Cowen initiates Benitec BioPharma stock with Buy rating on OPMD treatment

Published 07/07/2025, 11:32
Cowen initiates Benitec BioPharma stock with Buy rating on OPMD treatment

Investing.com - TD Cowen initiated coverage on Benitec BioPharma (NASDAQ:BNTC) with a Buy rating on Monday. The clinical-stage biotechnology company, currently valued at $346 million, has seen its shares surge over 12% in the past week.

The research firm’s analyst Ritu Baral highlighted Benitec’s DNA-directed "Silence and Replace" platform, which combines RNAi silencing sequences with wild-type replacement genes. The company maintains a strong financial position with a healthy current ratio of 14.8x, indicating robust liquidity.

Benitec’s lead asset, BB-301 for oculopharyngeal muscular dystrophy (OPMD), demonstrated compelling initial Phase 1/2 clinical data, improving both subjective and objective dysphagia measures in three patients.

TD Cowen expects interim data from six patients in the second half of 2025 to show even greater benefits from the treatment.

The firm believes these results will support "straightforward development" of the therapy moving forward.

In other recent news, Benitec BioPharma has maintained a Market Outperform rating and a $20.00 price target, according to analysts at Citizens JMP. This decision follows positive clinical updates from the company’s ongoing research, particularly involving the BB-301 gene therapy. Benitec has successfully dosed all six patients in the low-dose cohort of its study without safety issues, with further updates expected in the fourth quarter of 2025. JMP Securities also raised the price target for Benitec shares from $18.00 to $20.00, citing positive clinical outcomes and increased confidence in the BB-301 program. Analysts have noted significant improvements in patients, including the complete resolution of pathologic swallowing in one case. Benitec is preparing to enroll patients in the high-dose cohort of BB-301, with safety validation being a crucial next step. The company is also identifying patient subgroups within the oculopharyngeal muscular dystrophy community to aid future FDA discussions. These developments indicate progress in Benitec’s gene therapy endeavors.

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