Wedbush bullish on Apogee Therapeutics, initiates with an Outperform

As previously reported, Wedbush initiated coverage of Apogee Therapeutics with an Outperform rating and $40 price target. The firm notes Apogee is developing biologics with optimized properties against validated targets, with initial focus on antibodies with improved pharmaceutical characteristics targeting known drivers of inflammation. Lead candidate APG777 inhibits IL-13 and could improve on market leader Dupixent’s dosing frequency. The company initiated a Phase 1 healthy volunteer trial in Aug 2023 and expects to present initial PK/safety data in mid:2024. Wedbush views the latter as a key catalyst for share price appreciation, rather than Phase 2 efficacy data, as it believes achievement of a Q8W or Q12W dosing schedule represents the main clinical risk for the APG777 program. The firm holds a long-term favorable view of Apogee given its low-risk approach combining validated targets and antibody engineering techniques.