Analyst Charles Zhu of LifeSci Capital maintained a Buy rating on Kura Oncology, retaining the price target of $24.00.
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Charles Zhu has given his Buy rating due to a combination of factors that highlight Kura Oncology’s competitive positioning in the treatment of NPM1-mutated acute myeloid leukemia (AML). The recent approval of a competitor’s drug, Revuforj, has brought attention to its significant side effects, including QTc prolongation and Torsades de Pointe, which are serious cardiac events. This has resulted in a Black Box warning, contrasting with Kura’s ziftomenib, which has demonstrated much lower rates of these adverse events in clinical trials.
Furthermore, ziftomenib’s favorable safety profile is a positive differentiator as it approaches its PDUFA date, enhancing its market potential. The absence of severe cardiac side effects in ziftomenib positions it well in the competitive landscape, especially given the high mortality and complex treatment needs in AML. These factors contribute to Zhu’s optimistic outlook on Kura Oncology’s stock, supporting his Buy recommendation.
In another report released on October 20, TD Cowen also maintained a Buy rating on the stock with a $0.00 price target.