Schrodinger price target lowered to $78 from $83 at BMO Capital

BMO Capital analyst Gary Nachman lowered the firm’s price target on Schrodinger to $78 from $83 after its Q4 results, assigning more conservatism to its outlook, but keeps an Outperform rating on the shares. The analyst notes that the company’s guidance for 2023 was "reasonable" and its internal pipeline is progressing with SGR-1505 in Phase 1, SGR-3515 candidate selected, and SGR-2921 filing an IND in 2023. The firm further contends that Schrodinger’s computational drug discovery platform will disrupt the biopharma industry, leading the transition to in-silico drug discovery.