H.C. Wainwright cuts 89bio stock price target to $21, maintains Buy

On Monday, H.C. Wainwright analyst Ed Arce revised the price target for 89bio Inc . (NASDAQ:ETNB) stock, lowering it to $21 from the previous $29. Despite the reduction, the firm maintained its Buy rating on the biopharmaceutical company’s shares. The stock, currently trading at $9.23, has experienced a challenging week with an 8.88% decline, though InvestingPro data shows analyst targets ranging from $12 to $51, suggesting significant potential upside. The adjustment follows 89bio’s announcement on February 27 that the Phase 3 ENTRUST study of pegozafermin for severe hypertriglyceridemia (SHTG) would now be unblinded at Week 52 instead of the initially planned Week 26.

The company clarified that this change was not prompted by any unforeseen safety or efficacy concerns. The study’s primary endpoint, which is the percentage change from baseline in fasting triglycerides (TG) at Week 26 compared to placebo, has not been altered. With a market capitalization of $1.29 billion and a strong balance sheet showing more cash than debt, 89bio appears well-positioned to execute its clinical program. According to InvestingPro’s comprehensive analysis, which includes over 30 key metrics and exclusive insights available to subscribers, the company maintains a solid financial foundation despite currently operating at a loss. The decision to extend the unblinding schedule came after discussions with the FDA, aiming to minimize potential bias from early data un-blinding.

As a result of this update, 89bio now anticipates reporting top-line data from the ENTRUST study in the first quarter of 2026, rather than the second half of 2025 as previously expected. The ENTRUST trial, which is a global Phase 3 study, was fully enrolled in January 2025 and is designed to involve up to 360 patients with severe SHTG.

Arce’s confidence in pegozafermin’s potential for treating SHTG remains steadfast, supported by the positive results from the 8-week Phase 2 ENTRIGUE study. This earlier trial demonstrated significant reductions in fasting TG levels across various dosing groups. The analyst’s prior analysis of these findings was detailed in a report published on August 17, 2022.

The ENTRUST study, identified by its clinical trial number NCT05852431, will continue to be closely monitored as 89bio progresses towards its new data release timeline. The company’s shares will be watched by investors as they await the forthcoming results in early 2026. In the meantime, investors can mark their calendars for the next earnings report expected on May 7, 2025. InvestingPro subscribers can access detailed financial health scores, real-time Fair Value calculations, and exclusive ProTips to make more informed investment decisions about ETNB and 1,400+ other stocks through comprehensive Pro Research Reports.

In other recent news, 89bio, Inc. announced its plans to raise approximately $250 million through a public offering of common stock and pre-funded warrants. The net proceeds, estimated at $234.6 million, are intended to support ongoing clinical trials, development of its lead candidate pegozafermin, and cover other corporate expenses. Meanwhile, Cantor Fitzgerald reiterated its Overweight rating on 89bio with a $29 price target, highlighting the company’s strong financial position and increased investor interest. In a separate development, Leerink Partners raised its price target for 89bio to $37, citing optimism around the company’s NASH study and ongoing development of pegozafermin. The firm noted the positive 96-week data from a Phase 2b study, which demonstrated significant fibrosis benefits. Additionally, 89bio’s CEO, Rohan Palekar, was awarded 200,000 restricted stock units as part of a retention strategy. These units are set to vest over a two-year period, aligning with the company’s executive compensation practices. The company continues to advance its clinical programs, with recent developments reflecting both strategic financial moves and ongoing research progress.

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