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Mizuho affirms Outperform on Cartesian Therapeutics stock, highlights Descartes-08’s competitive edge

EditorAhmed Abdulazez Abdulkadir
Published 09/25/2024, 05:00 PM
RNAC
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On Wednesday, Cartesian Therapeutics (NASDAQ:RNAC) retained its Outperform rating and $40.00 price target from Mizuho. The affirmation follows the recent Phase 3 MINT data release for Uplizna in treating generalized myasthenia gravis (gMG). The data indicated that Uplizna's performance did not overshadow Cartesian's Descartes-08, alleviating concerns about competitive pressures.

Uplizna's Phase 3 results showed statistically significant reductions in MG-ADL score and QMG score compared to a placebo, but the depth of efficacy was not as substantial as that of Descartes-08. Uplizna achieved a placebo-adjusted reduction in MG-ADL score of -1.9 points and in QMG score of -2.5 points at week 26. In contrast, Descartes-08 demonstrated approximately a -4 placebo-adjusted MG-ADL at 3 months, outperforming Uplizna's results.

The data comparison suggests that Descartes-08 could offer a deeper and more durable response for gMG patients. The potential for minimal symptom expression could extend beyond 12 months, which positions Descartes-08 favorably in the market. This advantage is seen as a significant differentiator for Cartesian's therapy.

Mizuho's stance remains positive on Cartesian's prospects, citing Descartes-08's potential to be a safer and re-dosable CART therapy. The analyst firm believes that the recent data reinforces Cartesian's competitive position and supports the continued recommendation of the stock at Outperform.

The reaffirmation of the Outperform rating and price target underscores the confidence in Cartesian Therapeutics' trajectory in the biopharmaceutical industry, particularly in the development of treatments for gMG. The company's stock performance and investor sentiment are likely to be influenced by these developments and the anticipated differentiation of Descartes-08 in the treatment landscape.

In other recent news, Cartesian Therapeutics has seen significant progress in its business operations and clinical trials. The company's shareholders have approved the issuance of shares upon conversion of its Series B Non-Voting Convertible Preferred Stock, a proposal that received overwhelming support.

Cartesian has also initiated a Phase 1 trial for Descartes-15, a treatment for multiple myeloma. The company's Descartes-08 therapy, intended for juvenile dermatomyositis, received Rare Pediatric Disease Designation from the U.S. Food and Drug Administration (FDA), which could expedite the therapy's development process and review.

Analyst firms H.C. Wainwright and TD Cowen have maintained their Buy ratings for Cartesian Therapeutics, reflecting confidence in the company's ongoing developments. Needham, while slightly reducing its price target from $42.00 to $41.00, continues to endorse the stock with a Buy rating. The company also announced positive Phase 2b trial results for Descartes-08, a treatment for myasthenia gravis, and secured a $130 million private investment in public equity financing deal.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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