Scotiabank raises Travere stock target to $32 on FDA update

Published 12/02/2025, 14:00
Scotiabank raises Travere stock target to $32 on FDA update

Wednesday, Scotiabank (TSX:BNS) analyst Greg Harrison increased the price target on Travere Therapeutics (NASDAQ:TVTX) to $32.00, up from the previous $27.00, while retaining a Sector Outperform rating for the company. According to InvestingPro data, the stock has shown remarkable momentum with a 171% surge over the past six months, currently trading near its 52-week high of $25.29. This adjustment follows Travere’s announcement regarding their plans to file a supplemental new drug application (sNDA) for Filspari in the treatment of focal segmental glomerulosclerosis (FSGS), after a positive Type C meeting with the FDA.

Travere aims to complete the sNDA submission by the end of the first quarter of 2025 and is seeking traditional approval, which could potentially lead to Filspari entering the FSGS market by late 2025, assuming priority review is granted. The company’s management has indicated that there is alignment with the FDA on the data package, and no additional follow-up studies or analysis will be required. InvestingPro analysis shows the company maintains a moderate debt level with a current ratio of 1.71, suggesting adequate liquidity to support its development initiatives.

The FDA’s familiarity with Filspari’s proteinuria data from the DUPLEX and DUET studies suggests that the sNDA submission is likely to be considered for approval. Today’s announcement is seen as a positive development for Travere, as it paves the way for Filspari’s indication expansion. The FSGS market represents a significant opportunity, with projections estimating a market size of $521 million by 2030, compared to a consensus of $619 million, in addition to the larger market for IgA nephropathy (IgAN).

In response to these developments, Scotiabank has increased the probability of success (PoS) for Filspari in FSGS to 65%, up from 30%. The raised price target reflects this updated assessment and the potential market opportunities for Travere. The full report includes a catalyst calendar for further details on the company’s prospects. With analyst targets ranging from $18 to $45, and three analysts recently revising earnings upward, investors seeking deeper insights can access comprehensive analysis and 12 additional ProTips through InvestingPro’s detailed research report.

In other recent news, Travere Therapeutics has been the subject of significant attention. Canaccord Genuity maintained a Buy rating on the company and raised its price target to $45, reflecting the firm’s continued expectation for the peak revenue of SAGE, a product in Travere’s pipeline. Analyst Ed Nash noted the challenges in projecting the exact division of spending between Sales, General, and Administrative expenses (SG&A) and Research and Development (R&D) due to restructuring within the company.

In addition, Travere announced plans to submit a supplemental New Drug Application (sNDA) for FILSPARI, a treatment for a rare kidney disorder, following a successful Type C meeting with the U.S. Food and Drug Administration (FDA). The submission is expected by the end of the first quarter of 2025 and is based on data from the Phase 3 DUPLEX and Phase 2 DUET studies. The positive results from these studies align with recent PARASOL workgroup findings, reinforcing the potential for FILSPARI’s approval.

In response to these developments, Cantor analyst Prakhar Agrawal maintained an Overweight rating on Travere, indicating confidence in the company’s prospects. These recent events underscore the importance of strategic investments in R&D for biopharmaceutical companies like Travere Therapeutics and highlight the potential growth for investors.

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

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