DCPH - Deciphera slapped with downgrades after trial disappointment

After a setback in a late-stage cancer trial wiped off more than three-quarters of its market cap on Friday, Deciphera Pharmaceuticals (NASDAQ:DCPH) has added ~3.4% in the pre-market. The Phase 3 INTRIGUE designed to assess Qinlock as a potential treatment for a certain group of patients with gastrointestinal stromal tumor (GIST) did not meet the primary endpoint, Deciphera (DCPH) announced last week. Many Wall Street analysts have downgraded the stock in reaction. Barclays has lowered its rating to Equal Weight from Neutral, citing a lack of near-term catalysts following the trial failure. Removing the revenue projections for Qinlock as a second-line and third-line option for GIST patients, the analyst Peter Lawson has adjusted his model, lowering the price target to $11 from $50. The revised target implies a premium of ~24.7% to the last close. In addition, Canaccord Genuity and Stifel have downgraded Deciphera (DCPH) to Hold ratings while HC Wainwright has lowered

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Deciphera slapped with downgrades after trial disappointment