Crispr Therapeutics shares tumble after significant earnings miss
On Monday, H.C. Wainwright adjusted the price target for Cartesian Therapeutics (NASDAQ:RNAC) shares, lowering it to $40 from the previous target of $45. Despite the reduction, the firm maintained its Buy rating on the biotechnology company’s stock. Currently trading at $15.80, RNAC has experienced a significant 11.8% decline over the past week. According to InvestingPro data, analyst targets range from $22 to $42, with a consensus recommendation leaning toward Buy.
The price target revision comes as Cartesian Therapeutics proceeds with its Phase 3 AURORA trial, evaluating its lead candidate, Descartes-08, against a placebo in patients with acetylcholine receptor autoantibody-positive (AChR Ab+) myasthenia gravis (MG). The trial is a randomized, double-blind, placebo-controlled study, which includes six once-weekly infusions of the investigational drug without preconditioning chemotherapy. The primary goal is to measure the improvement in MGADL score at the four-month mark compared to placebo. With a market capitalization of $409 million and strong liquidity position (current ratio of 9.43), the company appears well-positioned to advance its clinical programs. InvestingPro subscribers can access additional financial health metrics and 7 more key insights about RNAC’s investment potential.
Analysts at H.C. Wainwright highlighted that while the four-month data will be critical for regulatory filing, the long-term durability of Descartes-08’s effects will be key to its commercial success. The firm’s analysts also noted Cartesian’s progress in other clinical programs. Cartesian is on schedule to present preliminary Phase 2 data for Descartes-08 in systemic lupus erythematosus (SLE) patients in the second half of 2025 and plans to begin a Phase 2 pediatric basket trial for Descartes-08 in various autoimmune diseases during the same period.
The reiteration of the Buy rating by H.C. Wainwright suggests a continued positive outlook for Cartesian Therapeutics despite the lowered price target. The firm’s analysts expect that the upcoming clinical milestones will be significant for the company’s growth and the potential future success of Descartes-08 in the market.
In other recent news, Cartesian Therapeutics has made notable strides in its efforts to develop mRNA-based therapies. H.C. Wainwright reaffirmed a Buy rating on Cartesian Therapeutics, maintaining a price target of $45. This follows a significant regulatory update where Cartesian received a written agreement from the U.S. FDA regarding its upcoming Phase 3 AURORA trial for Descartes-08, aimed at treating myasthenia gravis. The trial’s design has been approved via the Special Protocol Assessment process, ensuring it is adequate to support a future Biologics License Application. BTIG also initiated coverage on Cartesian Therapeutics with a Buy rating and a $42 price target, citing the company’s innovative approach in mRNA CAR-T cell therapies for autoimmune disorders. Cartesian’s Descartes-08 has shown promising results in treating myasthenia gravis, demonstrating progressive efficacy. The potential market for this treatment is significant, with over 120,000 patients in the US and EU. BTIG noted the therapy’s cost-effectiveness and safety advantages over DNA-based counterparts, anticipating increased investor interest ahead of the planned Phase 3 trial initiation in 2025.
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