doses, and safety concerns may decrease with longer dose adjustments. On Tuesday, BofA increased the price forecast from $94 to $109, reiterating its Buy rating. BofA still sees several short-term factors that could drive shares higher, but these aren't fully reflected in the current price. One is the upcoming FDA decision on brensocatib, expected by August 12. Although there are good reasons to be optimistic, investor skepticism remains around management's ambitious goal of over $5 billion in peak sales. Meaningful insights into the launch likely won't come until around the first quarter of 2026. However, early feedback from doctors and insurers in the second half of 2025 could help ease some doubts. HC Wainwright maintained a Buy rating on Insmed and has raised the price forecast from $90 to $120. Wells Fargo maintained an Overweight rating on Insmed and has raised the price forecast from $107 to $119. Morgan Stanley maintained an Overweight rating on Insmed and has raised the price forecast from $90 to $102. RBC Capital maintained an Outperform rating on Insmed and has raised the price forecast from $99 to $106. Mizuho maintained an Outperform rating on Insmed and has raised the price forecast from $96 to $110. Price Action: INSM stock is trading higher by 7.04% to $97.33 at last check Wednesday. Read Next:Photo via Shutterstock Date Firm Action From To Feb 2022 SVB Leerink Maintains Outperform Dec 2021 JP Morgan Initiates Coverage On Overweight Oct 2021 Cantor Fitzgerald Initiates Coverage On Overweight View More Analyst Ratings for INSM View the Latest Analyst Ratings UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? INSMED (INSM): Free Stock Analysis Report This article Insmed's Pulmonary Hypertension Drug Data Exceeded Even Bullish Outlook, Analysts Boost Price Forecast originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
Yahoo
3 days ago
- Business
- Yahoo
Keros Therapeutics' Quiet Near-Term Outlook Overshadows Pipeline Potential: Analyst
Bank of America Securities analyst Jason Zemansky downgraded Keros Therapeutics, Inc. (NASDAQ:KROS) from Buy to Neutral, lowering the price forecast from $32 to $18. Zemansky noted that Keros has wrapped up its strategic review, with the board deciding to advance KER-065 for Duchenne muscular dystrophy (DMD) and return $375 million in excess capital to shareholders. The analyst highlights that the stock has been downgraded not due to concerns about the platform or pipeline, which remains compelling, but because of limited near-term favorable valuation and a solid cash buffer, Zemansky writes that the stock may stay range-bound given that meaningful updates on KER-065 are unlikely soon, with FDA discussions not expected until the third quarter. As a result, other investment opportunities may offer better near-term potential. The analyst slashed the price forecast to reflect adjustments to the cash balance and a higher weighted average cost of capital (WACC) of 16%, now aligned with peers at a similar stage. On June 9, 2025, ADAR1 Capital Management, the largest shareholder of Keros Therapeutics, stated that the recent board election results signal 'widespread dissatisfaction' among investors. ADAR1 highlighted that two directors received support from only about a third of outstanding shares, reflecting a loss of confidence in the board's management and capital allocation. While acknowledging Keros's recent decision to halt a drug program and cut staff, ADAR1 called the actions 'wholly insufficient.' The firm heavily criticized the board's plan to return only a portion of its cash to shareholders, arguing the amount retained is excessive for Keros's limited clinical pipeline. To address this, ADAR1 issued specific demands for the board to take immediate action. The firm called for Keros to increase its capital return by an additional $100 million for a total of $475 million, to be paid through a special dividend by the end of Q3 2025. Furthermore, ADAR1 urged the company to create a contingent value right (CVR) to allow shareholders to directly benefit from the Takeda partnership. ADAR1 warned that if the board does not adopt a more aggressive, investor-focused strategy, it will not hesitate to nominate new directors for the 2026 annual meeting to ensure the will of shareholders is respected. Zemansky acknowledged that the board had limited strategic options aside from fully dissolving the company. However, he writes that bearish investors may have expected a more aggressive outcome than just the potential $375 million capital return, especially since the exact structure and terms of the buyback remain undecided. Zemansky pointed out that beyond the longer development timelines, overall sentiment toward Keros likely remains cautious, which could continue to pressure the stock. While the company's three board nominees were elected despite activist opposition, a notable portion of votes were withheld for the two targeted candidates, indicating lingering investor discontent. He stresses the point that frustration may persist, particularly given the recent setback with TROPOS and skepticism that last month's cost-cutting measures were sufficient. Although some bulls might argue that the stock has been unfairly punished, especially given the added hurdles of developing drugs that target the TGF-β pathway, Zemansky writes most investors will likely wait for more meaningful progress and risk reduction before 'returning to the story.' Price Action: KROS shares are trading lower by 2.34% to $13.76 at last check Tuesday. Read Next:Image via Shutterstock Date Firm Action From To Dec 2020 SVB Leerink Maintains Outperform Dec 2020 HC Wainwright & Co. Maintains Buy May 2020 Piper Sandler Maintains Overweight View More Analyst Ratings for KROS View the Latest Analyst Ratings UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article Keros Therapeutics' Quiet Near-Term Outlook Overshadows Pipeline Potential: Analyst originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
