Alec Stranahan, an analyst from Bank of America Securities, reiterated the Buy rating on Intellia Therapeutics. The associated price target was lowered to $30.00.
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Alec Stranahan has given his Buy rating due to a combination of factors despite recent safety concerns. Intellia Therapeutics has paused dosing in its MAGNITUDE and MAGNITUDE-2 studies following a significant liver-related adverse event, which has raised questions about the safety of in vivo gene editing therapies. However, the company is actively engaging with regulatory authorities and exploring risk mitigation strategies, reflecting a proactive approach to addressing these issues.
Despite the setback, Stranahan maintains a Buy rating, albeit with a reduced price objective of $30, down from $36. This adjustment reflects a tempered outlook on market penetration and success probability for Intellia’s therapies. The decision to reiterate the Buy rating suggests confidence in the long-term potential of Intellia’s gene editing technology, particularly given the convenience and efficacy benefits of a one-time treatment. Stranahan’s analysis indicates that while safety concerns may impact short-term sentiment, the broader potential of Intellia’s innovations remains promising.
In another report released today, Citizens JMP also maintained a Buy rating on the stock with a $29.00 price target.