Piper Sandler maintains Cogent stock rating ahead of pivotal trial data

Published 16/06/2025, 14:54
Piper Sandler maintains Cogent stock rating ahead of pivotal trial data

Piper Sandler reiterated its Overweight rating and $24.00 price target on Cogent Biosciences (NASDAQ:COGT) Monday as the company approaches a crucial data readout for its drug bezuclastinib. Currently trading at $7.03, the stock sits well below analysts’ average price target range of $7-25, with InvestingPro data showing a favorable consensus recommendation of 1.91 (where 1 is Strong Buy).

The research firm highlighted the upcoming July results from the SUMMIT Part 2 trial, which will evaluate bezuclastinib in non-advanced systemic mastocytosis (non-AdvSM). Piper Sandler views the drug’s profile in this indication as "differentiated and best-in-class." The company maintains a strong financial position with more cash than debt and a healthy current ratio of 5.13x, providing runway for its clinical programs.

The firm outlined specific benchmarks for success, including a greater than 50% higher placebo-adjusted benefit on total symptom score compared to competitor avapritinib, with approximately 10% or fewer Grade 3 ALT/AST elevations and no cases of liver injury.

Piper Sandler noted these expectations align with management’s recently articulated goals and believes investors broadly agree on these success metrics. The firm stated that despite Cogent shares rising approximately 48% in the past month, the risk/reward profile remains "very favorable."

Beyond the SUMMIT data, Cogent faces two additional pivotal readouts later this year in advanced systemic mastocytosis (AdvSM) and gastrointestinal stromal tumor (GIST) indications, according to the research note. InvestingPro subscribers have access to 8 additional key insights about Cogent’s financial health and market position, helping investors make more informed decisions ahead of these crucial catalysts.

In other recent news, Cogent Therapeutics reported a net loss of $0.52 per share for the first quarter of 2025, which was narrower than H.C. Wainwright’s forecast of $0.65 per share. The company’s research and development expenses amounted to approximately $63.0 million, while selling, general, and administrative expenses were around $11.9 million. These figures diverged from H.C. Wainwright’s estimates, which predicted R&D expenses of $3.0 million and SG&A expenses of $12.0 million. As of the quarter’s end, Cogent held approximately $245.7 million in cash and equivalents, which H.C. Wainwright suggests should support operations until late 2026. The firm has adjusted its projection for Cogent’s full-year 2025 net loss to $2.24 per share, down from the prior estimate of $2.65 per share. Additionally, H.C. Wainwright revised its price target for Cogent shares to $12 from $14, while maintaining a Buy rating on the stock. This revision considers a projected equity raise in the fourth quarter of 2025. Despite the reduced price target, the firm maintains a positive outlook on Cogent’s stock performance over the next year.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.