H.C. Wainwright analyst Joseph Pantginis lowered the firm’s price target on Biomea Fusion to $15 from $50 and keeps a Buy rating on the shares based on the removal of diabetes from the firm’s valuation after the company announced that the two ongoing Phase 1/2 clinical trials evaluating BMF-219 in diabetes have been placed on full clinical hold by the FDA based on “possible drug-induced hepatotoxicity.” While “this is obviously a major headline hit to the company,” the firm says the “process is just beginning on the path to potentially remove the clinical hold.” However, for now, its valuation consists of 100% contribution from BMF-219 for hematologic tumors, the firm noted.
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