Benchmark maintains Buy on Belite Bio stock, $80 price target unchanged

Published 15/05/2025, 15:00
Benchmark maintains Buy on Belite Bio stock, $80 price target unchanged

On Thursday, Benchmark analyst Bruce D. Jackson confirmed a Buy rating on Belite Bio, Inc ADR (NASDAQ:BLTE) with a steady price target of $80.00. Jackson highlighted Belite Bio as the top pick for 2025, following the company’s first-quarter business update. Currently trading at $62, the stock has delivered an impressive 45% return over the past year. According to InvestingPro data, analyst targets range from $50 to $110, with a strong consensus recommendation of 1.4 (where 1 is a Strong Buy). In February, the biotech firm’s Phase 3 DRAGON trial received a boost from a positive interim data analysis. The Data Safety Monitoring Board recommended that Belite seek accelerated approval, which Jackson believes could significantly increase the likelihood of the trial’s success.

Belite Bio’s operations appear resilient to common industry challenges. The company is not impacted by issues such as FDA staffing shortages, since their review team remains consistent, nor by tariff concerns due to domestic manufacturing. Additionally, most favored nation pricing does not affect them as they have not yet launched their product. With four years’ worth of cash reserves and an exceptional current ratio of 25.98, Belite is well-positioned to withstand potential disruptions in the capital markets. InvestingPro analysis indicates the company maintains a GOOD overall financial health score, despite currently being overvalued according to their Fair Value model.

The forthcoming periods are expected to be pivotal for Belite Bio, which currently commands a market capitalization of $1.99 billion. Key events include the enrollment for the DRAGON II study, set for the third quarter, and the anticipated completion of the DRAGON study by the end of 2025. These milestones are likely to act as significant catalysts for the company’s shares. Discover more strategic insights and 8 additional ProTips with a subscription to InvestingPro, including exclusive access to comprehensive Pro Research Reports covering 1,400+ top stocks.

Belite Bio is also scheduled to participate in the 5th Annual Benchmark Virtual Healthcare Investor Conference on May 29. Interested parties have been advised to contact their Benchmark account executive for further details. This conference will provide an opportunity for investors to gain insight into Belite Bio’s strategies and prospects, ahead of their next earnings report scheduled for August 6, 2025.

In other recent news, Belite Bio Inc ADR reported its earnings for the first quarter of 2025, revealing a narrower-than-expected loss. The company’s earnings per share (EPS) were -$0.27, surpassing the forecasted -$0.37. Despite this positive surprise, the company’s net loss widened to $14.3 million compared to $7.9 million in the previous year, driven by increased research and development (R&D) and general and administrative (G&A) expenses. Belite Bio maintains a strong cash position with a four-year runway, having $157.4 million in liquidity.

In other developments, Cantor Fitzgerald reiterated its Overweight rating on Belite Bio, highlighting progress in the development of PRGN-2012, a drug for Recurrent Respiratory Papillomatosis (RRP). The company is making strides in commercial and manufacturing preparations for a potential market launch. Additionally, enrollment for the confirmatory trial of PRGN-2012 is advancing, with a target completion by the end of 2026. Cantor Fitzgerald’s confidence in the stock is underpinned by these strategic advancements.

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