RBC says Scholar Rock ‘win’ in SMA has favorable Biohaven implications

RBC Capital notes that Scholar Rock (SRRK) hit on the primary endpoint in their Phase 3 trial of apitegromab in patients with SMA, which the firm sees validating the anti-myostatin approach in the disease and having positive read-through to Biohaven’s (BHVN) similar study of taldefgrobep alfa. With Scholar Rock up nearly 300% today, and noting limited expectations for Biohaven’s program, the firm contends that the stock “could potentially also add a similar amount” and be up 30%-40% from current levels. RBC has an Outperform rating and $68 price target on Biohaven shares.