Cingulate stock price target raised to $20 at H.C. Wainwright

On Thursday, H.C. Wainwright lifted its price target on shares of Cingulate (NASDAQ: CING) to $20.00, a significant increase from the previous target of $8.00. The firm has maintained a Buy rating on the stock, placing its target well within the broader analyst range of $8 to $75. According to InvestingPro data, the stock has shown a tendency to move independently of market trends, with a beta of -0.86. This decision follows Cingulate’s announcement earlier in January that it has completed the final FDA-required clinical program for its ADHD treatment, CTx-1301.

The recently completed food effect study aimed to determine the bioavailability of CTx-1301, a novel, trimodal extended-release dexmethylphenidate formulation, in both fed and fasted states. The study involved 26 healthy adult subjects who were administered a single 50mg dose of CTx-1301. The results showed no serious adverse events, paving the way for a potential New Drug Application (NDA) submission in mid-2025. InvestingPro analysis reveals the company maintains a strong liquidity position with a current ratio of 7.35, providing adequate resources for its development pipeline.

The primary pharmacokinetic endpoints of the study were the maximum concentration and the total amount of the active pharmaceutical ingredient in the blood. The trial was crucial in confirming how food impacts the absorption and bioavailability of CTx-1301. A previous study in 2022, using a 25mg dose, had already indicated that the medication could be taken with or without food.

Cingulate’s progress with CTx-1301 is a key factor in H.C. Wainwright’s updated price target. The firm’s analyst commented on the successful completion of the clinical program and the upcoming data readout on bioavailability, which is expected next quarter. The analyst reiterated the Buy rating and expressed confidence in the potential of CTx-1301 by raising the price target to $20 from $8.

Investors will be closely watching Cingulate as it moves forward with the NDA for CTx-1301, with the company targeting a submission date in mid-2025, contingent on the results of the current study. InvestingPro subscribers have access to 12 additional investment tips and comprehensive financial metrics to better evaluate the company’s potential. The next earnings report is scheduled for March 10, 2025, which could provide further insights into the company’s development progress.

In other recent news, Cingulate Inc. has disclosed changes to its executive compensation structure, with the amendment to the employment agreement of Executive Vice President and Chief Medical (TASE:PMCN) Officer, Matthew N. Brams. The adjustment discontinues quarterly equity grants, yet keeps him eligible for annual equity grants. This development is part of Cingulate’s ongoing efforts to streamline its compensation strategy.

In addition, the pharmaceutical company has been given a Buy rating by Roth/MKM, which anticipates a potential of $1.6 billion in sales. This rating is based on a Discounted Cash Flow analysis and promising Phase 3 data of Cingulate’s CTx-1301, a treatment for Attention Deficit Hyperactivity Disorder.

Furthermore, Cingulate has increased its At The Market offering price from $15.2 million to $23.5 million, sold shares totaling approximately $11.3 million, and raised approximately $11.7 million in capital. These financial maneuvers are part of the company’s ongoing efforts to support its operations and development projects.

Lastly, Cingulate Inc. has secured a European patent for its lead product, CTx-1301, designed for the treatment of ADHD, extending the company’s market reach to up to 30 European territories. These are among the recent developments concerning Cingulate Inc.

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