HC Wainwright Raises Price For This Lung Disease Stock On First Pivotal Readout

HC Wainwright Raises Price For This Lung Disease Stock On First Pivotal Readout
  • Earlier this month, Verona Pharma plc VRNA reported positive data from the ENHANCE-2 Phase 3 trial of ensifentrine, the company's lead drug candidate for chronic obstructive pulmonary disease (COPD). 
  • Ensifentrine is a first-in-class, dual inhibitor of phosphodiesterase 3 and 4 (PDE3/PDE4), combining bronchodilator and anti-inflammatory activities in one compound. 
  • The trial successfully met primary and secondary endpoints. Ensifentrine also significantly reduced the rate and risk of COPD exacerbations.
  • HC Wainwright reiterates the Buy rating, raising the price target to $30 from $25 per American Depositary Share.
  • The price increase reflects an increased probability of approval for ensifentrine to 85% vs. the prior 65%, prompted by the positive ENHANCE-2 trial data and favorable readthrough for top-line data from the ENHANCE-1 study, expected by end-2022. 
  • ENHANCE-1 comprises two subsets - a 24-week active treatment subset (3mg BID vs. placebo) and an additional 24- week long-term safety subset.
  • The analyst reminds that the ENHANCE trials constitute the pivotal data package to support regulatory submissions in the U.S. and Europe.
  • Price Action: VRNA shares are down 0.47% at $10.50 on the last check Monday.

Posted In: BriefsAnalyst ColorBiotechNewsHealth CarePrice TargetReiterationSmall CapAnalyst RatingsGeneral