H.C. Wainwright lifts Liquidia stock target to $35 on FDA nod

On Wednesday, H.C. Wainwright analyst Andrew S. Fein adjusted the price target for Liquidia Technologies (NASDAQ:LQDA) upward to $35, an increase from the previous $29, while maintaining a Buy rating on the company’s shares. According to InvestingPro data, analyst targets for LQDA range from $13 to $37, with a strong consensus recommendation of 1.7 (Buy). The company, currently valued at $1.33 billion, has seen its stock surge over 34% in the past six months. The revision follows the Friday announcement that Liquidia received FDA approval for Yutrepia, a treatment for pulmonary arterial hypertension (PAH, WHO Group 1) and pulmonary hypertension associated with interstitial lung disease (PH-ILD, WHO Group 3).

Fein highlighted Yutrepia’s low-resistance inhalation, wide dosing range, and flexible dosing schedule of 3 to 5 times daily as significant factors behind the approval. InvestingPro analysis reveals the company maintains a healthy liquidity position with a current ratio of 2.93, suggesting strong financial flexibility to support the drug’s commercialization. Eight additional ProTips are available to subscribers, offering deeper insights into LQDA’s financial health and market position. This dosing flexibility is crucial for physicians who need to rapidly optimize prostacyclin therapy to effectively manage pulmonary ventilation and slow disease progression without causing systemic hypotension or ventilation-perfusion mismatch.

The analyst emphasized that the ability to titrate to higher doses gives physicians more control over symptom management, allowing them to customize therapy based on individual patient responses. Higher prostacyclin doses have been linked to better outcomes, such as improved exercise capacity and symptom relief, which is especially relevant in PH-ILD where pulmonary vascular resistance can vary widely.

Fein also noted that Yutrepia’s rapid titration capability could enable easier transitions from nebulized therapies, aiding patient adaptation and enhancing tolerability. He pointed out that Yutrepia’s unique benefits position it well to penetrate the oral and inhaled prostacyclin market, which is worth multiple billions of dollars.

In addition, Yutrepia’s distinct formulation and clinical advantages could make it the preferred inhaled option for treatment-naïve patients, those who experience gastrointestinal intolerance from oral treprostinil, as well as patients looking for improved performance compared to existing nebulized or dry powder therapies. Fein concluded by reiterating the Buy rating and raising the price target, reflecting confidence in Yutrepia’s potential to drive market expansion, particularly as inhaled treprostinil remains the only approved therapy for PH-ILD. InvestingPro forecasts suggest significant growth potential, with revenue expected to increase by 224% in FY2025. For comprehensive analysis of LQDA and 1,400+ other stocks, including detailed Fair Value assessments and expert insights, explore the Pro Research Report available exclusively to InvestingPro subscribers.

In other recent news, Liquidia Technologies has received considerable attention following the FDA’s approval of Yutrepia™ for the treatment of pulmonary arterial hypertension and pulmonary hypertension associated with interstitial lung disease. Analysts have responded positively, with Scotiabank (TSX:BNS) increasing its price target to $37, citing the drug’s competitive pricing and comprehensive patient access programs. BTIG also raised its target to $37, highlighting expectations for Yutrepia to gain market traction and Liquidia to reach profitability within a few quarters. Meanwhile, Jefferies set a new target of $31, emphasizing Yutrepia’s detailed dosing information and patient support services. Wells Fargo (NYSE:WFC) lifted its price target to $23, reflecting confidence in Liquidia’s ability to capture new patient starts and navigate past challenges. Raymond (NSE:RYMD) James maintained a Strong Buy rating with a $29 target, noting the potential for Yutrepia’s label to be amended with additional clinical data. Collectively, these developments underscore a positive outlook for Liquidia’s market positioning and strategic initiatives.

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