H.C. Wainwright reiterates Buy rating on Harmony Biosciences stock

Investing.com - H.C. Wainwright has reiterated its Buy rating and $70.00 price target on Harmony Biosciences Holdings Inc. (NASDAQ:HRMY), currently trading at $35.20, following a management meeting on July 17. According to InvestingPro data, the company maintains an "EXCELLENT" financial health score, with analysts’ targets ranging from $31 to $70.

The research firm hosted Harmony (JO:HARJ)’s senior management team as part of its "HCW At Home" series, featuring the company’s President & CEO, Chief Medical (TASE:BLWV) and Scientific Officer, Chief Financial Officer, and Chief Commercial Officer.

During the meeting, discussions covered WAKIX (pitolisant) commercial performance in narcolepsy, potential next-generation formulations including GR and HD pitolisant, and late-stage pipeline programs such as ZYN002 for Fragile X syndrome, EPX100 for developmental and epileptic encephalopathies, and BP1.15205, an orexin-2 agonist entering first-in-human studies.

H.C. Wainwright noted Harmony’s $600+ million cash position and upcoming clinical milestones scheduled over the next 18 months as positive factors for the company.

The firm believes Harmony is well positioned to become a leading rare central nervous system company, citing its "de-risked commercial engine" as a key strength. With a robust gross profit margin of 78% and revenue growth of 21% in the last twelve months, InvestingPro analysis suggests the stock is currently undervalued. Discover more insights and 8 additional ProTips about HRMY in the comprehensive Pro Research Report.

In other recent news, Harmony Biosciences Holdings Inc. reported significant developments regarding its drug portfolio and patent litigation. The company plans to initiate first-in-human trials for its experimental orexin 2 receptor agonist, BP1.15205, targeting narcolepsy and related sleep disorders in the latter half of 2025, with results anticipated in 2026. Harmony Biosciences has also settled a patent infringement case with Lupin (NSE:LUPN) Limited, allowing Lupin to potentially launch a generic version of WAKIX® no earlier than January 2030. This settlement reinforces the strength of Harmony’s intellectual property, which protects its sleep/wake therapeutic innovations.

Goldman Sachs resumed coverage of Harmony Biosciences with a Neutral rating, noting that patent protection for Wakix/pitolisant could extend until early 2030. Meanwhile, Mizuho (NYSE:MFG) reaffirmed its Outperform rating and $48.00 price target, citing positive preclinical data for Harmony’s orexin candidate and optimism about ZYN-002’s potential for treating Fragile X Syndrome. The KOL expressed an 80-90% chance of success for ZYN-002 in its current Phase 3 study. These developments highlight Harmony Biosciences’ ongoing efforts in advancing its drug pipeline and protecting its intellectual property.

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