Street Calls of the Week
Investing.com - H.C. Wainwright raised its price target on Roivant Sciences (NASDAQ:ROIV) to $20.00 from $18.00 on Thursday, while maintaining a Buy rating on the stock. The company’s shares, currently trading at $15.28, have surged over 42% in the past six months and are approaching their 52-week high of $16.05.
The upgrade follows positive Phase 3 VALOR trial results for brepocitinib in treating dermatomyositis (DM), which demonstrated fast and durable improvement across broad disease symptoms despite a steroid tapering design for all patients in the trial.
H.C. Wainwright noted the drug’s consistent efficacy in treating both skin and muscle diseases, along with high treatment adherence and a clean safety profile. The once-daily oral dosing offers advantages over current treatments like IVIg, which requires administration over 2-5 consecutive days every four weeks.
Roivant Sciences plans to submit a New Drug Application (NDA) in the first half of 2026, positioning brepocitinib to potentially become the first targeted therapy for dermatomyositis in 2027.
Based on the strong clinical data, H.C. Wainwright increased its probability of success for brepocitinib in dermatomyositis to 80% from 55%, raised its estimated wholesale acquisition cost in the U.S. and EU, and now projects peak sales of approximately $1 billion. With analyst targets ranging from $12 to $24 and a highly bullish consensus rating, detailed financial analysis and additional insights are available through InvestingPro’s comprehensive research reports.
In other recent news, Roivant Sciences has reported positive results from a Phase 3 trial for brepocitinib, a treatment for dermatomyositis, a rare autoimmune disease. The trial showed that the once-daily oral medication achieved statistically significant improvement over placebo in all measured endpoints, including skin and muscle disease assessments. Following these results, Goldman Sachs raised its price target for Roivant Sciences from $20 to $24, maintaining a Buy rating. Additionally, TD Cowen reiterated its Buy rating on Roivant Sciences after a favorable court ruling in a patent dispute involving Pfizer and BioNTech. This ruling could have implications for Roivant’s future strategies and partnerships. Meanwhile, in related news, Japan’s Ministry of Health, Labour and Welfare has granted orphan drug status to mosliciguat, Pulmovant’s treatment for pulmonary hypertension associated with interstitial lung disease. This designation offers regulatory benefits such as priority consultation and potential market exclusivity for up to 10 years. Pulmovant’s mosliciguat is currently undergoing a global Phase 2 clinical trial.
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