Syndax initiated with Buy on ‘compelling’ data at Guggenheim

Guggenheim analyst Michael Schmidt last night initiated coverage of Syndax Pharmaceuticals with a Buy rating and $40 price target. The company’s lead asset and principal value driver is revumenib, an inhibitor of menin in development for a genetically defined subset of leukemias that currently have no FDA-approved targeted therapies, the analyst tells investors in a research note. The firm says revumenib has generated “compelling” Phase I data suggesting a safety and efficacy profile that is clinically meaningful in KMT2Ar/mNPM1 acute leukemias. It estimates potential upside to $50 and potential downside to $10 for the shares over the next 12 months.