JPMorgan downgraded Pliant Therapeutics (PLRX) to Neutral from Overweight without a price target after the company announced a voluntary pause to the enrollment, and dosing, of its Phase 2b BEACON trial based on the recommendation of the Data and Safety Monitoring Board. The news “portends a material fundamental setback for the program, either for reasons of safety or futile activity,” the analyst tells investors in a research note. The firm says that with little pipeline value beyond bexotograst, it sees share downside to $3-$4 on the update, in line with the company’s year-end estimated cash. The stock in premarket trading is down 60%, or $4.780, to $3.09.
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