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Investing.com - Morgan Stanley (NYSE:MS) lowered its price target on Nurix (NASDAQ:NRIX) to $16.00 from $17.00 on Monday, while maintaining an Equalweight rating on the biotechnology company’s stock. With the stock currently trading at $12.72, analyst targets range from $16 to $41, suggesting potential upside. According to InvestingPro data, the stock appears undervalued based on its Fair Value analysis.
The price target reduction reflects Morgan Stanley’s updated financial model following Nurix’s second-quarter results, with the firm specifically citing higher anticipated spending for planned pivotal trials.
Morgan Stanley noted that Nurix’s pipeline remains on track, with clinical updates expected in the second half of 2025.
The firm identified bexobrutideg (NX-5948) as the key driver for Nurix’s stock, highlighting that the company is increasing investment behind this specific program.
Despite the lower price target, Morgan Stanley maintained its Equalweight rating on Nurix shares, suggesting a neutral stance on the stock’s potential performance relative to the sector over the next 12-18 months.
In other recent news, Nurix Therapeutics reported financial results for its fiscal second quarter, surpassing expectations with a net loss of $43.5 million, or -$0.52 per share, compared to the anticipated -$0.74 per share. Revenue surged to $44.1 million, significantly higher than the projected $17.5 million, largely due to $30 million in license revenue from Sanofi (NASDAQ:SNY) and a $5 million milestone with Gilead (NASDAQ:GILD). Stifel has maintained its Buy rating on Nurix, projecting peak sales exceeding $4.5 billion for its lead drug candidate, bexobrutideg, in chronic lymphocytic leukemia treatment. UBS adjusted its price target for Nurix to $26.00 from $30.00, while maintaining a Buy rating, citing increased operational expenses. The company plans to initiate pivotal trials for bexobrutideg in the second half of 2025. Goldman Sachs initiated coverage on Nurix with a Buy rating and a $182 price target, highlighting the potential of the Crenessity drug launch. Nurix’s second-quarter results also showed increased research and development expenses, reflecting progress in its ongoing trials. The company ended the quarter with $485.8 million in cash and equivalents, not including additional milestone payments received post-quarter.
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