Bank of America just raised its EUR/USD forecast
On Thursday, Jones Trading upgraded CervoMed (NASDAQ:CRVO) stock rating from Hold to Buy, establishing a new price target of $15.00. The upgrade follows the release of encouraging data from CervoMed’s open label extension (OLE) study, which is seen as bolstering investor confidence. The stock has shown remarkable momentum, surging nearly 187% in the past week. According to InvestingPro data, analyst price targets now range from $10 to $16, suggesting potential upside from the current $6.48 trading price.
The study’s positive results are specifically related to neflamapimod, a treatment under investigation for dementia with Lewy bodies (DLB) patients. Jones Trading anticipates that this development will attract more fundamental investors to reconsider CervoMed’s potential in the upcoming months. With a market capitalization of $52.58 million and a FAIR financial health score from InvestingPro, the company maintains a strong balance sheet with cash reserves exceeding debt obligations.
CervoMed’s latest findings from the OLE study have been acknowledged as a key factor in the improved outlook on the stock. The data suggests potential for neflamapimod in addressing DLB, which is a progressive neurological disorder. Investors should note that CervoMed’s next earnings report is scheduled for March 28, which could provide additional insights into the company’s development progress.
The analyst from Jones Trading expressed optimism about CervoMed’s prospects, stating, "What’s new: CervoMed’s latest data from the open label extension (OLE) study is boosting investor confidence, and we are seeing a more risk-on approach heading into the next steps for neflamapimod in dementia with Lewy bodies (DLB) patients. We expect to see more fundamental investors looking into the story again in the coming months."
With the upgrade and new price target, CervoMed may see increased attention from the investment community as they monitor the company’s progress with neflamapimod and its potential impact on the treatment of DLB.
In other recent news, CervoMed has made significant advancements in its RewinD-LB trial for the drug neflamapimod, aimed at treating dementia with Lewy bodies (DLB). Recent findings from the open-label extension phase of the trial have shown increased plasma drug concentrations and improvements in clinical assessments, leading to positive analyst reactions. Chardan Capital Markets upgraded CervoMed’s stock rating from Neutral to Buy with a price target of $14, citing the promising interim data as a key factor. Similarly, Brookline Capital Markets raised its rating from Hold to Buy, setting a price target of $16 based on the drug’s potential to outperform current treatment options.
Boral (OTC:BOALY) Capital also upgraded CervoMed from Hold to Buy, with a target of $10, after discussions with the company’s management and a review of the trial results. The firm noted a dose-effect issue with an older batch of the drug, which CervoMed is addressing by considering a higher dose for future studies. The company has reported that the double-blind phase of the trial did not show significant differences compared to a placebo, potentially due to lower bioavailability from an older batch of the drug. However, CervoMed remains optimistic about the drug’s efficacy at higher plasma concentrations, with further data expected in early 2025. These developments have positioned CervoMed as a company to watch, as it continues to engage with the FDA regarding the potential for a Phase 3 program.
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