H.C. Wainwright maintains Buy on Day One Biopharmaceuticals

Published 03/04/2025, 12:36
H.C. Wainwright maintains Buy on Day One Biopharmaceuticals

On Thursday, H.C. Wainwright analyst Andrew Maldonado maintained a Buy rating and a $36.00 price target for Day One Biopharmaceuticals (NASDAQ:DAWN) shares, representing significant upside potential from the current price of $7.97. According to InvestingPro data, the company commands a market capitalization of $808 million, with analyst targets ranging from $24 to $36. Maldonado highlighted the successful market performance of Ojemda (tovorafenib), as it nears its first full year of availability. The drug’s accelerated launch and strong initial uptake, paired with an expanding prescriber base, have bolstered confidence in its potential as a new standard treatment for relapsed/refractory BRAF-altered pediatric low-grade gliomas (pLGGs). The company’s strong financial position is evident in its impressive gross profit margin of 96% and healthy current ratio of 7.66, according to InvestingPro data.

Maldonado’s comments emphasized the increasing clarity around key growth drivers for Ojemda, such as treatment duration, patient retention, payer dynamics, and the large existing patient population. These factors contribute to a more refined and supportive outlook for the company’s 2025 revenue projections.

The analyst’s reiteration of the Buy rating and price target comes at a crucial time for Day One Biopharmaceuticals as the company anticipates label expansion and wider adoption of Ojemda. According to Maldonado, the updated prescription trends and the drug’s evolving position within the pediatric neuro-oncology treatment landscape justify a reassessment and reinforcement of the company’s financial model.

Day One Biopharmaceuticals is poised for significant developments in the coming year, which could further establish Ojemda as a key player in the treatment of pediatric low-grade gliomas. The company’s stock remains under the close watch of H.C. Wainwright as it continues to navigate the market with its flagship product. InvestingPro analysis suggests the stock is currently undervalued, with additional insights available in the comprehensive Pro Research Report, which provides deep-dive analysis of over 1,400 US stocks.

In other recent news, Day One Biopharmaceuticals reported significant financial growth in their fourth-quarter 2024 earnings, with a notable 44% increase in net product revenue compared to the previous quarter. The company achieved a total revenue of $131.2 million for the full year, driven primarily by the successful launch of OJEMDA™, which accounted for $57.2 million in net product sales. Analyst Andrew Maldonado from H.C. Wainwright revised the company’s stock price target to $36 from $40, maintaining a Buy rating, citing strong prescription growth and improved revenue metrics. Despite the positive financial results, the company’s stock experienced a decline in aftermarket trading, reflecting mixed investor sentiment.

Day One Biopharmaceuticals has not provided specific financial guidance for 2025 but aims to sustain growth in new patient starts and maintain high treatment persistence rates. The company ended 2024 with 1,647 total prescriptions for OJEMDA™, highlighting increased prescriber confidence. Additionally, the company reported a cash balance of $531.7 million, providing a strong financial foundation for future growth initiatives. The firm outlined key priorities for 2025, including driving OJEMDA™ revenue growth, advancing its pipeline, and expanding through acquisitions. Analysts have adjusted earnings per share forecasts, with seven upward revisions in the past 90 days, indicating positive adjustments in expectations.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.