UBS backs Tyra Biosciences stock with long-term growth forecast driven by TYRA-300 pipeline

Published 07/01/2025, 12:52
UBS backs Tyra Biosciences stock with long-term growth forecast driven by TYRA-300 pipeline

On Tuesday, UBS analyst Eliana Merle initiated coverage on Tyra Biosciences (NASDAQ: TYRA), a clinical-stage biotechnology company trading at $16.06, assigning a Buy rating and setting a price target of $28.00. The stock has shown strong momentum with a 15.54% gain over the past week.

According to InvestingPro data, analysts' price targets range from $29 to $33, suggesting significant upside potential. The new coverage comes with optimism for the company's drug candidate, TYRA-300, which is currently in development for non-muscle invasive bladder cancer (NMIBC) and achondroplasia, a genetic condition causing short stature.

Tyra Biosciences, listed on NASDAQ: TYRA, has been recognized by UBS for its potential to lead the market with its oral treatment options. TYRA-300, as a selective FGFR3 inhibitor, is anticipated to offer better efficacy and safety compared to other FGFR inhibitors that also affect FGFR1, 2, and 4. The UBS analyst believes that the long-term (LT) opportunity for TYRA-300 in both oncology and growth disorders is more significant than the current market valuation suggests.

According to UBS, the market is currently pricing Tyra Biosciences' shares with an expectation of approximately $100-200 million in 2035 sales for oncology and $300-400 million for growth disorders. However, UBS's risk-adjusted estimates are considerably higher, at around $350 million for oncology and $650 million for growth disorders.

This discrepancy highlights the potential for significant share price appreciation. The company maintains a strong financial position with a current ratio of 29.55 and more cash than debt on its balance sheet, as revealed by InvestingPro's financial health analysis.

UBS also noted that in an upside scenario, where upcoming data updates on oncology and achondroplasia are positive, Tyra Biosciences' shares could see an increase of over 100% in the next 12 to 18 months. Looking ahead to 2035, UBS estimates a revenue split of 65/35 across growth conditions and oncology, respectively, in their base case scenario for the company.

This projection underscores UBS's confidence in Tyra Biosciences' long-term revenue potential driven by its innovative drug development. With a market capitalization of $845 million and several additional key metrics available on InvestingPro, including 7 more exclusive ProTips, investors can gain deeper insights into the company's valuation and growth prospects.

In other recent news, Tyra Biosciences has made significant strides in its clinical trials and financial prospects. The FDA approved the company's Phase 2 trial for its drug TYRA-300, aimed at treating achondroplasia. H.C. Wainwright adjusted its stock price target for Tyra Biosciences, reducing it to $30 from $32, while maintaining a Buy rating. This adjustment follows a review of recent clinical data for TYRA-300, particularly in its application to non-muscle-invasive bladder cancer.

Piper Sandler also reaffirmed an Overweight rating on Tyra Biosciences shares, indicating continued confidence in the company's prospects. The company plans to submit an Investigational New Drug application to commence a Phase 2 trial in achondroplasia and initiate a Phase 2 study in non-muscle invasive bladder cancer.

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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