Street Calls of the Week
Investing.com - Jefferies initiated coverage on Gyre Therapeutics (NASDAQ:GYRE) with a Buy rating and a $16.00 price target on Friday. The stock, currently trading at $7.15, has significant upside potential according to analysts, with consensus targets ranging from $18 to $20. InvestingPro data shows the company maintains a "Fair" overall financial health score.
The research firm highlighted Gyre as a global commercial biotech company with solid and expanding sales in China that support further pipeline development in both the U.S. and China markets, with a focus on anti-fibrosis treatments. With a market capitalization of $649 million and last twelve-month revenue of $102 million, Gyre demonstrates strong commercial potential. According to InvestingPro, the company maintains impressive gross margins of 96% and operates with moderate debt levels.
Jefferies noted that Gyre’s lead compound hydronidone met its Phase 3 primary endpoint of fibrosis regression in chronic hepatitis B (CHB), potentially supporting a first-in-class disease launch in China in 2026.
The company plans to advance its pipeline into U.S. metabolic dysfunction-associated steatohepatitis (MASH) and fibrosis indications, with Phase 2 trials expected to begin by year-end 2025.
Jefferies emphasized that Gyre’s mechanism of action is agnostic to disease etiology and positioned as a combination or sequential treatment following metabolic therapy.
In other recent news, Gyre Therapeutics has been the subject of new analyst coverage and board appointments. H.C. Wainwright initiated coverage on Gyre Therapeutics with a Buy rating, setting a price target of $18.00. The firm emphasized the potential of Gyre’s lead asset, hydronidone (F351), as a potent inhibitor of fibrosis, particularly in the liver. This development highlights the company’s focus on advancing its therapeutic pipeline. Additionally, Gyre Therapeutics announced the appointment of Dan Weng, M.D., to its Board of Directors, effective August 18, 2025. Dr. Weng brings extensive experience from his current role as President and CEO of Medelis, Inc., and his previous leadership positions in clinical research organizations. These updates reflect ongoing strategic developments within the company.
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