Clear Street lowers price target for Protagonist Therapeutics stock

On Tuesday, Clear Street analysts reduced the price target for Protagonist Therapeutics (NASDAQ: NASDAQ:PTGX) stock to $62 from $65 while maintaining a Buy rating. The adjustment follows a reassessment of the company’s strategy after recent management updates. According to InvestingPro data, analyst targets for PTGX range from $41 to $82, with the stock showing significant momentum, gaining 8% in the past week.

The analysts noted significant enthusiasm for Protagonist Therapeutics’ rusfertide, particularly in its potential role in managing Polycythemia Vera (PV). The drug’s ability to control phlebotomy needs, manage hematocrit levels, and reduce symptom burden was highlighted during the ASCO presentation. The company maintains a strong financial position with a market capitalization of $3.1 billion and an impressive financial health score of "GREAT" on InvestingPro.

Despite the positive outlook, concerns were raised about the necessity of introducing another expensive therapy into the standard care regimen for PV. This consideration played a role in the revised price target.

Additionally, the analysts now expect Protagonist Therapeutics to forgo co-commercialization with Takeda, a shift from their previous assumptions. This change in strategy contributed to the adjustment in the stock’s price target.

In other recent news, Protagonist Therapeutics has been the focus of several analyst reports following significant clinical data presentations. BTIG reiterated its Buy rating with an $82.00 price target for the company, citing positive results for rusfertide in treating polycythemia vera, as presented at ASCO 2025. These results highlighted the drug’s efficacy in improving symptoms and reducing the need for phlebotomies. JPMorgan also maintained an Overweight rating with a $66.00 price target, emphasizing the potential of rusfertide to alter the treatment landscape for polycythemia vera, with risk-adjusted peak sales projected at $1.3 billion by 2034.

Meanwhile, Protagonist’s icotrokinra, an oral treatment for moderate-to-severe plaque psoriasis, received attention from H.C. Wainwright, which maintained a Buy rating and $80.00 price target. Recent data from the ICONIC-LEAD study showed promising results among adolescents, with a significant number achieving key treatment milestones. BTIG also reaffirmed support for icotrokinra, highlighting its potential as a preferred oral treatment option for psoriasis in younger patients.

BMO Capital Markets raised its price target to $72 from $62, maintaining an Outperform rating, based on encouraging data for Protagonist’s treatments for plaque psoriasis and ulcerative colitis. The firm expressed optimism about the company’s pipeline and projected further updates in 2025, including developments in rusfertide. These recent developments reflect growing confidence in Protagonist Therapeutics’ innovative treatments and market potential.

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