Raymond James resumes coverage on Black Diamond stock with Outperform rating

Published 01/07/2025, 12:18
Raymond James resumes coverage on Black Diamond stock with Outperform rating

Investing.com - Raymond (NSE:RYMD) James has resumed coverage on Black Diamond Therapeutics (NASDAQ:BDTX) with an Outperform rating and a price target of $11.00. Currently trading at $2.48, the stock has shown strong momentum with a 16% gain over the past six months. According to InvestingPro data, analyst consensus is highly bullish, with price targets ranging from $9 to $12.

The research firm’s analysis centers on BDTX-1535, Black Diamond (NASDAQ:CLAR)’s drug candidate that has demonstrated activity in patients previously treated with osimertinib. Raymond James believes this efficacy will translate favorably to first-line treatment settings, particularly for patients with non-classical mutations where current treatments show less activity.

Raymond James notes that while large pharmaceutical companies are working to address a broad range of EGFR mutations, BDTX-1535 may carve out a niche in non-classical mutations due to its deeper binding within the active site pocket, which provides greater activity against atypical mutations while maintaining selectivity over wild-type EGFR.

The firm highlights that at the recommended Phase 2 dose, BDTX-1535 is well-tolerated, with later-line patients continuing treatment even after disease progression, indicating a manageable safety profile.

Black Diamond’s strong financial position, with cash runway extending to the fourth quarter of 2027, gives the company flexibility to conduct a first-line non-small cell lung cancer study in non-classical mutations, pending FDA feedback on a pivotal development plan. The company’s solid balance sheet is reflected in its low debt-to-equity ratio of 0.15, and InvestingPro analysis reveals 8 additional key financial insights available to subscribers, including detailed valuation metrics and growth projections.

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.