Wedbush bullish on Nuvalent, initiates with an Outperform

As previously reported, Wedbush analyst David Nierengarten initiated coverage of Nuvalent with an Outperform rating and $39 price target. The analyst believes Nuvalent’s shares are undervalued as he thinks the company’s portfolio of selective, brain-penetrant TKIs offers best-in-class potential through their targeting of mutations that allow tumors to escape prior generation drugs. This rationale was recently validated with the initial Phase 1 ARROS-1 data from lead candidate NVL-520, a selective ROS1 inhibitor, that showed best-in-class activity in TKI pre-treated ROS1 positive NSCLC, he adds.