H.C. Wainwright maintains NKTR stock Buy rating, $6.50 target

Published 12/05/2025, 12:56
H.C. Wainwright maintains NKTR stock Buy rating, $6.50 target

On Monday, H.C. Wainwright reiterated its Buy rating and $6.50 price target for Nektar Therapeutics (NASDAQ:NKTR) stock, representing significant upside from the current price of $0.59. The firm’s analyst, Arthur He, provided an update following Nektar’s recent first quarter of 2025 financial results, which were announced on May 8. He highlighted the company’s progress in its clinical trials and the potential upcoming catalysts for the stock. According to InvestingPro data, analyst targets for NKTR range from $2.00 to $7.00, with the stock currently trading near its 52-week low of $0.43.

Nektar remains on schedule to announce topline results from its Phase 2b REZOLVE-AD and REZOLVE-AA studies in June and December 2025, respectively. These studies are considered significant milestones for the company this year, particularly as InvestingPro analysis shows Nektar holds more cash than debt on its balance sheet, though it’s currently burning through cash rapidly. REZOLVE-AD is focused on the treatment of moderate-to-severe atopic dermatitis (AD) with Nektar’s drug candidate, repeg. The trial reached full enrollment in January, with 396 patients participating across 110 global sites.

The REZOLVE-AD study is a randomized, double-blind, placebo-controlled trial with patient randomization stratified by geographic region and baseline disease severity. The primary goal is to measure the reduction in Eczema Area and Severity Index (EASI) scores from the baseline, while secondary objectives include improvements in the Validated Investigator Global Assessment (vIGA), additional EASI scores, and safety assessments.

H.C. Wainwright’s analyst expressed optimism about the trial, citing the strong scientific rationale behind repeg and the encouraging data from earlier Phase 1b studies. The firm anticipates a high likelihood of repeg meeting its primary endpoint. Based on these expectations, the analyst projects that repeg could generate risk-adjusted revenue of $641 million by 2035, starting from an estimated $85 million in 2029.

The reaffirmation of the Buy rating and price target by H.C. Wainwright underscores the firm’s confidence in Nektar Therapeutics’ potential, particularly with the anticipated data readouts from its ongoing clinical trials.

In other recent news, Nektar Therapeutics reported disappointing financial results for the first quarter of 2025, missing both earnings and revenue forecasts. The company posted an earnings per share (EPS) of -$0.24, falling short of the expected -$0.16, with revenue reaching $10.5 million, below the anticipated $16.31 million. Despite these financial challenges, Nektar maintains a strong cash position with $220.7 million in cash and equivalents, which is projected to support operations into the fourth quarter of 2026. BTIG reiterated its Buy rating on Nektar, maintaining a price target of $4.00, driven by optimism around the Phase 2b trial of REZPEG in atopic dermatitis, with results expected in June 2025. The company is also advancing its clinical pipeline, with data from the Phase 2b trial of REZPEG for alopecia areata expected in December 2025. Additionally, Nektar is progressing its early-stage pipeline, planning to submit an Investigational New Drug application for NKTR-0165 by the end of 2025. The company is also involved in ongoing litigation with Lilly, which poses potential risks.

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

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