BTIG maintains buy on Liquidia with $29 target amid new data

Published 21/05/2025, 11:00
BTIG maintains buy on Liquidia with $29 target amid new data

On Wednesday, BTIG reaffirmed its Buy rating and $29.00 price target for Liquidia Technologies (NASDAQ:LQDA), following the presentation of additional patient data. According to InvestingPro data, analyst targets for LQDA range from $13 to $36, with the stock showing impressive momentum, gaining over 67% in the past six months. The company, currently valued at $1.45 billion, has attracted significant analyst attention despite being unprofitable in the last twelve months. The information, which was showcased at the American Thoracic Society (ATS) 2025 conference today, emphasized the promising therapeutic potential of Yutrepia in treating pulmonary hypertension associated with interstitial lung disease (PH-ILD).

The data presented included results from the first 20 patients in the ASCENT study who completed an 8-week follow-up. These patients achieved a median dose of 132.5 micrograms per treatment session, which is equivalent to 15-17 breaths per session using Tyvaso, a competing treatment. With a solid gross profit margin of 58% and a current ratio of 2.93, InvestingPro analysis shows Liquidia maintains strong operational efficiency and healthy liquidity positions. This dosage was significantly higher than the recommended dose for nebulized or dry powder inhaler (DPI) Tyvaso, which is 9-12 breaths per session. Notably, the maximal dose for Yutrepia reached over 24 breaths per session.

The 6-minute walk distance (6MWD), a measure of exercise capacity, improved by a median of 18.2 meters with Yutrepia after 8 weeks. This improvement is notably greater than the median change observed in the Tyvaso arm of the INCREASE study, which was 6.0 meters, and the TPIP arm in a Phase 2 trial, which saw a decrease of 4.0 meters at 16 weeks.

A case study from the INSPIRE study in pulmonary arterial hypertension (PAH) also provided evidence supporting Yutrepia’s potential. It detailed a patient’s transition from nebulized Tyvaso to Yutrepia, resulting in an improvement from New York Heart Association (NYHA) Functional Class II to I and a 41-meter increase in 6MWD by Day 1684.

Yutrepia’s Prescription Drug User Fee Act (PDUFA) date for PAH and PH-ILD is set for May 24, 2025. The treatment has already received tentative approval from the FDA for both indications. BTIG’s continued endorsement reflects their optimism about Yutrepia’s market potential and its ability to become the preferred inhaled treprostinil treatment for PH-ILD. While analysts expect significant sales growth, InvestingPro indicates the company trades slightly above its Fair Value, with 11 additional exclusive insights available to subscribers through the comprehensive Pro Research Report.

In other recent news, Liquidia Technologies reported a larger net loss for the first quarter of 2025, despite a slight increase in revenue. The company’s earnings per share came in at -$0.45, missing the forecasted -$0.40. Revenue for the quarter was $3.1 million, marking a modest increase of $100,000 from the same period last year. Meanwhile, Oppenheimer downgraded Liquidia’s stock from Perform to Underperform, citing concerns over the market launch of YUTREPIA, which may face challenges against the competing product TYVASO DPI by United Therapeutics (NASDAQ:UTHR). On a different note, Raymond (NSE:RYMD) James maintained a Strong Buy rating on Liquidia, with a $29 price target, highlighting ongoing patent litigation but downplaying its impact on YUTREPIA’s commercialization. The legal landscape remains complex, with Liquidia filing a separate patent infringement lawsuit against United Therapeutics. Despite these challenges, Liquidia is preparing for the potential launch of its new product, Eutrebia, with expectations of product availability shortly after the anticipated approval date.

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