2023-03-10 10:14:10 ET
- Credit Suisse has downgraded Fulcrum Therapeutics ( NASDAQ: FULC ) to neutral from outperform saying that a recent update on sickle cell disease ("SCD") candidate FTX-6058 may limit its addressable population.
- The firm also lowered its target price to $8 from $11 (~66% upside based on Thursday's close).
- Analyst Judah Frommer said that a recent clarification from the US FDA on a clinical hold on a phase 1 trial for FTX-6058 indicated that it is focusing on the "risk-benefit within the broader SCD patient population."
- He added that this will likely limit the patient population to the most severe cases.
- "Mgmt. believes it has sufficient data on hand to resolve the clinical hold and plans to define a higher-risk subset of patients...where '6058 would have a better defined risk- benefit profile," Frommer wrote.
- Credit Suisse now projects fiscal 2023 EPS of -$2.04 (-$1.70 prior).
- On Thursday, the company said its chief medical officer had stepped down .
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Fulcrum Therapeutics downgraded to neutral at Credit Suisse on sickle cell candidate