JPMorgan maintains EyePoint stock Overweight with $26 target

Published 27/05/2025, 18:08
JPMorgan maintains EyePoint stock Overweight with $26 target

On Tuesday, JPMorgan reiterated its Overweight rating and a $26.00 price target on shares of EyePoint Pharmaceuticals, Inc. (NASDAQ: NASDAQ:EYPT), currently trading at $5.92, following the company’s announcement of a milestone in its phase 3 trials for a wet age-related macular degeneration (wet AMD (NASDAQ:AMD)) treatment. According to InvestingPro data, analyst consensus remains strongly bullish, with targets ranging from $18 to $68.

EyePoint Pharmaceuticals has completed the enrollment and randomization of over 400 patients for its LUGANO trial, one of two phase 3 studies for its Duravyu treatment. The LUCIA trial is also advancing, with 60% of its patient enrollment completed as of today, up from over 50% on May 2, 2025. The company expects to complete enrollment for LUCIA in the third quarter of 2025. With a market capitalization of $405.3 million and a beta of 1.6, EYPT shows higher volatility than the broader market.

The firm’s management is optimistic about the continued momentum in patient enrollment, particularly as international sites begin participating and certain LUGANO locations transition to the LUCIA trial. This progress is attributed to strong interest from both physicians and patients.

EyePoint Pharmaceuticals plans to release topline 56-week data from the LUGANO trial in mid-2026, earlier than the previously anticipated second half of 2026. The LUCIA trial data is expected to follow shortly thereafter in the second half of 2026.

JPMorgan analysts believe that as the market gains a better understanding of the potential success and revenue opportunities of Duravyu’s phase 3 program, this will positively impact EyePoint’s stock value. The company’s current cash balance is projected to sustain operations into 2027, which extends beyond the expected release of the topline data from both phase 3 wet AMD trials.

In other recent news, EyePoint Pharmaceuticals reported a significant increase in revenue for the first quarter of 2025, reaching $24.5 million compared to $11.7 million in the same period last year. The company also reported a narrower-than-expected loss per share of $0.65, beating the forecasted loss of $0.67. Despite these positive earnings results, EyePoint’s operating expenses rose significantly to $73.3 million from $45 million, primarily due to increased research and development spending. Additionally, Mizuho (NYSE:MFG) Securities adjusted its price target for EyePoint Pharmaceuticals from $30.00 to $26.00, while maintaining an Outperform rating, citing elevated R&D expenses as a reason for the revision. The firm emphasized the commercial potential of EyePoint’s key product, Duravyu, which is currently in Phase 3 trials. EyePoint’s clinical trials for Duravyu are progressing well, with enrollment rates surpassing expectations. The company has extended its cash runway into 2027, ensuring financial stability as it advances its clinical programs. These developments highlight EyePoint’s ongoing efforts to bring its innovative treatments to market.

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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