VTYX - Ventyx stock soars 69% as analysts see Sotyktu approval sans warning a 'win' for TYK2 class

Ventyx Biosciences ( NASDAQ: VTYX ) stock soared ~69% on Sept. 12 after Bristol-Myers Squibb's ( BMY ) TYK2 inhibitor Sotyktu (deucravacitinib) for plaque psoriasis was approved in the U.S. without a black-box warning.

H.C. Wainwright Analyst Emily Bodnar noted that that the Sotyktu approval with no black-box warning was 'a best-case scenario' for the TYK2 class of drugs, and believes it is a positive for Ventyx's VTX958.

Oppenheimer too saw the lack of a boxed warning for Sotyktu as a 'significant win for Ventyx, deucravacitinib and other TYK2 developers and raised its price target on VTYX to $65 from $40.

Meanwhile, Mizuho sees this as a potential headwind for Amgen's ( AMGN ) psoriasis drug Otezla.

Bristol-Myers had offloaded Otezla to Amgen for $13.4B in 2019 as part of its efforts to complete a merger with Celgene.

William Blair Analyst Matt Phipps noted that Sotyktu approval without a black box warning gives "upside to the long-term opportunity for Sotyktu and the ability to take market share from Amgen's Otezla and be a step before patients go on biologics."

The average Wall Street Analysts' Rating on VTYX is Strong Buy , wherein 6 out of 9 analysts give it a Strong Buy rating.

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