Unity Biotechnology downgraded to Neutral at Wedbush on limited cash runway

As previously reported, Wedbush analyst Andreas Argyrides downgraded Unity Biotechnology to Neutral from Outperform with a price target of $2, down from $3. The Phase 2b ASPIRE study plans to assess foselutoclax H2H against aflibercept with first patient dosed expected in Q4 2023. Management anticipates last patient visit in Q4 2024 and topline readouts at 16 weeks and 24 weeks in Q1 2025 from Q2 2024 and Q3 2024 as the firm estimated previously. With the updated guidance to the key readouts from the Phase 2b trial, Wedbush sees current cash of $83.4M providing runway into Q4 2024 as a meaningful near-term overhang to the stock in addition to a lack of other near-term value-driving catalysts, and as such, the firm is moving to the sidelines.