Is this U.S.-China selloff a buy? A top Wall Street voice weighs in
Investing.com - BofA Securities upgraded Pharvaris B.V. (NASDAQ:PHVS) from Underperform to Neutral on Wednesday, raising its price target to $27.00 from $16.00. The upgrade follows the company’s impressive 89.7% price return over the past six months, with InvestingPro data showing eight analysts revising their earnings estimates upward for the upcoming period.
The upgrade reflects Pharvaris’s strategy to target a broad label for its drug treating bradykinin-mediated angioedema (AE-BK), a rare condition causing recurrent severe swelling attacks. The company aims to treat three subtypes of the disease, while most competitors’ treatments are only approved for hereditary angioedema (HAE) type 1/2.
BofA Securities noted that Pharvaris’s approach would make it the only company offering an oral option for both acute and prophylactic (preventative) treatment of the condition. This broader strategy expands the potential market opportunity for the company’s treatments.
Despite the upgrade, BofA Securities expressed that more information is needed regarding Pharvaris’s commercial strategy, as the company will enter a crowded market where off-label usage of approved treatments is common for rarer subtypes of the condition.
The firm also cautioned that Pharvaris’s current valuation already assumes significant value for upcoming acute HAE data, and that the prophylactic treatment opportunity still requires further de-risking.
In other recent news, Pharvaris N.V. announced the pricing of an underwritten public offering expected to raise approximately $175 million in gross proceeds. This offering consists of 8.25 million ordinary shares priced at $20.00 per share and pre-funded warrants to purchase 500,000 ordinary shares at $19.99 per warrant. Pharvaris has also given underwriters a 30-day option to purchase up to an additional 1.31 million ordinary shares. The funds raised are intended to support the company’s angioedema programs. In analyst coverage, Citizens JMP lowered its price target for Pharvaris to $52 from $55, while maintaining a Market Outperform rating, citing confidence in the management’s execution. Meanwhile, BofA Securities reiterated its Underperform rating and a $14 price target, as Pharvaris anticipates pivotal data from its Phase 3 study for hereditary angioedema therapy by the fourth quarter of 2025. If the data is favorable, Pharvaris plans to submit a New Drug Application in the first half of 2026.
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