Kymera stock price target raised to $60 from $54 at H.C. Wainwright

Investing.com - H.C. Wainwright raised its price target on Kymera Therapeutics (NASDAQ:KYMR) to $60 from $54 while maintaining a Buy rating on Thursday, citing the potential of the company’s STAT6 program as a key value driver. The stock, which has delivered an impressive 55% return over the past year, is currently trading near its InvestingPro Fair Value, with analyst targets ranging from $51 to $79.

The firm’s decision follows Sanofi (NASDAQ:SNY)’s announcement on Wednesday that it would discontinue development of KT-474 and instead pursue KT-485, Kymera’s next-generation oral IRAK4 degrader. H.C. Wainwright noted this strategic shift would push back timelines in the competitive Atopic Dermatitis and Hidradenitis Suppurativa markets. According to InvestingPro data, Kymera maintains a strong financial position with a healthy current ratio of 8.49 and more cash than debt on its balance sheet.

H.C. Wainwright indicated that focusing on the next-generation IRAK4 degrader with superior efficacy and safety—particularly by eliminating QTc prolongation seen with KT-474 and increasing potency—would maximize long-term value for both companies.

The firm highlighted the STAT6 program as potentially the most significant near-term value driver for Kymera, with Phase 1b data expected in the fourth quarter of 2025. Based on recently disclosed Phase 1 healthy volunteer data, H.C. Wainwright anticipates 50-100 mg QD doses may be selected for KT-621 proof-of-concept trials.

H.C. Wainwright removed KT-474 from its valuation model and added KT-621 in Atopic Dermatitis, resulting in the price target increase to $60 from the previous $54. With nine analysts recently revising earnings estimates upward, InvestingPro subscribers can access 12 additional key insights about Kymera’s financial health and market position through the comprehensive Pro Research Report, available exclusively on the platform.

In other recent news, Kymera Therapeutics announced a public offering of $250 million in common stock and pre-funded warrants, with an option for underwriters to purchase an additional $37.5 million in shares. The proceeds are intended to advance Kymera’s pipeline of preclinical and clinical degrader programs and for general corporate purposes. Additionally, Kymera’s partner Sanofi has decided to advance the oral IRAK4 degrader KT-485 into clinical testing, while discontinuing the development of KT-474 due to safety concerns identified in earlier trials. Kymera received a $20 million milestone payment related to KT-485’s preclinical activities and is eligible for up to $975 million in further milestones. In analyst updates, Brookline Capital Markets lowered its price target for Kymera from $97 to $70, citing changes in the timing of collaboration revenue from Sanofi and revised revenue estimates. Despite the lowered price target, Brookline maintained a Buy rating on the stock. Meanwhile, Leerink Partners kept an Outperform rating and a $60 price target, focusing on Kymera’s STAT6 degrader KT-621 as a key investment driver. Kymera also announced a new collaboration with Gilead Sciences (NASDAQ:GILD) for novel CDK2 degraders in oncology, though financial details were not disclosed.

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