Stock market today: S&P 500 extends monthly win streak despite Nvidia-led stumble
Investing.com - H.C. Wainwright lowered its price target on Lexaria Bioscience (NASDAQ:LEXX) to $4.00 from $5.00 on Tuesday, while maintaining a Buy rating on the stock. Currently trading at $0.90, LEXX has seen a steep 75% decline over the past year. According to InvestingPro data, analyst targets for the stock range from $5.00 to $8.00.
The adjustment follows Lexaria’s Monday announcement of interim results from its Phase 1b GLP-1-H24-4 study currently underway in Australia. The 8-week interim results focused on the DehydraTECH-semaglutide arm, DehydraTECH-tirzepatide arm, and Rybelsus control arm.
The data showed DehydraTECH-GLP-1 arms demonstrated reductions in adverse events, with a 36.5% reduction in total adverse events from DehydraTECH-semaglutide versus Rybelsus. Additionally, there was a 43.5% reduction in gastrointestinal adverse events for DehydraTECH-semaglutide compared to Rybelsus.
H.C. Wainwright noted that gastrointestinal adverse events often lead to discontinuation of GLP-1 drugs, suggesting improvements in safety profiles could lower patient dropout rates and enhance market adoption.
The firm maintained its estimated market value for Lexaria at $130 million but cited an increase in estimated shares outstanding to 33 million by the end of fiscal year 2026, resulting in the reduced price target.
In other recent news, Lexaria Bioscience Corp. reported that its DehydraTECH technology has shown promise in reducing side effects in leading GLP-1 weight loss and diabetes drugs, including semaglutide, tirzepatide, and liraglutide. This development is significant as the GLP-1 pharmaceutical sector struggles with patient retention due to adverse gastrointestinal effects, with industry data indicating a high discontinuation rate among users. Additionally, H.C. Wainwright lowered its price target for Lexaria Bioscience from $7.00 to $5.00 while maintaining a Buy rating. This adjustment follows Lexaria’s positive results from a human pilot study comparing DehydraTECH-liraglutide to the conventional injected Saxenda.
Furthermore, Lexaria Bioscience has expanded its patent portfolio to 50 with two new international patents. One of these patents, granted in Australia, covers compositions and methods for treating epilepsy using DehydraTECH and will expire in 2044. Lexaria also announced ongoing developments in its collaboration with a pharmaceutical company, referred to as PharmaCO. Initial pre-clinical studies have been completed under a Material Transfer Agreement, though the results remain undisclosed. PharmaCO is interested in further data from Lexaria’s independent human study in Australia, with data expected to start releasing in Q3 2025.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.