Prometheus price target raised to $142 from $59 at Credit Suisse

Credit Suisse analyst Tiago Fauth raised the firm’s price target on Prometheus to $142 from $59 and keeps an Outperform rating on the shares following ulcerative colitis and Crohn’s disease data. The debate is now shifting to the potential size of the class – the analyst believes current market dynamics in IBD remains favorable for a potential best-in-class asset such as PRA023: patients cycle through multiple therapies and there is a substantial pool of biologic-experienced patients that would likely welcome a new MoA. PRA023 has established a highly competitive efficacy profile relative to other biologics in UC, with potentially transformative efficacy in biomarker positive patients if the interim readout results are replicated across registrational studies, offering Prometheus substantial commercial optionality and possibly more favorable pricing/broader access in earlier lines than originally expected, Fauth contends.