Analysts See Softened Timelines For CRISPR Therapeutics' Sickle Cell Candidate In US

  • Barclays says that CRISPR Therapeutics AG's CRSP Q2 FY22 earnings release was largely incremental, highlighting the progress of multiple clinical programs, including the goal of on-track regulatory submissions for CTX001 in SCD/BT by YE22 and CTA submission for VCTX211 (next generation) for Type 1 Diabetes (T1D) in 2H22. 
  • Though investors are focused on BLA submission for CTX001, the analyst expects a high probability of approval even with some delay. 
  • But Barclays has moved to the sidelines, given some questions on the durability of the allogeneic CAR-T programs and the lack of other major data catalysts in the next 12 months. 
  • CRSP is downgraded to Equal Weight with a price target of $88.
  • RBC Capital notes that though SCD/BT filing remains on track for YE-22 in the EU, the Q2 release no longer cites US filing by YE-22, suggesting timing advantage vs. bluebird bio Inc BLUE (still guiding 1Q23 filing) may have narrowed. 
  • Overall, RBC struggles with the commercial case for SCD and read Pfizer Inc's PFE buyout of Global Blood Therapeutics Inc GBT as indirect evidence that gene therapy/editing is unlikely to disrupt the market in the foreseeable future materially.
  • RBC has lowered the price target from $85 to $78, reiterating the Sector Perform rating.
  • Price Action: CRSP shares are down 6.32% at $76.25 during the market session on the last check Tuesday.
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