Evelo Biosciences downgraded to Neutral from Overweight at Cantor Fitzgerald

Cantor Fitzgerald analyst Kristen Kluska downgraded Evelo Biosciences to Neutral from Overweight with a price target of $1, down from $5. There were no surprises in the Q4 and FY22 report after the recent February 1 clinical and business updates, and while the firm thinks the small intestinal axis platform has a lot of potential, all the small details are still being worked out towards bringing the most promising candidates forward, the analyst tells investors in a research note. The company is going to require significant capital to bring EDP1815 forward in pivotal trials for psoriasis, and to move the rest of the pipeline forward, Cantor Fitzgerald contends.