NewAmsterdam Pharma stock initiated at Overweight by Wells Fargo

Published 25/08/2025, 11:04
NewAmsterdam Pharma stock initiated at Overweight by Wells Fargo

Investing.com - Wells Fargo initiated coverage on NewAmsterdam Pharma Co NV (NASDAQ:NAMS) with an Overweight rating and a $45.00 price target on Monday. According to InvestingPro data, seven analysts have recently revised their earnings upwards for the upcoming period, showing growing confidence in the company’s prospects. The stock has demonstrated strong momentum with significant returns over the past three months.

The firm highlighted the promise of CETP inhibitors, noting that beyond lowering LDL cholesterol, this drug class can shift LDL particle size to a less atherogenic profile and lower Lp(a) levels. These additional benefits may explain the greater-than-expected MACE (major adverse cardiovascular events) reduction observed for obicetrapib in the BROADWAY trial. While analysts don’t expect profitability this year, InvestingPro analysis shows the company maintains strong financial health with liquid assets exceeding short-term obligations.

Wells Fargo pointed out that NewAmsterdam has developed obicetrapib building on learnings from four prior CETP inhibitors, with positive data from the BROOKLYN and BROADWAY trials. The firm expressed confidence that the ongoing PREVAIL cardiovascular outcomes trial is positioned for success, with completion expected by year-end 2026.

The LDL-C lowering market represents a significant opportunity, with approximately 24 million individuals in the US on statins but not at their LDL-C goal, according to the research note.

Wells Fargo models a US launch in 2027, projecting peak unadjusted sales of approximately $3.5 billion, plus peak royalties of around $450 million from Menarini for European sales, where the marketing authorization application is currently under review.

In other recent news, NewAmsterdam Pharma has announced that the European Medicines Agency (EMA) has validated its Marketing Authorization Applications for obicetrapib. This validation, facilitated by NewAmsterdam’s European partner Menarini, enables the review of data from pivotal Phase 3 trials for treating adults with primary hypercholesterolemia or mixed dyslipidemia. Meanwhile, Piper Sandler has reiterated an Overweight rating on NewAmsterdam Pharma, maintaining a positive outlook on obicetrapib and setting a $37.00 price target. TD Cowen also reaffirmed its Buy rating as the company gears up for the PREVAIL data release, highlighting obicetrapib’s potential effects on atherosclerotic cardiovascular disease, diabetes, and Alzheimer’s disease. Additionally, NewAmsterdam Pharma shared promising findings from its BROADWAY clinical trial, where obicetrapib significantly reduced plasma p-tau217, a biomarker associated with Alzheimer’s disease. In contrast, Goldman Sachs initiated coverage with a Neutral rating and a $27.00 price target, citing an extended timeline for key trial results expected in late 2026. These developments reflect ongoing interest and analysis from various investment firms regarding NewAmsterdam Pharma’s potential and challenges.

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