Nkarta’s Strategic Restructuring and NKX019 Progress Drive Buy Rating

William Blair analyst Sami Corwin has maintained their bullish stance on NKTX stock, giving a Buy rating yesterday.

Sami Corwin has given his Buy rating due to a combination of factors that highlight Nkarta’s strategic positioning and financial stability. The company’s recent restructuring, which includes a significant workforce reduction, is aimed at extending its cash runway into 2029. This move is seen as a necessary step to ensure that Nkarta can continue its operations and achieve critical milestones without financial strain.
Another key factor in the Buy rating is the progress of Nkarta’s NKX019 therapy, which has received IND clearance from the FDA for the treatment of myasthenia gravis and is being evaluated in clinical trials for other conditions. The anticipated clinical data from these trials in the second half of 2025 is expected to provide further insights into the therapy’s potential. Additionally, with a substantial cash reserve of $380.5 million as of the end of 2024, Nkarta is well-positioned to fund its operations and advance its clinical programs over the coming years.

Based on the recent corporate insider activity of 21 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of NKTX in relation to earlier this year.