Cantor Fitzgerald reiterates Overweight rating on Mesoblast stock

Published 29/08/2025, 12:46
Cantor Fitzgerald reiterates Overweight rating on Mesoblast stock

Investing.com - Cantor Fitzgerald has maintained its Overweight rating on Mesoblast Limited (NASDAQ:MESO), according to a research note published Friday. The company, currently trading at $15.95, has demonstrated remarkable performance with a 146% return over the past year. According to InvestingPro analysis, the stock appears to be trading above its Fair Value.

The research firm expressed confidence in the ongoing Ryoncil launch, noting that while the strong performance was anticipated following last month’s impressive unaudited results, the latest update provided greater clarity on several key aspects of the rollout. This confidence appears well-founded, as the company has achieved remarkable revenue growth of 191% in the last twelve months.

Specifically, the report highlighted new details regarding GTN (government pricing), inventory channel management, and transplant center adoption - with all indicators suggesting robust demand and a successful commercial introduction.

Beyond the Ryoncil launch, Cantor Fitzgerald pointed to Mesoblast’s broader pipeline activities as additional growth drivers, with multiple clinical trial initiations and regulatory submissions expected in the coming months.

The firm’s analyst noted, "The Ryoncil launch is well on its way, which isn’t a surprise after the impressive unaudited results last month, but we did get more clarity around GTN, inventory channel, and transplant centers. And all signs are pointing to a strong launch with strong demand. Plus, MESO has a lot going on in its pipeline - and we’ll get a number of trial kickoffs and submissions happening in the coming months."

In other recent news, Mesoblast Limited reported its first quarter of sales for its newly approved drug, Ryoncil, generating $13.2 million in gross revenue. The drug, launched on March 28, 2025, received FDA approval for treating steroid-refractory acute graft-versus-host disease in children. This marks Ryoncil as the first and only FDA-approved mesenchymal stromal cell product in the United States. Additionally, Jefferies downgraded Mesoblast from Buy to Hold, despite increasing the price target to AUD2.60, following the company’s fourth quarter fiscal year 2025 report. The report highlighted unaudited gross revenue figures from Ryoncil sales covering the period through June 30, 2025. Meanwhile, Canaccord Genuity initiated coverage on Mesoblast with a Buy rating, setting a price target of AUD2.97. The firm emphasized the potential of Mesoblast’s cell therapy platform, which focuses on allogeneic "off-the-shelf" therapies for severe inflammatory diseases. These recent developments reflect significant milestones and analyst perspectives on Mesoblast’s market position.

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