Piper Sandler initiates Tvardi Therapeutics stock with overweight rating

Piper Sandler initiated coverage on Tvardi Therapeutics Inc (NASDAQ: TVRD) with an overweight rating and a $78.00 price target on Wednesday. According to InvestingPro data, this target represents significant upside potential, with other analysts setting targets between $41 and $65.

The research firm highlighted that Tvardi may be unfamiliar to investors following its recent reverse merger with Cara Therapeutics (NASDAQ:TVRD) and approximately $46.1 million in proforma cash, which provides runway into the second half of 2026. InvestingPro analysis confirms the company’s strong financial position, with a GREAT financial health score of 3.71 and more cash than debt on its balance sheet.

Tvardi’s lead asset, TTI-101, is currently being evaluated in the Phase 2 REVERT-IPF trial with data expected in the fourth quarter of 2025. Piper Sandler believes the drug is positioned to drive broad improvement with what it describes as an optimal profile. The company’s market capitalization currently stands at $245.44 million, reflecting strong investor interest with a 43.68% price return over the past six months.

The firm noted that TTI-101 is a differentiated STAT3 inhibitor small molecule with non-covalent bonding that specifically targets canonical nuclear function without mitochondrial effect. This mechanism provides direct anti-fibrotic benefits across both intrinsic cellular and extrinsic immune pathways with high probability of success in idiopathic pulmonary fibrosis (IPF).

Piper Sandler indicated it is initiating coverage ahead of this "key de-risked catalyst" and considers it "the perfect time to own" Tvardi shares, with the company also developing a next-generation asset.

In other recent news, Tvardi Therapeutics Inc. has been the focus of several analyst reports and corporate developments. Oppenheimer initiated coverage on Tvardi with an Outperform rating and a $65 price target, highlighting the promising potential of TTI-101, a STAT3 inhibitor, in treating idiopathic pulmonary fibrosis (IPF) and hepatocellular carcinoma (HCC). BTIG also maintained a Buy rating on Tvardi, with a $55 target, emphasizing TTI-101’s potential to reverse disease progression in IPF. Lucid (NASDAQ:LCID) Capital Markets set a $42 target on Tvardi, noting the anticipated impact of upcoming Phase 2 data on TTI-101’s valuation.

Additionally, Tvardi has completed enrollment for its Phase 2 trial of TTI-101 in IPF, with data expected in the fourth quarter of 2025. The company is also advancing TTI-109, a prodrug of TTI-101, towards an Investigational New Drug application. In corporate restructuring, Cara Therapeutics, soon to be known as Tvardi Therapeutics, announced a 1-for-3 reverse stock split, reducing the number of shares while maintaining the authorized share count. This reverse split will take effect before trading under the new ticker symbol TVRD. These developments reflect Tvardi’s strategic focus on advancing its pipeline and strengthening its market position.

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