Raymond James maintains Strong Buy on Inflarx stock, $13 target

Published 13/05/2025, 22:34
Raymond James maintains Strong Buy on Inflarx stock, $13 target

On Tuesday, Raymond (NSE:RYMD) James reaffirmed its Strong Buy rating and $13.00 price target for Inflarx NV (NASDAQ:IFRX), following the company’s first-quarter earnings report for 2025. The investment firm’s analyst cited a positive outlook on the company’s drug candidates as the basis for the continued endorsement. The stock, currently trading at $1.79, has shown strong momentum with an 11% gain over the past week. According to InvestingPro data, the broader analyst consensus remains highly bullish, with price targets ranging from $4.93 to $13.41, suggesting potential upside from current levels.

Inflarx’s financial performance in the first quarter of 2025 included a research and development (R&D) expense that totaled €8.0 million, coming in under the €8.7 million consensus. The earnings per share (EPS) for the quarter stood at (€0.13), which was better than the anticipated (€0.21) by analysts. According to the analyst’s review, the company’s cash and equivalents, amounting to €65.7 million, are projected to fund operations into 2027.

The analyst’s optimism is largely rooted in the potential of Inflarx’s drug candidates, including vilobelimab for the treatment of pyoderma gangrenosum and INF904, a C5aR inhibitor. The therapeutic activity of vilobelimab has been validated, and the early-stage derisking of its primary endpoint in clinical studies for pyoderma gangrenosum has been highlighted as a positive sign.

The company’s upcoming readouts for vilobelimab and INF904 are particularly significant, as the analyst has previously noted the prior clinical dataset for vilobelimab and detailed the prospects of INF904 in previous reports. These developments are key drivers behind the firm’s strong endorsement of Inflarx’s stock.

Inflarx NV is focused on the development of drugs for the treatment of inflammatory diseases. The company’s approach involves targeting the complement system, a part of the immune system that plays a crucial role in inflammation. With the recent financial results and the anticipated progress of its drug candidates, Inflarx continues to be of interest to investors and analysts alike. InvestingPro subscribers can access 8 additional key tips about IFRX’s financial health, including detailed metrics on profitability prospects and growth potential.

In other recent news, Inflarx NV has made significant strides in its clinical programs and financial standing. The company has achieved a milestone by recruiting 30 patients for its pivotal Phase III trial of vilobelimab, a treatment for ulcerative Pyoderma Gangrenosum, with interim analysis results expected by May 2025. The European Commission has also granted marketing authorization for vilobelimab for SARS-CoV2-induced septic acute respiratory distress syndrome, marking a positive development. Financially, Inflarx maintains a robust position with a proforma cash balance of approximately $84 million, anticipated to support operations into 2027. Guggenheim Securities recently raised its price target for Inflarx to $10 from $7, maintaining a Buy rating, reflecting confidence in the company’s clinical advancements and financial health.

Additionally, Cantor Fitzgerald initiated coverage on Inflarx with an Overweight rating and set a $10 price target, citing the upcoming Phase 3 interim analysis for vilobelimab as a potential catalyst. The firm also highlighted the promise of Inflarx’s second asset, INF904, as a potentially superior C5aR inhibitor. In another development, Inflarx has launched a public offering of its ordinary shares and pre-funded warrants to fund the clinical development of its pipeline candidates. Guggenheim Securities is managing this offering, which is subject to market conditions. The net proceeds are intended to support the advancement of vilobelimab and INF904, as well as general corporate purposes.

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