CYT - Cyteir Therapeutics downgraded to neutral at BofA on pipeline prioritization
- BofA Securities has downgraded Cyteir Therapeutics ( NASDAQ: CYT ) to neutral from buy citing the company's recent decision on a pipeline prioritization to focus on combination therapies using its candidate CYT-0851 for ovarian cancer.
- The firm halved its price target to $2 (~17% upside based on Friday's close).
- Shares are down ~8% in Monday afternoon trading.
- Analyst Tazenn Ahmad said that based on discussions with management, the CYT-0851 combinations would be appropriate in a third line and later setting for platinum-resistant ovarian cancer.
- Cyteir ( CYT ) earlier in January decided to end evaluating '0851 as a monotherapy in other indications. While BofA said that indications in diffuse large B-cell lymphoma and prostate cancer, the firm wants to see more data on the candidate to further determine its efficacy.
- "In our view, '0851 requires significant clinical validation and additional upside could come from signs of clinical efficacy in upcoming readouts," Ahmad wrote.
- Seeking Alpha's Quant Rating views Cyteir ( CYT ) as a hold with high marks for valuation and revisions .
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Cyteir Therapeutics downgraded to neutral at BofA on pipeline prioritization