On Friday, Canaccord Genuity maintained a Buy rating on Intellia Therapeutics (NASDAQ:NTLA) and slightly increased the price target to $73 from $72. The adjustment follows Intellia's fourth-quarter earnings report, which aligned with expectations set by an early January pre-announcement.
Intellia's leading drug candidate, NTLA-2001, targeting ATTR-CM, is on schedule, with the first patient expected to be dosed in the pivotal study in the first quarter of 2024. This follows the recent activation of U.S. sites for the trial. The inclusion of NYHA class III patients in the study is notable as it allows for the observation of more cardiovascular events, which may enhance the assessment of the drug's therapeutic effect.
Additionally, Intellia's Hereditary Angioedema (HAE) program, NTLA-2002, is anticipated to deliver Phase 2 results later in the year, with the commencement of Phase 3 trials projected for the second half of 2024. The company's ongoing extrahepatic efforts include a strategic collaboration with ReCode Therapeutics in Cystic Fibrosis.
Canaccord Genuity has updated its model to reflect the fourth-quarter 2023 performance and reiterated its confidence in Intellia's stock with a Buy rating. The firm's analysis takes into account the company's recent achievements and upcoming milestones in its clinical programs.
InvestingPro Insights
In light of Canaccord Genuity's positive stance on Intellia Therapeutics (NASDAQ:NTLA), recent data from InvestingPro offers additional insights into the company's financial health and market performance. Intellia Therapeutics holds a market capitalization of approximately $2.38 billion USD, reflecting the biotechnology firm's significant presence in the industry.
InvestingPro Data reveals that Intellia's price-to-book (P/B) ratio as of the last twelve months ending Q3 2023 stands at 2.27, indicating how investors are valuing the company relative to its book value. Moreover, despite a modest revenue growth of 0.71% during the same period, the company's gross profit margin is reported at -723.19%, underscoring the challenges it faces in terms of profitability.
An InvestingPro Tip that aligns with the article's narrative is that Intellia is expected to continue its cash-burning trend, which is a critical consideration for investors. This is particularly relevant given the ongoing clinical trials and research advancements that require substantial investment. Another InvestingPro Tip to consider is that the company's stock price has been quite volatile, which could be attributed to the speculative nature of biotech investing and the market's reaction to the company's clinical developments.
For readers interested in a deeper analysis, there are additional InvestingPro Tips available that highlight Intellia's financial position, such as the company's ability to cover short term obligations with liquid assets, and the lack of profitability over the last twelve months. To explore these insights further, visit https://www.investing.com/pro/NTLA and use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With this code, investors can access a total of 10 InvestingPro Tips, providing a comprehensive overview of Intellia's financial and market performance.
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