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On Monday, Cantor Fitzgerald reaffirmed its Overweight rating on 89bio Inc . (NASDAQ: NASDAQ:ETNB) with a steady price target of $29.00, representing significant upside from the current trading price of $9.23. The firm’s analysts have updated their model for the biopharmaceutical company to reflect the latest quarter’s financials as of December 31, 2024. According to InvestingPro data, analyst targets for the stock range from $12 to $51, with a strong buy consensus rating of 1.33. The adjustments made by the analysts are principally due to the company’s recently provided guidance on the timelines of its clinical trials and potential market launch plans.
The firm’s analysts have made modifications to their earnings per share (EPS) forecasts for 89bio, primarily to account for the new shares issued during the company’s follow-on offering conducted earlier this year. These changes have been incorporated into the analysts’ financial models to provide an updated assessment of the company’s potential performance. InvestingPro analysis reveals two key insights: the company holds more cash than debt on its balance sheet, but is also quickly burning through cash - just two of several ProTips available to subscribers.
89bio is focused on the development and commercialization of innovative therapies for the treatment of liver and cardio-metabolic diseases. The company’s guidance on the progression of its clinical trials is a critical factor in assessing its future prospects and potential market impact.
The confirmation of the $29.00 price target by Cantor Fitzgerald suggests that the analysts see a continued upside potential for 89bio’s stock. The Overweight rating indicates that the firm believes the company’s stock is expected to perform better than the average return of the stocks that the firm covers.
The update from Cantor Fitzgerald comes as 89bio continues to advance its clinical programs and moves closer to potential commercialization of its treatments. Investors in the biopharmaceutical sector often rely on such analyst ratings and price targets to gauge the market sentiment and future outlook of companies like 89bio. With a market capitalization of $1.29 billion and a recent one-week decline of 8.88%, detailed financial analysis is crucial. Get comprehensive insights and the full financial health score for 89bio with InvestingPro, including access to the detailed Pro Research Report available for over 1,400 US stocks.
In other recent news, 89bio, Inc. reported its earnings and disclosed updated timelines for its Phase 3 trials of pegozafermin, with significant financial backing from $440 million in cash reserves and an additional $288 million raised this quarter. The company anticipates topline histology data from trials for patients with fibrosis due to nonalcoholic steatohepatitis (NASH) in the first half of 2027 and 2028. Leerink Partners raised the price target for 89bio to $37, citing optimism from encouraging results in a Phase 2b SYMMETRY study of efruxifermin in NASH patients. Meanwhile, H.C. Wainwright revised 89bio’s stock price target to $21, maintaining a Buy rating despite adjustments in the ENTRUST study timeline. Cantor Fitzgerald reiterated its Overweight rating with a $29 price target, noting the company’s de-risked trials and potential for market capitalization growth. In addition, 89bio entered an underwriting agreement to sell over 21 million shares, expected to raise approximately $234.6 million. The company also awarded 200,000 restricted stock units to CEO Rohan Palekar as part of a retention strategy. These developments reflect ongoing strategic and financial maneuvers as 89bio advances its clinical programs.
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