TD Cowen initiates Ideaya Biosciences stock with Buy rating

Published 22/07/2025, 11:34
TD Cowen initiates Ideaya Biosciences stock with Buy rating

Investing.com - TD Cowen initiated coverage on Ideaya Biosciences (NASDAQ:IDYA) with a Buy rating on Tuesday. The company, currently valued at $1.91 billion, has maintained a strong analyst consensus rating of 1.4 (Strong Buy), with price targets ranging from $25 to $66.

The research firm cited the company’s pipeline of soon-to-be nine clinical-stage programs, which it described as representing "the best of targeted oncology" led by "a world-class team." According to InvestingPro data, the company maintains a healthy financial position with more cash than debt and a robust current ratio of 13.92.

TD Cowen highlighted the lead daro + criz combination therapy, which is expected to launch in 2026 for metastatic uveal melanoma (mUM), noting a "high likelihood of success in neoadjuvant" treatment.

The firm expressed optimism about upcoming DLL3 ADC data, which it predicted are "likely to be strong," and noted that MAT2A efficacy "should add to Trodelvy with NT data."

TD Cowen justified its Buy rating by pointing to Ideaya Biosciences’ "very attractive EV" (enterprise value), though InvestingPro data indicates the company is currently trading at a high revenue valuation multiple.

In other recent news, Ideaya Biosciences has received FDA clearance for a Phase 1 trial of its investigational drug IDE849, targeting several types of solid tumors, including small cell lung cancer. This development follows promising preliminary results from a trial conducted by Jiangsu Hengrui Pharmaceuticals, showing multiple partial responses without any drug-related discontinuations. Additionally, shareholders at Ideaya’s 2025 Annual Meeting elected new directors and approved PricewaterhouseCoopers LLP as the independent auditor for the year. In the realm of analyst coverage, Goldman Sachs resumed coverage on Ideaya with a Neutral rating, citing both potential upside and downside risks related to the company’s lead asset and pipeline. Meanwhile, RBC Capital adjusted its price target on Ideaya to $30, maintaining an Outperform rating and highlighting a major Phase III readout expected in 2025. Wells Fargo (NYSE:WFC) initiated coverage with an Overweight rating and a $44 price target, pointing to upcoming catalysts that could boost investor confidence. These developments reflect ongoing interest and activity surrounding Ideaya’s clinical pipeline and strategic direction.

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