Citi reiterates Buy rating on BridgeBio stock ahead of key trial data

Published 14/07/2025, 11:36
Citi reiterates Buy rating on BridgeBio stock ahead of key trial data

Investing.com - BridgeBio Pharma (NASDAQ:BBIO), currently trading at $46.47 with a market capitalization of $8.82 billion, maintains a Buy rating and $67.00 price target from Citi, which reaffirmed its position following an educational webinar on the company’s pipeline drug BBP-418. According to InvestingPro data, the stock has delivered an impressive 69.35% return year-to-date.

The webinar focused on BBP-418 and its potential application for limb-girdle muscular dystrophy type 2I/R9 (LGMD2I/R9), an ultra-rare genetic neuromuscular disorder affecting approximately 7,000 patients in the US and EU. Currently, only supportive therapies are available for this condition. InvestingPro analysis shows the company maintains strong liquidity with a current ratio of 4.57, providing financial flexibility for its drug development programs.

BridgeBio management reviewed the scientific rationale behind the interim primary endpoint for its Phase 3 FORTIFY trial, which measures muscle damage via glycosylated αDG at Month 3 of treatment. The company stated this biomarker is powered at greater than 99% and could support accelerated approval.

Citi noted that both the drug and trial design appear "thoughtfully well-designed," contrasting with the broader orphan muscular dystrophy field where many therapies have recently encountered significant clinical and regulatory challenges.

Interim data from the Phase 3 FORTIFY trial is expected later this summer, with Citi viewing potential Phase 3 success and future BBP-418 revenues as "pure upside" for the stock, which remains primarily driven by the Attruby launch.

In other recent news, BridgeBio Pharma has been actively involved in several significant developments. The company announced a $300 million royalty deal with HealthCare Royalty and Blue Owl Capital, selling 60% of its European royalties for the drug acoramidis, known as Beyonttra in Europe. This transaction is expected to strengthen BridgeBio’s balance sheet and support the U.S. launch of Attruby, the American brand name for acoramidis. Citi has maintained its Buy rating on BridgeBio, projecting that Attruby will generate $43.6 million in revenue during the second quarter of 2025.

Additionally, Jefferies initiated coverage on BridgeBio with a Buy rating, highlighting the potential of their oral TTR stabilizer, Attruby, which could achieve blockbuster status with over $4 billion in sales. Cantor Fitzgerald reiterated an Overweight rating on the stock, emphasizing upcoming catalysts like the Attruby launch and other clinical milestones. Raymond (NSE:RYMD) James also reiterated an Outperform rating, noting that the $300 million cash infusion from the royalty sale should extend BridgeBio’s financial runway into at least 2027. These developments reflect a period of strategic growth and financial fortification for BridgeBio Pharma.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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