Enanta downgraded to Underweight from Neutral at JPMorgan

JPMorgan downgraded Enanta to Underweight from Neutral with a $14 price target. The analyst sees an “undifferentiated” efficacy profile for EDP-235 post the Phase 2 SPRINT readout, and with pivotal development for the asset subject to partnership, a challenging path ahead for the candidate in COVID-19. Moreover, independent of partnership, there are several hurdles to both successful trial execution and detection of clinical benefit with a direct antiviral in a post-COVID exposed setting, with a commercial launch likely a 2027 or beyond event, the analyst tells investors in a research note. The firm believes Enanta shares will remain under pressure pending positive data from the RSVPeds or RSVHR trials.